The recommendations in case shortages are verified upon
completion of loading are as follows :
a). Masters to clause the Mates Receipts and/or Bills of Lading no
matter whether a further action - Writ of Prevention - will be taken by shippers. In case of an eventual future claim, it can be argued that the documents were properly claused but had to be further re-issued and released clean under duress.
b). Following a local standard procedure, upon a vessels arrival,
Masters supply agents with a Letter of Authorisation enabling them to sign the Bills of Lading on their (Masters) behalf. Eventually, such Letter of Authorisation could be supplied on completion of loading containing a specific demand for the inclusion of a described clause. In such way, although shippers could still obtain clean Bills of Lading by means of a court action, they could still face difficulties as one of the demanded documents, to be enclosed with the Bills of Lading, to be presented to the banks, is the Masters Letter of Authorisation to sign Bills of Lading.
c). It is a usual procedure that during the course of the loading
operation and prior to completion, the agents or stevedores periodically present to Master the Mates Receipts covering the parcels of cargo already loaded on board to be signed. Masters should only sign all Mates Receipts on completion of loading as in such way, a remark covering the percentage of the short loaded quantity ascertained can be inserted in all Mates Receipts and not only in the last ones presented on completion of loading not representing the totality of the manifested quantity.
d). Although meaning additional costs, request Customs to carry
out a draft survey or alternatively a Displacement Survey on completion of loading when Master concludes that there is indeed a shortage. The surveys by Customs are important because they are considered official and are to be used as evidence in Court. e). The vessels hatchcovers and entrances to the holds to be sealed prior of departure and shippers, stevedores, agents and charterers to be formally invited to accompany the sealing.
f). In case on completion of loading the Mates Receipts covering
the majority of the cargo loaded are already signed and the Masters Letter of Authorisation for agents to sign the Bs/L on his behalf is already in possession of agents, Master to tender a Letter of Amendment to the Letter of Authorisation for agents to sign Bs/L, requesting that the described remark is inserted in the Bs/L to be issued on his behalf.
g). To contest the Writ of Prevention and the Main Lawsuit to be
filed by shippers and in that respect the following precautions should be adopted at the discharge port:
- To arrange for a draft survey, to be as official as possible;
- To arrange for the unsealing of the hatches and entrances, to be
as official as
possible and to invite receivers to accompany it;
- To obtain the official shore records covering the discharged
quantity.
In case the shortage is confirmed, these evidences are to be
made locally available in order to be presented to local Court in the legal proceedings commenced by shippers
The observation "as official as possible" means by any
governmental entity or party officially recognised or certified by a governmental entity. The main purpose of this, is the significant bureaucracy within the Brazilian system. Therefore, official documents are more easily recognisable and acceptable by local authorities, including the local Courts.