Logistical chaos at ports could end in a legal battle

Among the logistical issues that have defined 2022 for ports worldwide, lawyers specializing in Port Law report a spike in requests from logistics operators concerned about delays in the arrival and departure of cargo. If no answers are found, there is a possibility of a wave of equities in the following months.

With the war between Russia and Ukraine, the global container crisis, and the Chinese lockdowns, an actual logistical disaster has emerged since the beginning of the covid-19 outbreak, resulting in a surge in freight values and, in Brazil, shipping delays. According to lawyers, the most heated debate is over the best way to stop losses.

Upsurge in demand

Lawyer Rafael Ferreira, part of the law firm Advocacia Ruy de Mello Miller, explained how the port operations have generated a great demand for consultations to determine the minimum time for long a cargo delay to compensate, for example. “All parties involved are attempting to grasp what they can and cannot demand to finally take these conflicts to the courts when provided by law.”

According to him, each case has a particularity, such as the type of damage caused by the delay (if the cargo was damaged, if there was a contractual term), in addition to reasons beyond the routine of logistics operators. “Several factors can be questioned. For example, is it the shipowner’s fault that a certain good wasn’t delivered sooner, or are they free from responsibility given the current global scenario and the diverse port regulations out there?”

Ferreira explains that all logistical problems are part of the same chain. “It’s not just the lack of containers, for example. It involves other issues, in particular delay in berthing stops, along with blank sailings, among other things. These disputes did not arise with the pandemic, but they got worse during it. Nobody saw that coming, and thus, we can characterize the scene as something of force majeure.”

Deadlines in the spotlight 

Marcos Poliszezuk, the founding partner of the Poliszezuk law firm, agrees that deadlines are failing to meet deadlines might be the most prominent reason for future legal disputes. “It’s a matter of contractual law,” he explains, citing the import of perishable cargo as an example. “But if it’s due to a war or force majeure, you have no reason to complain, and you lose the action.”

Legally, he notes that the container crisis can cause contractual issues in logistics in general. “You have a contract for a service, but your cargo cannot leave owing to a container shortage, and you must enter into a new contract. This duplicate contract will have to be paid for by someone. Can you legally obligate the first contractor? That kind of circumstance is possible to arise.”

To illustrate multiplicity, he mentions delays in the Port of Santos caused by the “standard operation” protest of Federal Revenue servers. “Notwithstanding, the war in Ukraine caused the greatest delays. The flow now is abnormal, and that causes significant losses to companies, which may result in legal issues in the future depending on the extent of the damage.”

For Ferreira, the demand of logistics operators for legal assistance is “more of a preventive nature.” “Players want to understand how this global crisis will affect their business and their relationship with other players. The problem exists, and it’s no one’s fault.”

Source: A Tribuna

To read the full original article, please go to:

https://www.atribuna.com.br/noticias/portomar/caos-logistico-nos-portos-pode-terminar-em-batalha-judicial

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