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BOOK III. CARRIAGE AND INSURANCE

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BOOK III. CARRIAGE AND INSURANCE

 

TITLE I. CARRIAGE BY LAND

 

Chapter I. General Provisions

 

Art. 561. – Contract of carriage.

A contract of carriage is a contract whereby a person, called the carrier, undertakes for reward to carry persons, baggage or goods and to convey them to a specified place.

 

Art. 562. – Baggage.

 

  1. Objects which a passenger causes to be carried with him, such as objects contained in trunks, baskets, hand-bags or other packages of a similar nature, shall be deemed to be baggage.
  2. Objects which a passenger is allowed to carry with him and which are not registered by the carrier shall be deemed to be hand-baggage.
  3. Objects which are entrusted to and taken over by the carrier shall be deemed to the registered baggage.

 

Art. 563. – Carriage by land.

 

The provisions of this Title shall apply to any person who undertakes for  reward to carry persons, baggage or goods by land, in particular by road, railway or inland waterways such as rivers, canals or lakes.

Art. 564. – Carriage by air.

The provisions of Title II of this Book shall apply to the carriage by air of persons, baggage or goods.

 

Art. 565. – Carriage by sea.

The relevant provisions of the Maritime Code shall apply to the carriage by sea of persons, baggage or goods.

 

Art. 566. – Contract 01 carriage made by agent.

The provisions of Art. 2251 of the Civil Code shall apply to contract of carriage made by agents.

 

Chapter 2. Transport Titles

Section 1. Passenger’s Ticket

Art. 567. – Ticket may be required.

  1. A contract of carriage of persons shall come into being where the parties agree. The carrier may require the passenger to procure for himself and to preserve until completion of the voyage a transport title such as a bill, ticket or season ticket.
  2. Provisions may be made to the effect that a person who travels without a ticket shall be liable to pay a surcharge in addition to the cost of the journey.
  3. The cost of transportation and the time of departure and arrival shall be specified on the passenger’s ticket.

 

Section 2. Luggage – Tickets

Art. 568. – Right of passenger.

The passenger may require the carrier to deliver to him in respect of registered baggage a luggage-ticket showing the date and place of issue, the place from and to which the baggage is to be carried, the number of pieces and the weight of the baggage, and the cost of transport unless it is included in the cost of the passenger’s transport.

 

Art. 569. – Purpose of luggage-ticket.

  1. Unless the contrary is proved, a luggage-ticket shall be proof of the registration and conditions of transport of the baggage.
  2. The provisions of this Title shall apply and the contract of carriage shall be valid and remain in force notwithstanding that there is no luggage-ticket or no valid ticket or the ticket has been lost. The carrier shall not hand the baggage to the person who requires it without a luggage-ticket unless such person can show that he is entitled to the baggage.

 

Section 3. Transport titles in respect of goods

Art. 570. – Transport title not issued, not valid or lost.

The provisions of this Title shall apply and the contract of carriage of goods shall be valid and remain in force notwithstanding that there is no valid ticket or the title has been lost.

 

Art. 571. – Issue of consignment note.

Any carrier of goods may require the sender to prepare and to hand to  him a document called a consignment note. Any sender may require the carrier to accept such consignment note.

 

Art. 572. – Copies of consignment note.

  1. Three copies of the consignment note shall be made.
  2. The first copy shall be signed by the sender and shall remain with the carrier.
  3. The second copy shall be signed by the sender and the carrier and shall remain with the goods.
  4. The third copy shall be signed by the carrier and handed by the carrier to the sender after the goods have been accepted.

 

Art. 573. – Particulars in consignment note.

The consignment note shall show:

  1. the date and place of issue;
  2. the place from and to which the goods are to be carried;
  3. the names and addresses of the sender and addressee;
  4. the name of the carrier;
  5. the means of transport;
  6. the nature, number, volume or weight of the goods;
  7. the distinguishing marks or numbers affixed on the parcels, if any;
  8. the cost of transport, the time within which and the route whereby the goods are to be carried.

 

Art. 574. – Consignment note to order.

A consignment note may be made to order where the sender and the carrier agree.

 

Art. 575. – Other documents.

Where the sender and the carrier agree, a consignment note may be replaced by any other document, such as a receipt delivered by the carrier on the sender having made all appropriate statements.

 

Art. 576. – Effect of transport titles.

Unless the contrary is proved, a consignment note or receipt delivered by the carrier shall be proof of the making of the contract, of the receipt of the goods and of the nature, number, volume or weight of the goods.

 

Chapter 3. Rights and Duties of parties to a contract of carriage

Section 1. Rights and duties of sender and addressee

Art. 577. – Statements by sender.

  1. Each piece of the consignment shall show:
  2. the name and address of the sender and the addressee;
  3. the place from and to which the goods are to be carried;
  4. the nature, number, value or weight, of the goods;
  5. the distinguishing marks or numbers affixed on the parcels, if any.
  6. The sender shall be liable for any damage caused to the carrier or to a person for whom the carrier is responsible arising out of irregular, inaccurate or incomplete statements relating to the consignment.

 

Art. 578. – Packing.

  1. Where the nature of the goods is such that packing is needed, the sender shall pack the goods so that they be not lost nor damaged nor likely to damage persons, baggage or other goods carried.
  2. The sender shall be liable for any damage arising out of defective packing. The carrier shall be liable for such damage where he accepted to city the goods and he knew that they were not packed or the packing was defective.

 

Art. 579. – Right of sender to dispose of the goods.

  1. Where he carries out all his duties under the contract of carriage, the sender may dispose of the goods, either by taking them back from the carrier or by stopping them during their transport or by causing them to be delivered during the transport before they arrive at the place of destination to a person other than the addressee named in the contract.
  2. Where a transport title has been delivered to the sender, he may not dispose of the goods unless he produces the title to the carrier.

 

Art. 580. – When sender may not dispose of the goods.

The sender may not dispose of the goods after the transport title has been  handed to the addressee or where the goods have been carried to their destination and the addressee has required the carrier to deliver them to  him.

Art. 581. – Rights of addressee.

Without prejudice to the provisions of Art. 579 and 580, the addressee  may exercise all the rights and shall incur all the liabilities arising out of a contract of carriage to which he has agreed.

 

Art. 582. – Cost of transport.

  1. The cost of transport and all incidental expenses shall be met by the sender.
  2. Where the goods have been sent carriage forward, the sender and the addressee who accepted the consignment shall be jointly and severally liable for the cost of transport and all incidental expenses.

 

Section 2. Duties of carrier of goods or registered baggage

 

Art. 583. – Conveyance of goods and baggage.

  1. The carrier shall, within the agreed time, convey the goods to the agreed place with all customary care and deliver them to the addressee.
  2. He shall in the same manner convey registered baggage and deliver it to the addressee or the person acting on his behalf.

 

Art. 584. – Notice to addressee.

Where the goods cannot be delivered at the addressee’s domicile or are not taken away by the addressee, the carrier shall without delay inform the addressee of the arrival of the goods and of the time when and place where they are available.

Art. 585. – Goods which cannot be delivered.

  1. Where goods cannot be delivered, the carrier shall without delay inform the sender and require him to give instructions. Where the carrier cannot keep the goods in his custody, he shall move the court to order that the goods be deposited with a third party.
  2. Where goods which cannot be delivered are of a perishable nature and the carrier cannot receive the sender’s instructions in due time, he shall cause the goods to be sold.

 

Art. 586. – Baggage which cannot be delivered.

  1. Where registered baggage cannot be delivered at the addressee’s domicile and is not taken away on arrival by the passenger or the person acting on his behalf, the carrier shall where possible require the passenger to give instructions.
  2. Where the carrier cannot keep the registered baggage in his custody or such baggage is of a perishable nature, the provisions of Art. 585 shall apply.

 

Section 3. Duties of parties to a contract of carriage of persons

 

Art. 587. – Duties of passenger.

The passenger shall pay the fare agreed in the contract, present himself at the time and place of departure and comply during the journey with the instructions given by the carrier or prescribed by law.

 

Art. 588. – Duties of carrier

The carrier shall carry the passenger safely to his destination and shall comply with the terms of the contract as to time and comfort.

 

Chapter 4. Liability of the carrier

Art. 589. – Hand baggage.

Hand baggage shall remain in the passenger’s custody and the carrier shall not be liable for the loss of or damage to such baggage.

 

Art. 590. – Loss of or damage to goods or registered baggage.

Without prejudice to the provisions of the following articles, the carrier shall be liable for the loss, whether total or partial, of goods or registered baggage or for any damage thereto or delay in the conveyance thereof.

 

Art. 591. – Liability excluded in certain cases.

The carrier shall be relieved in whole or in part of his liability under Art. 590 where he can show that the loss, damage or delay was due in whole or in part to force majeure, an inherent defect in the object carried or the fault of the sender or addressee.

 

Art. 592. – Wear and tear.

The loss of weight or volume which goods or registered baggage suffer by reason of the transport shall be regarded as an inherent defect and the carrier shall be liable for such loss only as exceeds customary limits.

 

Art. 593. – Provisions excluding liability.

  1. The carrier may by agreement relieve himself of liability for delay in the conveyance of goods or registered baggage.
  2. Any provision relieving the carrier of liability for loss of or damage to goods or registered baggage shall be of no effect.

 

Art. 594. – Limitation of liability.

The carrier may by agreement limit his liability for any total or partial loss of or damage to goods or registered baggage. Any such limitation shall be of no effect where the agreed compensation is so disproportionate to     the value of the object carried as to make the carrier’s liability negligible.

 

Art. 595. – Liability of carrier of passengers.

Without prejudice to the provisions of the following articles, a person who carries passengers shall be liable for any delay in the carriage and for the death of or bodily injury to a passenger due to an accident occurring     during the journey or whilst the passenger was mounting or alighting.

 

Art. 596. – Liability excluded in certain cases.

The carrier shall be relieved in whole or in part of his liability for death or     bodily injury under Art. 595 where he can show that the accident was due in whole or in part to force majeure, the act of a third party or the fault of     the passenger himself.

 

Art. 597. – Limitation of liability.

  1. The carrier’s liability shall not exceed Eth. $ 40,000 per passenger, whoever the passenger may be.
  2. Where compensation is to be paid by way of annuity, the capital of the annuity shall not exceed Eth. $ 40,000.

 

Art. 598. – Provisions excluding liability.

  1. The carrier may by agreement relieve himself of liability for any delay in the carrying.
  2. Any provision relieving the carrier of liability for death or bodily injury or limiting the carrier’s liability to less than Eth. $ 40,000 shall be of no effect.

 

Art. 599. – Liability not limited in certain cases.

The provisions of Art. 594 and 597 shall not apply where it is proved that the damage is due to the carrier’s act or omission and the carrier knew that such act or omission would or could cause damage.

 

Art. 600. – Liability of successive carriers.

  1. Where a contract of carriage is performed by more than one carrier, the passenger or those having rights from him may only claim against the carrier in charge of that part of the journey during which the accident or delay occurred unless it has been expressly specified that the liability of the first carrier would extend to the whole journey.
  2. In respect of goods or registered baggage, the sender may claim against the first carrier and the addressee may claim against the last carrier. The sender and addressee may in addition claim against the carrier in charge of that part of the carrying during which the loss, whether total or partial, the damage or the delay occurred.
  3. The carriers mentioned in sub-art. (2) shall be jointly and severally liable to the sender and addressee.

 

Chapter 5. Legal proceedings

Art. 601. – Expert opinion, deposit and sale.

  1. Where a dispute arises as to goods or registered baggage, the court within whose area of jurisdiction the goods or baggage are, may on application allow the calling of expert evidence. The applicant shall give notice thereof to all interested parties except in cases of urgency where notice may be waived by the court.
  2. The court may order the goods or baggage to be deposited with a third party.
  3. The court may order the goods or baggage to be sold on having checked the condition thereof.

 

Art. 602. – Acceptance and protest.

  1. Unconditional acceptance of goods or registered baggage shall be a bar to any claim for total or partial loss, damage or delay being brought against the carrier, unless there has been fraud on the carrier’s part.
  2. The carrier shall be liable for any non-apparent damage where the addressee enters a protest against the carrier as soon as he is aware of such damage or within not more than seven days from the delivery of the goods or baggage.

 

Art. 603. – Limitation.

  1. Any claim arising out of a contract of carriage shall be barred after two years from the day when the passengers, goods or registered baggage have or should have arrived at their destination or when their carrying was abandoned.
  2. Where e claim is barred, the creditor may not set up his claim by way of counter claim nor by way of defence.

 

TITLE II. CARRIAGE BY AIR

 

Chapter 1. General provisions

 

Art. 604. – Scope of application.

The provisions of this Title shall apply to the carriage of persons, baggage or goods by aircraft whether for reward or free of charge.

 

Art. 605. – Definition of aircraft.

Any apparatus capable of raising or circulating in the air shall be deemed to be an aircraft within the meaning of Art. 604.

 

Chapter 2. Transport titles

 

Section 1. Passenger’s ticket

Art. 606. – Issue of ticket.

  1. A ticket shall be delivered to any person to be carried by air.
  2. The ticket shall show:
  3. the place and date of issue;
  4. the name and address of the carrier;
  5. the place from and to which the passenger is to be carried and the places of call, if any;
  6. the fare of transport.
  7. The ticket shall contain a notice informing the passenger that the carrier’s liability is limited for death or bodily injury and for the loss of or damage to baggage.

 

Art. 607. – Purpose of luggage-ticket.

 

  1. Unless the contrary is proved, the ticket shall be proof of the making and conditions of the contract of carriage.
  2. The provisions of this Title shall apply and the contract of carriage shall be valid and remain in force notwithstanding that there is no ticket or no valid ticket or the ticket has been lost. Where the carrier agrees to a passenger embarking without a ticket or where the ticket does not contain the notice provided in Art. 606 (3), the provisions of Art. 636, 637 and 638 regarding the carrier’s limited liability shall not apply.

 

Section 2. Luggage – Ticket

 

Art. 608. – Issue of Luggage-ticket.

  1. A luggage-ticket shall be issued where registered baggage is to be carried by air.
  2. The luggage-ticket shall show:
  3. the place and date of issue;
  4. the name and address of the carrier;
  5. the number of the passenger’s ticket;
  6. the place from and to which the baggage is to be carried;
  7. the number and weight of the pieces.
  8. Where the luggage-ticket is not connected with a passenger’s ticket under Art. 606 or is not included therein, it shall show that the carrier’s liability is limited in respect of the loss of or damage to the baggage.

 

Art. 609. – Purpose of luggage-ticket.

 

  1. Unless the contrary is proved, the luggage-ticket shall be proof of the registration of the baggage and of the conditions of the contract of carriage.
  2. The provisions of this Title shall apply and the contract of carriage shall be valid and remain in force notwithstanding that there is no luggage-ticket or no valid ticket or the ticket has been lost. Where the carrier accepts the baggage without a luggage-ticket or where a luggage-ticket is not connected with or included in a passenger’s ticket and does not contain the notice provided in Art. 608 (3), the provisions of Art. 637 regarding the carrier’s limited liability shall not apply.

 

Section 3. Bill of lading

 

Art. 610. – Issue of bill of lading.

Any carrier of goods may require the sender to prepare and to hand to him a document called a bill of loading. Any sender may require the carrier to accept such bill of lading.

 

Art. 611. – Bill of lading not issued, not valid or lot.

 

The provisions of this Title shall apply and the contract of carriage shall be valid and remain in force notwithstanding that there is no bill of lading or no valid bill or the bill, has been lost.

 

Art. 612. – Copies of bill of lading.

 

  1. Three copies of the bill of lading shall be prepared by the sender and delivered to the carrier together with the goods.
  2. The first copy shall bear the words: “for the carrier” and shall be signed by the sender.
  3. The second copy shall bear the words: “for the addressee.” It shall be signed by the sender and the carrier and shall remain with the goods.
  4. The third copy shall be signed by the carrier and hlll1ded to the sender after the goods have been accepted by the carrier.

 

Art. 613. – Signatures.

 

  1. The carrier shall sign the bill of lading before the goods are loaded.
  2. The carrier’s signature may be replaced by a stamp. The sender’s signature may be printed or replaced by a stamp.
  3. Unless the contrary is proved, the carrier shall be deemed to act on behalf of the sender where he prepares the bill of lading at the request of the sender.

 

Art. 614. – More than one parcel.

Where more than one parcel is to be carried, the carrier may require the sender to prepare separate bills of lading.

 

Art. 615. – Particulars in the bill of lading.

  1. The bill of lading shall show:
  2. the place and date of issue;
  3. the place from and to which the goods are to be carried;
  4. the name and addresses of the sender, the addressee and the first carrier;
  5. the nature, number of pieces, volume or weight of the goods;
  6. the distinguishing marks or numbers affixed on the parcels, if any;
  7. the condition of the goods and the nature and condition of packing, if any;
  8. the cost of transport;
  9. the time within which and the route whereby the goods are to be carried.
  10. The bill of lading shall contain a notice informing the sender of the carrier’s limited liability for loss of or damage to the goods.

 

Art. 616. – Bill of lading to order.

Where the sender and carrier agree, the bill of lading may be to order.

 

Art. 617. – Bill of lading not issued or incomplete.

Where the carrier accepts goods to be loaded without a bill of lading having been prepared or containing the notice provided in Art. 615 (2), the provisions of Art. 637 regarding the carrier’s limited .liability shall not  apply.

  1. The sender shall be liable for the accuracy of the statements he makes in the bill of lading.
  2. He shall be liable for any damage caused to the carrier or to a person for whom the carrier is responsible arising out of irregular, inaccurate or incomplete statements in the bill of lading.

Art. 619. – Effect of bill of lading.

  1. Unless the contrary is proved, a bill of lading shall be proof of the making of the contract, of the receipt of the goods and of the conditions of transport.
  2. Statements as to the weight, size and packing of the goods and to the number of parcels shall be deemed to be correct unless the contrary is proved.
  3. Statements as to the quantity, volume or condition of the goods may be proved against the carrier only where the accuracy of the bill of lading has been checked by the carrier in the presence of the sender and the result of the check certified on the bill of lading, or where such statements relate to the apparent condition of the goods.

 

Chapter 3. Rights and duties of sender and addressee

Art. 620. – Right of sender to dispose of the goods.

  1. Where he carries out all his duties under the contract of carriage, the sender may dispose of the goods, either by withdrawing them from the airport at the place of departure of destination, or by stopping them at a place of call or by causing them to be delivered during the carrying or on completion of the carrying to a person other than the addressee named in the bill of lading or by requiring them to be flown back to the airport at the place of departure. .
  2. The sender may exercise his rights under sub-art. (1) where no damage is caused thereby to the carrier or other senders. He shall be liable for all expenses arising out of the exercise of such rights.
  3. The carrier shall forthwith inform the sender where instructions given by the sender under sub-art. (1) cannot be carried out.

 

Art. 621. – Failure to produce bill of lading.

  1. A carrier who complies with instructions given by the sender without requiring the sender to produce his copy of the bill of lading shall be liable for any damage caused thereby to any person who may have regularly obtained the bill of lading.
  2. A carrier who has paid compensation for damages under sub-art. (1) may claim against the sender for the reimbursement of such compensation.

 

Art. 622. – When sender may not dispose of the goods.

The sender may not exercise his rights under Art. 620 as from the date when the addressee may exercise his rights under Art. 623, unless the address cannot be found or refuses to accept the goods or the bill of lading.

 

Art. 623. – Rights of addressee.

  1. Unless the sender exercises his right under Art. 620, .the addressee may on the arrival of the goods at their destination require the carrier to hand to him the copy of the bill of lading and to deliver the goods to him.
  2. The provisions of sub-art. ( 1 ) shall not carrit:3 out his duties as to payment and lading apply unless the addressee transport under the bill of

 

Art. 624. – Notice to addressee.

Unless otherwise agreed, the carrier shall forthwith inform the addressee of the arrival of the goods.

 

Art. 625. – Loss of the good.

Where the carrier admits that goods have been lost or where the goods have not arrived within seven days from the date on which they were due,  the addressee may require the carrier to discharge his liabilities under the contract of carriage.

 

Art. 626. – Rights exercised on behalf of a third party.

Where they comply with the conditions laid down in the contract of carriage, the sender and addressee may exercise all their rights under the preceding articles in their own name; whether on their own behalf or on be half of a third party.

 

Art. 627. – Relations between sender and addressee.

Nothing in Art. 620-626 shall affect the relations between the sender and the addressee nor the relations between third parties who have rights from the sender or address.

 

Art. 628. – Art. 620-626 not applicable certain cases.

Any provision contrary to the provisions of Art. 620-626 shall be of no effect unless it is laid down in the bill of lading.

 

Art. 629. – Information to be given by sender.

  1. The sender shall give all information and annex to the bill of lading all documents necessary for complying with customs, dues or control regulations before the goods can be delivered to the addressee.
  2. The sender shall be liable for any damage caused to the carrier where he does not give such information or documents or gives inaccurate or incomplete information or documents.
  3. The provisions of sub-art. (2) shall not apply where a fault has been committed by the carrier or his agent.
  4. The carrier shall not be bound to examine whether the information or documents given to him are accurate or sufficient.

Chapter 4. Liability of the Carrier

Art. 630. – Injury to the person.

The carrier shall be liable for the death of or bodily injury to a passenger due to an accident occurring aboard an aircraft or whilst the passenger was embarking or disembarking.

 

Art. 631. – Loss of or damage to baggage or goods.

The carrier shall be liable for the loss of or damage to registered baggage or goods due to an occurrence having taken place whilst such baggage or goods were carried by air.

 

Art. 632. – Carrying by air.

  1. Carrying by air within the meaning of Art. 631 shall include the time within which the baggage or goods are in the carrier’s custody, whether at the airport or in the aircraft or in any other place not being’ all airport where the aircraft may have to land.
  2. Carrying by air shall not include any carrying by land, sea or river taking place outside au airport. In cases of carrying by land, sea or river taking place with a view to loading, delivering or transhipping, any loss or damage shall be deemed to have occurred while the baggage or goods were carried by air, unless the contrary is proved.

 

Art. 633. – Delay.

The carrier shall be liable for any delay in carrying passengers, baggage or goods.

 

 

 

 

Art. 634. – Proof of care by carrier

The carrier shall not be liable where he can show that he and his agents     have taken all measures necessary for averting the damage or that such     measures could not be taken.

 

Art. 635. – Injured party at fault.

The court may reduce or waive the carrier’s liability where the carrier can     show that the damage was caused in whole or in part by the injured party     himself.

 

Art. 636. – Limitation of liability for damage to the person.

  1. The carrier’s liability shall not exceed Eth. $ 40,000 per passenger. Where compensation is to be paid by way of annuity, the capital of the annuity shall not exceed Eth. $ 40,000.
  2. The provisions of sub-art. (1) shall apply only where no higher limit bas been agreed by the passenger and the carrier.

 

Art. 637. – Limitation of liability for baggage or goods.

  1. In respect of goods and registered baggage, the carrier’s liability shall not exceed Eth. $ 410per kg.
  2. The provisions of sub-art. (1) shall not apply where the sender on handing the goods or baggage to the carrier, expressly specifies that he has a special interest in their delivery and pays such surcharge as may be required.
  3. In the case provided in sub-art. (2) the carrier shall pay the agreed compensation unless he can show that such compensation exceeds the sender’s actual interest in the delivery.
  4. In the event of loss, damage or delay affecting part only of the registered baggage or goods or any object forming part thereof, the carrier’s limited liability shall be determined having regard to the total weight of the baggage, goods or object concerned.
  5. Where a loss, damage or delay under sub-art. (4) affects other goods carried under the same luggage-ticket or bill of lading, the carrier’s limited liability shall be determined having regard to the total weight of the goods concerned.

 

Art. 638. – Objects in the passenger’s custody.

In respect of objects in the passenger’s custody, the carrier’s liability shall     not exceed Eth. $ 800 per passenger.

 

Art. 639. – Cases where the limits are exceeded.

  1. The limits laid down in Art. 636.638 shall not prevent the court from granting such additional compensation as may be required to cover all or part of the expenses incurred by the plantiff in bringing his suit.
  2. The provisions of sub-art. (1) shall not apply where the compensation granted, not including expenses incurred by the plantiff, does not exceed the sum offered in writing by the carrier to the plaintiff within six months from the occurrence of the damage or before the suit was brought, where it was brought more than six months after the occurrence of the damage.

 

Art. 640. – Provisions excluding liability.

Any provision relieving the carrier from liability or fixing limits lower     than those provided in the preceding Articles shall be of no effect, and the     provisions of this Title shall apply and the contract shall remain in force.

 

 

 

 

Art. 641. – Inherent defect in the goods.

Notwithstanding the provisions of Art. 640, the carrier may relieve     himself of liability for any loss or damage arising out of an inherent defect     in the goods carried.

 

Art. 642. – Legal proceedings.

  1. An action for damages under Art. 6 31-633 may only be brought on the conditions and subject to the limits provided in this Title.
  2. The provisions of sub-art. (1) shall also apply to claims under Art. 630, without prejudice to the persons who are entitled to claim all to their respective rights.

 

Art. 643. – Liability not limited in certain cases.

  1. The provisions of Art. 636, 637 and 638 shall not apply where it i~ proved that the damage is due to an act or omission of the carrier or his agent, where the carrier or agent knew that such act or omission would or could cause damage.
  2. Where the act or omission is due to an agent, it shall have to be proved that the agent was acting in the discharge of his duties.

 

Art. 644. – Claim against the carrier’s agent.

  1. Where a claim for damages under this Title is brought against the carrier’s agent, the provisions of Art. 636, 637 and 638 shall apply to the agent, provided he acted in the discharge of his duties.
  2. The total compensation due from the carrier and the agent shall not exceed the limits laid down in Art. 636, 637 and 638.
  3. The provisions of sub-art. (1) and (2) shall not apply where it is proved that the damage is due to the agent’s act or omission and the agent knew that such act or omission would or would be likely to cause damage.

 

Art. 645. – Acceptance and protest.

  1. Unless the contrary is proved, unconditional acceptance of baggage or goods by the addressee shall be proof that the goods have been delivered in good condition and in accordance with the bill of lading.
  2. In cases of damage, the addressee shall enter a protest against the carrier as soon as he is aware of the damage or w1t1rin not more than seven days from the delivery of the baggage and not more than fourteen days from the delivery of the goods.
  3. In cases of delay, protest shall be enetred twenty-one days from the date on which the delivered to the addressee.
  4. Protest under this Article shall be entered by a notice on the bill of lading or by any other document sent, to the carrier within the periods provided in this Article.
  5. Where protest is not entered in due time, no claim may be brought against the carrier, unless there has been fraud on the carrier’s part within not more than baggage or goods were

 

Art. 646. – Death of debtor.

Where the debtor dies, claims for damages under this Title shall be     brought against those having rights from him.

 

Art. 647. – Jurisdiction.

  1. Any claim for damages under this Title may be brought, in the discretion of the plaintiff, either before the court of the place where the carrier is domiciled, has his principal place of business or has an agent who made the contract or before the court of the place of destination.
  2. Any provision contrary to the provisions of sub-art. (1) shall be of no effect.
  3. In respect of carriage of goods, provisions may be made with a view to arbitration, provided such arbitration is to take place in any of the places mentioned in sub-art. (1).

 

Art. 648. – Limitation.

Any claim for damages under this Title shall be barred after two years     from the day when the aircraft arrived or should have arrived or when the     carrying was abandoned.

 

Art. 649. – Definition of days.

For the purpose of this Title “days” shall include all days, whether     working days or holidays.

 

Chapter 5. Provisions applicable to certain forms

of transport

Art. 650. – Extraordinary circumstances.

The provisions of Art. 606-617 of this Code relating to transport titles     shall not apply to carriage taking place in extraordinary circumstances     outside normal operation of the transport undertaking.

 

Art. 651. – Successive carriers.

For the purpose of this Title, carriage by air undertaken by successive     carriers shall be deemed to be one carriage where it has been regarded by     the parties as a single operation and whether it was provided in one or     more contracts.

 

Art. 652. – Liability of successive carriers.

  1. In cases of carriage by air undertaken by successive carriers, the provisions of this Title shall apply to each carrier who carries passengers, baggage or goods and the carrier shall be deemed to be a party to the contract of carriage where such contract relates to that part of carrying to be effected under that carrier’s responsibility.
  2. In cases of carriage as defined in sub-art. (1), the passenger or those having rights from him may only claim against the carrier in charge of that part of the journey during which the accident or delay occurred, unless it has been expressly specified that the liability of the first carrier would extend to the whole journey.
  3. In respect of goods or registered baggage, the sender may claim against the first carrier and the addressee may claim l18ainst the last carrier. The sender and addressee may in addition claim l18ainst the carrier in charge of, that part of the carrying during which the loss, whether total or partial, the damage or the delay occurred.
  4. The carriers mentioned in sub-art. (3) shall be jointly and severally liable to the sender and addressee.

 

Art. 653. – Combined carnage.

  1. In cases of combined carriage effected partly by air and partly by other means of transport, the provisions of this Title shall apply to the carrying by air only.
  2. The parties may make provisions on other means of transport in the provisions of this Title regarding carrying by air.

 

TITLE III. INSURANCE

 

Chapter 1. General Provisions

 

Art. 654. – Definition.

  1. An insurance policy is a contract whereby a person, called the insurer, undertakes against payment of one or more premiums to pay to a person, called the beneficiary, a sum of money where a specified risk materialises.
  2. Where damages are insured, the insurance policy the risks affecting property or arising out of the civil liability.
  3. Where persons are insured, the insurance risks arising out of death or life, or to risks the person or illness shall extend to insured person’s policy shall extend to arising out of injury to the person or illness.

 

Art. 655. – Scope of application of this Title.

 

  1. The provisions of this Title shall apply to insurance of risks arising on land, on rivers or in the air.
  2. They shall not apply to marine insurance which shall be subject to the relevant provisions of the Maritime Code, nor to State insurance.

 

Art. 656. – Insurance companies.

 

The conditions on which physical persons or business organisations may carry on insurance business shall be provided by law.

 

Chapter 2. Provisions applicable to all forms of insurance

 

Section 1. Insurance Policy

Art. 657. – Proof of contract of insurance.

  1. The contract of insurance shall be supported by a document called an insurance policy.
  2. The policy may only be varied in writing by documents called endorsements.
  3. The insurer and beneficiary shall be bound where, prior to the signature of the policy or endorsements, the insurer hands to the beneficiary a document setting up a provisional guarantee until the policy or endorsement is signed.

 

Art. 658. – Particulars in the policy.

 

The insurance policy shall show:

  1. the place and date of the contract;
  2. the names and addresses of the parties;
  3. the item, liability or person insured;
  4. the nature of the risks insured;
  5. the amount of the guarantee;
  6. the amount of the premium;
  7. the term for which the contract is made.

 

Art. 659. – Entry into force of insurance policy.

 

  1. Unless otherwise expressly specified, the insurance policy shall come into force on the day when the policy is signed.
  2. Provisions may be made to the effect that the policy shall only come into force after the first premium has been paid.

 

Art. 660. – Policy to order.

 

  1. The policy may be in the name of a specified person or to order.
  2. The insurer may set up against the assignee or endorsee the defences which he could have set up against the original beneficiary.

 

Art. 661. – Policy made on-behalf of a third party.

 

  1. An insurance policy may be made by an accredited agent.
  2. An insurance policy may be made on behalf of a third party even where the subscriber is not an agent. The beneficiary may avail himself of the insurance policy where he accepted it. Such acceptance may be given even after the risk insured has materialised. The subscriber shall incur all liabilities under the contract until the policy is accepted by the beneficiary.

 

Art. 662. – Policy made for an unspecified third party.

 

  1. A contract of insurance may be made for an unspecified third party who may eventually have an interest. It shall be deemed to be made on behalf of the prospective beneficiary.
  2. The subscriber of a policy under sub-art. (1) shall be liable to pay the premiums. The insurer may set up against the beneficiary the defences which he could have set up against the subscriber.

 

Section 2. Rights and duties of the parties

 

Art. 663. – Risks insured.

 

  1. The insurer shall guarantee the beneficiary against the risks specified in the policy.
  2. Unless otherwise agreed, risks arising out of unforeseen events or the negligence of the beneficiary shall be covered by the insurance.
  3. Notwithstanding any provision to the contrary, risks arising out of the intentional default of the beneficiary shall not be covered by the insurance.

 

Art. 664. – Faults committed by persons for whom the beneficiary is responsible.

 

  1. The insurer shall guarantee the beneficiary against losses or damages due to the fault of persons for whom the beneficiary is responsible.
  2. The provisions of sub-art. (1) shall apply regardless of the nature or gravity of the fault committed.

 

Art. 665. – Duties of insurer.

 

  1. The insurer shall pay the agreed sum within the time specified in the policy or when the risk insured against occurs or at the time specified in the policy.
  2. The insurer’s liability shall not exceed the amount specified in the policy.

 

Art. 666. – Payment of premiums.

 

  1. The beneficiary shall pay the agreed premium at the time specified in the policy.
  2. Notwithstanding any provision to the contrary, the policy shall not terminate as of right when the premium is not paid in due time. The insurer shall demand payment.
  3. Notwithstanding any provision to the contrary, the policy shall be suspended after one month from a demand under sub-art. (2) where the premium is not paid.
  4. Where the period of one month has expired, the insurer may claim payment of the premium or require the termination of the policy.
  5. Where the premium is paid, the policy shall re-enter into force on the day of payment.
  6. The provisions of this Article shall not apply to life insurance.

 

Art 667. – Statements on making proposals for a policy.

 

On making proposals for a policy, the beneficiary shall state exactly all the circumstances within his knowledge and which are likely to assist the insurer to appreciate fully the risks he undertakes to insure.

 

Art. 668. – Facts concealed and false statements.

 

  1. The policy shall be of no effect where the beneficiary intentionally concealed facts or made false statements and such concealment or false statements cause the insurer wrongly to appreciate the risks to be insured so that, had he been aware of the truth, the insurer would not have entered into the policy or would have imposed terms less favourable to the beneficiary. The insurer shall retain all premiums paid.
  2. Notwithstanding any provision to the contrary, the policy shall remain in force where concealment or false statements are not deliberate and it cannot be shown that the beneficiary acted in bad faith.
  3. Where concealment or false statements are discovered before the risk materialises, the insurer may terminate the policy by giving one month’s notice or may maintain the policy and increase the premium.
  4. Where concealment or false statements are discovered after the risk has materialised, the sum to be paid by the insurer shall be reduced having regard to the difference between the premiums actually paid and the premiums which ought to have been paid, had the beneficiary not concealed the facts or made no false statements.

 

Art. 669. – Increase of risks.

 

  1. Where the risks increase in such a manner that the insurer, had he known the facts at the time when the policy was made, would not have entered into the policy or would have imposed terms less favourable to the beneficiary, the beneficiary shall inform the insurer within fifteen days from the occurrence increasing the risks, where such occurrence is due to the beneficiary, or within fifteen days from the beneficiary being aware’ of such occurrence. These periods may not be shortened in the policy.
  2. The insurer may terminate the policy or maintain it and increase the premium.
  3. The provisions of Art. 668 shall apply where the beneficiary does not inform the insurer under sub-art. (1) or gives false information.
  4. The provisions of this Article shall not apply to life insurance.

 

Art. 670. – Occurrence of risk to be notified.

 

  1. Unless he is prevented by force majeure, the beneficiary shall inform the insurer of any occurrence likely to render the insurer liable as soon as he knows of such occurrence or within not more than five days.
  2. This period may not be shortened in the policy.

 

Art. 671. – Bankruptcy.

 

  1. The insurance policy shall not terminate as of right where the beneficiary is declared bankrupt. The trustees in bankruptcy shall benefit by the policy and shall be liable for the unpaid premiums.
  2. The trustees in bankruptcy and the insurer may terminate the policy within three months from the judgment in bankruptcy.
  3. The policy shall terminate within one month from the insurer being declared bankrupt.

 

Art. 672. – Death of beneficiary.

 

  1. Notwithstanding any provision to the contrary, the policy shall continue with the heirs where the beneficiary dies.
  2. The heirs and the insurer may terminate the policy within three months from the beneficiary’s death.

 

Art. 673. – Assignment of object insured.

  1. Notwithstanding any provision to the contrary, the policy shall continue with the assignee where the object insured is assigned.
  2. The assignee and the insurer may terminate the policy within three months from the assignment.

 

Section 3. Limitation

 

Art. 674. – Limitation.

  1. Any claim arising out of a contract of insurance shall be barred after two years from the occurrence giving rise to the claim or from the day when the parties knew of the occurrence.
  2. In case of concealment or false statements, the period of limitation shall run from the day when the insurer knew of the concealment or false statement.
  3. The periods provided in this Article may not be shortened in the policy.

 

Chapter 3. Insurance against damages

 

Section 1. Insurance of objects

Art. 675. – Insurance permitted.

  1. Any person interested in the preservation of an object may insure it.
  2. Any direct or indirect interest in a risk may be in8tlred.

 

Art. 676. – Risks excluded.

 

  1. Unless otherwise agreed, the insurer shall not be liable for losses or damages due to international or civil war.
  2. The insurer shall establish that the loss or damage occurred as provided in sub-art. (1).

 

Art. 677. – Loss of object insured.

 

The policy shall terminate as of right where the object insured is lost for a reason not specified in the policy.

 

Art. 678. – Compensation.

 

A contract for the insurance of an object is a contract for compensation. The compensation shall not exceed the value of’ the object insured on the day of the occurrence.

 

Art. 679 – Object underinsured.

 

Where on the day of the occurrence the object insured is of a value greater  than the amount for which it is insured, the insured person shall be deemed to be his own insurer for the difference and shall share proportionately in the damage, unless otherwise provided in the policy.

 

Art. 680. – Object over insured.

 

  1. Where the compensation provided in the policy exceeds the value of the object insured and ‘there has been fraud on the part of either party, the other party may require the policy to terminate and may in addition claim damages.
  2. Where there has been no fraud, the policy shall remain in force but to the extent only of the actual value’ of- the object insured.
  3. Where the beneficiary requires the insurance to reduced, the insured shall be entitled to reduced premiums but he shall retain all premiums paid prior to the reduction.

 

Art. 681. – Cumulative  insurance.

 

  1. Where several insurers insure the same object against the same risk so that the object is over insured, each insurer may, where there has been fraud on the part of the beneficiary, require the termination of the policy and may in addition claim damages.
  2. Where the beneficiary is in good faith, each insurer shall, where the risk materialises, pay compensation in proportion to the value insured by him.

Art. 682. – Loss of object insured.

  1. The policy shall be of no effect where, at the time when it is made, the object is already lost or no longer exposed to a risk. The premiums paid shall be refunded to the beneficiary.

 

Art. 683. – Substitution of insurer.

 

  1. The insurer who has paid the agreed compensation shall substitute himself to the extent of the amount paid by him for the beneficiary for the purpose of claiming against third parties who caused the damage.
  2. Where the beneficiary makes substitution under sub-art. (1) impossible, the insurer may be relieved in whole or in part of his liabilities to the beneficiary.
  3. Notwithstanding any provision to the contrary, the insurer may not claim against the ascendants, descendants, agents or employees of the insured person nor against persons living with him, unless such persons have acted maliciously.

 

Art. 684. – Rights of privileged and secured creditors.

 

  1. Notwithstanding any provision to the contrary, where a mortgaged object is insured, compensation shall be paid to the mortgagee. The mortgagee may claim directly from the insurer who may set up the defences which he could have set up against the beneficiary.
  2. Payments made in good faith by the insurer to the insured in ignorance of the mortgage shall be valid.

 

Section 2. Insurance of liability for damages

 

Art. 685. – Insurer when liable.

The insurer who insured a liability for damages shall not pay compensation until a cliam is made against the insured person with a view to amicable or judicial settlement.

 

Art. 686. – Liability admitted.

 

  1. Provisions may be made to the effect that admission of liability or compromise made without the insurer’s consent may not be let up against the insurer.
  2. Admission fact does 110tamount to admission of liability.

 

Art. 687. – Direction of the case.

 

  1. Provisions may be made to the effect that the insurer shall have the direction of any civil case originating from a claim brought by the injured party.
  2. Any provision to the effect that the insurer shall have the direction of any criminal case originating from criminal proceedings instituted against the beneficiary shall be of no effect. The’ beneficiary may, in particular, exercise or refuse to exercise his right of recourse.

 

Art. 688. – Compensation to be paid to injured party.

 

  1. No insured person shall receive compensation until the third party injured has been paid to the extent of the amount insured.
  2. Any stipulation contrary to the provisions of this Article shall be of no effect.

 

Chapter 4. Insurance of persons

 

Section 1. General provisions

 

Art. 689. – Amount insured freely fixed.

A contract for the insurance of persona shall not be deemed to be a contract for compensation. The amount insured maybe freely fixed and shall be due regardless of the damage suffered by the ii1sured person.

 

Art. 690. – Substitution not possible.

 

Notwithstanding any provision to the contrary, the insured who has paid the agreed amount may not substitute himself for the subscriber or beneficiary for the purpose of claiming against third parties who caused  the damage.

 

Section 2. Life insurance

 

Art. 691. – Definition.

A life insurance is a contract whereby the insurer undertakes against the payment of one or more premiums to pay to the subscriber or to the  beneficiary a specified sum on certain conditions dependent upon the life or death of the subscriber or third party insured.

 

Art. 692. – Life insurance.

 

  1. The insurer who enters into a life insurance undertakes to pay a specified capital or life interest provided the insured person is alive at a date fixed in the policy.
  2. Tile insurer who enters into an insurance for the event of death undertakes to pay, on the death of the insured person a specified capital or life interest to those having rights from the insured person or to the beneficiary named in the policy.
  3. A combined policy may be made where the insurer undertakes to pay both under sub-art. (1) and sub-art. (2).

 

Art. 693. – Life insurance made by third party.

 

An insurance policy for the event of death may be made by a third party. Such policy shall be of no effect unless the insured person agrees in writing and indicates the amount insured. Where the insured person is married, the consent of his spouse shall be required.

 

Art. 694. – Incapable person insured.

An insurance policy made for the event of the death of an incapable  person shall be of no effect notwithstanding that the incapable person or his legal representative agreed to the insurance. The policy may be cancelled on the application of any interested party and all premiums paid shall be refunded.

 

Art. 695. – Particulars in life insurance policy.

 

In addition to the particulars required under Art. 658, a life insurance  policy shall show:

  1. the name, surname and the date of birth of the insured person;

 

TITLE IV. GAMES AND GAMBLING

 

Art. 713. – Games and gambling.

 

  1. The provisions relating to insurance shall not which are in the nature of games or gambling.
  2. Without prejudice to the provisions of Art. 714, shall not give rise to valid claims for payment apply to operations games and gambling.
  3. Where a person capable under civil law has spontaneously paid a debt arising out of a game or gambling in which no fraud has been committed, such person cannot claim back the sum paid.

 

Art. 714. – Defence based on game not admissible.

 

  1. A defence based on game shall not be admissible in respect of stock exchange speculations, even where such speculations are liquidated by paying the differences, and regardless of the profession and intention of the parties and of the importance of the speculations.
  2. A defence based on game shall not be admissible in respect of games or gambling connected with sporting activities but the court may reduce the amount claimed where it thinks it to be excessive.
  3. A defence based on game shall not be admissible in respect of any lottery or betting authorised by the government.
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