Logistics and transport law

• Cargo insurance: Taken out by the cargo owner and covers damage to or loss of the goods during transport.
• Freight forwarder liability insurance: Covers the freight forwarder’s professional liability in arranging carriage, storage, and customs clearance.
• Carrier’s liability insurance: Taken out by the carrier for road transport and covers the carrier’s liability for the goods within statutory and contractual limitation rules.

Cargo insurance covers damage to and loss of goods during transport, regardless of fault, thereby reducing financial risk while helping to secure liquidity in the event of an incident.

Cargo insurance normally covers the cargo owner’s full loss, whereas claims against the carrier or freight forwarder are usually subject to liability limitations.

The insurance protects against typical events such as damage to the goods, loss (total or partial), or delay. It often meets customer and contractual requirements in international trade, provides a better negotiating position and control in the value chain, and can include additional coverages.

If you need legal advice related to insurance, contact our experienced insurance and liability team – you can find us here.

Incoterms (“International Commercial Terms”) are standardised delivery terms that allocate costs, risk, and responsibility for export and import formalities between the buyer and the seller in a sale of goods.

The rules apply to all modes of transport and are used globally, but are only binding if the contract expressly refers to them. Incoterms do not regulate price, title to the goods, breach of contract, or jurisdiction.

Read more in this article (in Norwegian): "Innføring de ulike betingelsene som ligger i Incoterms 2020".

NSAB 2015 (the General Conditions of the Nordic Association of Freight Forwarders 2015) are standard terms used by freight forwarders and logistics operators in the Nordic region. They regulate the parties’ rights and obligations in freight forwarding and logistics assignments, including liability for goods, time limits for notice of claims, insurance, payment, and limitations of liability.

NSAB 2015 is an industry standard and is considered an agreed document in the logistics sector. It is particularly relevant for multimodal transports where statutory law does not provide sufficient regulation and in situations where transport legislation does not cover the specific issue in question.

Read more about actors and concepts in the world of international logistics in this article (in Norwegian).

In practice, it is normally the importer/buyer who is responsible for paying customs duties and import VAT when goods are imported into Norway. This applies even if the seller has arranged transport, documentation and customs clearance via a freight forwarder. The allocation of responsibility may be affected by what is agreed in the contract (for example delivery terms/Incoterms) and by who is listed as the declarant at the time of customs clearance. Nevertheless, the buyer will often be the party liable for VAT on import for tax purposes.

Correct determination of origin, customs value and correct classification is crucial. Errors in this process may result in increased customs duties and import VAT, and at the same time create a risk of reassessment. When the seller organises the transport, the buyer may have limited control over the basis used for customs clearance, but as a general rule still bears the cost and risk of VAT/customs upon import.

Read more in the article (norwegian): «Toll og handel: Dette bør du vite om regler, verdier og avgifter».

Origin is determined in accordance with the rules of origin set out in trade agreements, or through the non-preferential rules of origin established under Norwegian law. Correct use of trade agreements and proofs of origin can result in significant savings, while incorrect use entails considerable risk. It is important to keep control of the obligations and to have a good understanding of the opportunities that trade agreements provide in terms of savings and market access.

Read more about the details of the different types of rules, documentation requirements and practical consequences in this article (in Norwegian).