Losing international air freight can be a frustrating experience, but understanding the proper procedures for investigation and compensation can help minimize losses. This guide outlines a systematic approach to resolving such incidents while protecting your legal rights.
1. Immediate Action: Launch an Investigation Within 48 Hours
Confirm the Missing Status and Obtain Official Documentation
If cargo fails to arrive at its destination, immediately contact the destination port agent or airline cargo terminal to initiate a "cargo trace" process. Request an official non-arrival certificate or loss confirmation letter with the airline's stamp—this document serves as the foundation for any compensation claim.
Eliminate False Disappearance Scenarios
Before filing a claim, verify these common situations that might resemble cargo loss:
- Misrouted shipments: Cargo may have been incorrectly assigned to another flight or warehouse.
- Customs holds: Delays may occur due to incomplete documentation or declaration discrepancies.
- Delivery delays: While frustrating, late arrivals don't qualify as lost cargo.
Submit Formal Notification
The Montreal Convention requires recipients to notify carriers of lost cargo within seven days via written communication. Include essential details like the air waybill number, date of loss, and location. Maintain records of all correspondence.
2. Identifying Responsible Parties and Preparing Documentation
Determining Liability
- For direct airline bookings: File claims with the carrier.
- For freight forwarder arrangements: Work through your forwarding agent.
- For multimodal transport: Identify where the loss occurred to determine the responsible party.
Essential Documentation
- Basic documents: Air waybill copies, commercial invoices, packing lists, customs declarations
- Proof of loss: Official confirmation from airlines or port authorities
- Supplemental materials: Cargo photographs, claim letters with corporate seals, insurance policies
3. Filing the Formal Claim
Critical Timeframes
- Non-insurance claims must be submitted within 21 days of expected delivery.
- Legal action must commence within two years of the loss date per the Montreal Convention.
Claim Submission Process
Submit complete documentation through proper channels, including official claim forms and payment account information. Expect 7-15 business days for airline review, with possible requests for additional verification.
4. Understanding Compensation Standards
- Unvalued cargo: Limited to approximately $25 per kilogram under Montreal Convention guidelines.
- Declared value shipments: Compensation based on declared value, not exceeding actual worth.
- Special circumstances: Losses due to force majeure, improper packaging, or customs issues typically receive no compensation.
5. Dispute Resolution and Preventive Measures
Addressing Claim Denials
Request written denial explanations and consider:
- Industry mediation services
- Corporate-level complaints
- Legal action within the two-year window
Preventive Strategies
- Accurate cargo declarations for name and value
- Valuation protection for high-value shipments
- Comprehensive documentation retention
- Written communication for all claims
- Insurance policy updates for any shipping modifications
6. Efficiency Recommendations
- Digitize shipping documents for quick access
- Establish investigation timelines with service providers
- Consider comprehensive insurance coverage