Bond, bonded warehouse
A ship agent took delivery of a cargo which was stored in a temporary storage warehouse at the port. The ship agent was meant to transfer and declare the cargo as “bonded”. However, they failed to do so. The reason simply being they forgot.
As the cargo remained in the temporary warehouse for greater than the 90 days allowed, a customs penalty of EUR 75,000 was incurred.
There was no defence and the principal had to pay the penalty, which they claimed back from the agent.
This amount was reimbursed by ITIC.