§ 26-1-7-302 — Through bills of lading and similar documents

(a) The issuer of a through bill of lading or
other document of title embodying an undertaking to be performed in
part by a person acting as its agent or by a performing carrier is liable
to any person entitled to recover on the bill or other document for any
breach by the other person or the performing carrier of its obligation
under the bill or other document. However, to the extent that the bill or
other document covers an undertaking to be performed overseas or in
territory not contiguous to the continental United States or an
undertaking including matters other than transportation, this liability
for breach by the other person or the performing carrier may be varied
by agreement of the parties.
(b) If goods covered by a through bill of lading or other document
of title embodying an undertaking to be performed in part by a person
other than the issuer are received by that person, the person is subject,
with respect to its own performance while the goods are in its
possession, to the obligation of the issuer. The person's obligation is
discharged by delivery of the goods to another person pursuant to the
bill or other document and does not include liability for breach by any
other person or by the issuer.
(c) The issuer of a through bill of lading or other document of title
described in subsection (b) is entitled to recover from the performing
carrier or other person in possession of the goods when the breach of
the obligation under the bill or other document occurred:
(1) the amount it may be required to pay to any person entitled to
recover on the bill or other document for the breach, as may be
evidenced by any receipt, judgment, or transcript of judgment;
and
(2) the amount of any expense reasonably incurred by the issuer
in defending any action commenced by any person entitled to
recover on the bill or other document for the breach.
Formerly: Acts 1963, c.317, s.7-302. As amended by
P.L.143-2007, SEC.41.