Cu Bon Liong v Java Pacific Line

Facts:

A shipment of potatoes were being delivered to a Cu Bon Liong(buyer), and upon arrival of the vessel at Manila and upon their discharge from the carrying-vessel, the potatoes were dumped into the sea by the Bureau of Customs at the request of the Buyer, because according to him, they were of no commercial value. He then demanded the Carrier to pay for the potatoes on the ground that it was their fault and negligence (Over storage and delay)

Held:

The carrier is NOT liable. Right of Carrier to examine goods damaged in transit- The party accused of negligence in the contract of transportation of perishable goods resulting in damage to said goods should be given the opportunity to examine the goods and determine the extent of the damage, and if possible, the cause of such damage. Consideration of fairness would require that if the defendant is accused of negligence in the contract of transportation of plaintiff's potatoes resulting in the total damage of the said shipment. By petitioning the Collector to dump the shipment into the bay upon its arrival, plaintiff-appellant deprived the defendants of the opportunity to defend themselves.