Acciai Speciali Terni USA, Inc. (AST), hired a carrier to ship steel sheets and coils from Italy

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Acciai Speciali Terni USA, Inc. (AST), hired a carrier to ship steel sheets and coils from Italy to the United States on the M/V Berane. The ship’s receipt for the goods included a forum-selection clause, which stated that any dispute would be “decided in the country where the carrier has his principal place of business.” The receipt also contained a “Himalaya” clause, which extended “every right, exemption from liability, defense and immunity” that the carrier enjoyed to those acting on the carrier’s behalf. Transcom Terminals, Ltd., was the U.S. stevedore—that is, Transcom off-loaded the vessel and stored the cargo for eventual delivery to AST .Finding the cargo damaged, AST filed a suit in a federal district court against Transcom and others, charging, among other things, negligence in the off-loading. Transcom filed a motion to dismiss on the basis of the forum-selection clause. Transcom argued that it was an intended third party beneficiary of this provision through the Himalaya clause. Is Transcom correct? What should the court rule? Explain.

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Business Law Text and Cases

ISBN: 978-0324655223

11th Edition

Authors: Kenneth W. Clarkson, Roger LeRoy Miller, Gaylord A. Jentz, F

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