Starrag Starrag-Heckert Inc. v. Maersk, Inc., a New York Corporation Maersk Pacific Ltd., a California Corporation

INTRODUCTION

Starrag and Starrag-Heckert, Inc. (collectively “Starrag”) appeal from the district court’s order granting partial summary judgment and applying the $500 per package liability limitation under the Carriage of Goods by Sea Act (“COGSA”) to three machines shipped with Maersk, Inc. that were damaged while being transported across a container yard operated by Maersk Pacific Ltd., a terminal operator. Starrag argues that the package limitation cannot apply to damage that occurred after Maersk unloaded the machines from their ship, and that application of the limitation conflicts with the COGSA and a related statute, the Harter Act. In addition, Starrag claims that the term “delivery” in Maersk’s Combined Transport Bill of Lading (“CTBL”) is ambiguous, and therefore should be read to restrict the package limitation to damage occurring after the machines were loaded onto the ship and before the cargo was unloaded.

We affirm the district court, holding: (1) Maersk did not need to provide actual notice to Starrag that the CTBL contractually extended the terms of COGSA outside of the “tackle to tackle” period; (2) contractually extending the package limitation does not…