DA Documents Lost In Transit But Ship Arrived

Simple is Beautiful; the only thing came in my mind when thought of documentary collection. And I think more and more people are thinking the same in these days. Documentary Collection offers us far greater security than selling on open account; but not as much as a documentary credit. We should therefore be more cautious before starting selling using this method of payment. Documentary Collection Forum is an effort to help you on this way – admin; besttradesolution.com
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TradeLaporte
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DA Documents Lost In Transit But Ship Arrived

Post by TradeLaporte » Wed Feb 06, 2013 11:24 am

DA documents lost in transit how to handle ship already arrive 20 days ago to port of destination. can drawee accept a provisory draft and reques a ocean shipping guarantee to clear goods? WHO PAYS THE DEMURRRAGE FEES the courier company? the remitting bank?
Your comments appreciate it

JAX1066
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DA Docs lost in transit but ships arrived

Post by JAX1066 » Thu Feb 07, 2013 10:22 pm

hi
I have not had DA docs lost but ones presented under a L/C. Unfortunately the courier company would not assume any responsibility. The only way the drawee could clear their goods was by us issuing a guarantee to the shipping company in order for them to clear their goods. Unfortunately this costs more money and the guarantees are normally kept in place for a while (this differs from shipping line to shipping line). At what point was it realised that the documents were lost in transit? Usually documents are sent well ahead of the ship which should stop this issue happening. Sorry can't be more constructive. It may well be that all parties may have to pay some of the demurrage costs.

TradeLaporte
Posts: 165
Joined: Sat Nov 24, 2012 12:40 pm
First Name: ART
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DA docs lost in transit but ship arrived

Post by TradeLaporte » Sun Feb 10, 2013 12:07 am

Thanks Jax1066
I did suggested customer to obtain a shipping guarantee to minimize the demurrage charges. Courier fail to notify bank of documents undeliver due to a reject from receiving bank and their were return to the courier warehouse insteas to our Bank , this is discover after a month of documents shipped (wonder by this bank did not trace status of collection prior weeks with presenting bank the issues could be discover much earlier) courier took several days to confirm that the package was sent back and finally deliver to the bank. Any courier explanation is unacceptable and customer is claiming demurrage charges. Not sure how much I can defent the remitting bank since their process policies in place does not trace docs before 30 days of docs sent . Further comments appreciate it

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