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Advance Freight

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Freight Pro Rata Itineris Peracti

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Law and Sea.
Freight Pro Rata

The contract for the conveyance of merchandise is in its nature an entire contract, and unless it be completely performed by the delivery of the goods at the place of destination, the merchant will in general derive no benefit from the time and labour expended in a partial conveyance, and consequently be subject to no payment whatever, although the ship may have been hired by the month or week. The cases in which a partial payment may be claimed are exceptions founded upon principles of equity and justice, as applicable to particular circumstances.

Freight Pro Rata Itineris Peracti
Last updated: 03-Nov-2014

Per Lawrence J in Cook v Jennings (1797) 7 Term Rep 381 at p.385:

When a ship is driven on shore, it is the duty of the master either to repair his ship or to procure another, and having performed the voyage he is then entitled to his freight : but he is not entitled to the whole freight unless he perform the whole voyage, except in cases where the owner of the goods prevents him; nor is he entitled pro rata unless under a new agreement.

In Metcalfe v Britannia Ironworks Co (1877) 2 QBD 423, 3 Asp MLC 407 Brett LJ stated at p.432:

…no liability to pro rata freight can arise, except on a new contract. If it necessary to make a new contract, that may be made between the owner and the charter between the owner and the consignee, and may be express or implied.

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