(The language printed on the reverse side of the AWB should be a “Condition of Carriage” but it is shown as “Condition of Contract”. Kindly explain why?)
Q.
Please explain the intent of the “Condition of Contract” printed on the reverse side of the AWB. Usually, with ocean bills of lading, the “Condition f Carriage” or its short-version is printed on the reverse side, and constitutes a “Condition of Carriage” for the transport contract. With AWBs, what is printed on the reverse side is not the “Condition of Carriage” but a copy of the IATA Resolution. The title is not “Condition of Carriage” but is shown as “Condition of Contract”. Why is this so?

Furthermore, are the airlines alone obligated to abide with the IATA Resolutions, or whether the IATA cargo agents obligated to abide with the Resolutions? (31 Jan 19)
A.
The language printed on the reverse side of the AWB is commonly called “Reverse Side Condition of Carriage” (a Japanese term) but the real title is “Condition of Contract” which all IATA member airlines must abide without exception. The language comes from IATA Resolution 600b which all IATA airlines must abide with alongside with the entries on the Front Side of the AWB, the latter stemming from IATA Resolution 600a. These consist the Condition of Contract to govern the basic conditions of air transport contract between the shipper and the airline.

Apart from the foregoing, each airline publishes their own “Condition of Carriage – International Cargo” following the guidelines indicated in IATA Recommended Practice 1601 “Condition of Carriage for Cargo”. This covers minor subjects not covered in the Conditions of Contract on the two faces of the AWB. As airlines had differing views on the “Condition of Carriage”, a resolution could not be reached and the Condition of Carriage remains as a Recommended Practice. Airlines work around the RP 1601 gideline and the resultant Condition of Carriage of the airlines are all similar. As consequence, the Condition of Carriage for air transportation of goods between the shipper and the airline is based on the AWB Condition of Contract and the individual airline’s Condition of Carriage. Each airline’s Condition of Carriage may be inspected and obtained from their webside or at their offices.

IATA Cargo Agents are licensed per stipulations of IATA Resolution 801 “Cargo Agency Rules”. An application will be placed, and the applicant will be screened to check whether they satisfy the requirements of IATA Resolution 801. Upon successful screening, the applicant is granted the status of an IATA Cargo Agent. Since the IATA Cargo Agent must work to sell and prepare shipments ready fr carriage on behalf of the airline, obviously they must follow the IATA Reslutions and stipulations. IATA will notify the airlines of a new appointment, and if an airline desires not to appoint the entity as their agent, the airline simply notifies IATA of their intention. The IATA Cargo agent will be given a stack of AWB numbers from the airlines, and they are ready to go into business.

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