Chap009Cases

The Legal and Regulatory Environment of Business

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Case 09 Case 9-1 (Chapter 9, p. 267) NORFOLK SOUTHERN RAILWAY COMPANY v. KIRBY, PTY, LTD., DBA KIRBY ENGINEERING 125 S.Ct. 385 (2004) FACTS: To transport its manufacturing goods from Australia to Huntsville, Alabama, Kirby contracted with International Cargo Control (ICC), a freight forwarding company. These goods were to be shipped in 10 containers. These containers traveled by ship from Australia to Savannah, Georgia. Then they were placed on a Norfolk Southern train for delivery to Huntsville. During this final leg of the trip, the containers and the contents were damaged when the train derailed. Kirby claims a loss of $1,500,000 and sued Norfolk Southern. The railway company claims its liability is limited by the terms of the bill of lading issued by ICC to Kirby. [NOTE: A second bill of lading issued by the actual shipping company to ICC contains similar limitation of liability causes.] The 11 th Circuit Court of Appeals ruled in favor of Kirby, and Norfolk Southern was granted certiorari by the
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Chap009Cases - Case 09 Case 9-1 (Chapter 9, p. 267) NORFOLK...

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