Question
National carrier inc arranges with Lighting fixtures to move a shipment of pendants fromToronto, Ontario to Winnipeg, Manitoba. Lightning 's staff loads the pendants, which
National carrier inc arranges with Lighting fixtures to move a shipment of pendants fromToronto, Ontario to Winnipeg, Manitoba. Lightning 's staff loads the pendants, which are in cartons, on pallets. National's driver surveys the scene after loading is complete. It seems tothe driver that some of the straps holding the cartons to the pallets are a little loose. He doesnot say anything to Lighting's people. Lighting declares $100,000 on the bill of lading andNational issues a clean bill of lading. When the shipment is delivered in Winnipeg on November 12, 2006, 20% of the pendants have shifted in transit and are destroyed. The value of thedamaged pendants is $10,000. Lighting both gives notice of its claim and sues on January29, 2007 for $50,000. Will Lighting succeed in its action and, if so, how much will it be awardedin damages?
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