Uradni list RS, št. 67/2009

General Terms and Conditions of International Freight Forwarders of Slovenia


Disclaimer: The English language translation of the text of the General Terms and Conditions
of International Freight Forwarders of Slovenia below is provided just for information only
and confers no rights nor imposes any obligations on anyone. Only the official publication of
the General Terms and Conditions of International Freight Forwarders of Slovenia in Slovene
language, as published and promulgated in the Official Gazette of the Republic of Slovenia, is
authentic. The status of the translated text of the General Terms and Conditions of International
Freight Forwarders of Slovenia is as Government Translation Service prepared the translation.
This translation may not be published in any way without the prior permission of the Ministry
of Justice of the Republic of Slovenia, but may be used for information purposes only.

I. PRELIMINARY PROVISIONS
Article 1
(Explanation of Terms)


The meaning of the individual terms used in these Terms and Conditions shall be as follows:

– freight forwarding and logistics services: any kind of services that the Freight Forwarder carries
out for the Customer within the extent determined by the contract and by these Terms and
Conditions that are related to organising and implementing the transport (implemented as single,
combined or multimodal transport), collection, storage, packing or distribution of freight, freight
handling and ancillary and advisory services in connection therewith; furthermore, freight
forwarding and logistics services include services of handling freight insurance, providing
documents, paying costs, collecting or handling payments, other financial services that are
required for the implementation of the freight forwarding or logistics service, services relating to
customs, inspection, tax and other administrative procedures, logistics services employing
modern information and communication technology in freight transport, freight handling and
storage as well as the complete organisation of supply throughout the entire logistics chain;
– the Freight Forwarder: the company or sole proprietor that carries out freight forwarding
services for the Customer in the extent determined by the contract and these Terms and
Conditions and all the legal successors of such a company or sole proprietor;
– the Customer: the person that places an order with the Freight Forwarder, either itself, through
authorised representatives or proxies or that negotiates with the Freight Forwarder about
concluding a freight forwarding contract or concludes a freight forwarding contract with the Freight
Forwarder in any manner as described in Article 6 hereof;
– the Carrier: the person that undertakes to carry out the transport or that carries out such
transport regardless of the type of the means of transport and regardless whether such person
carries out the transport itself or entrusts it to another contractor;
– third party: any person that is not a party to the freight forwarding contract;
– freight: any item, material or goods, including containers, pallets and other packaging or
devices on or in which freight is installed that the Customer clearly and unambiguously specifies
and hands over to the Freight Forwarder for reasons of implementing freight forwarding or
logistics services and for which it is allowed to carry out all services and handling that are
required for the implementation of the freight forwarding or logistics service in accordance with
the currently valid rules and regulations and these Terms and Conditions;
– package: if the regulation that needs to be enforced in an individual case does not include the
definition of a package, it shall be deemed that a package is an individual piece of freight that is
individualised and prepared in a manner that enables the handling of the package as an
independent unit of freight; if the package is placed in containers, on pallets or on or in similar
devices, the container, pallet or another similar device shall be deemed a package unless
explicitly stated in the transport documents accompanying the freight or, if such documents have
not yet been prepared, on documents that have been used as the basis for the Customer handing
over the freight to the Freight Forwarder that individual packages within such a device are
deemed packages; individual packages within such a device shall only be deemed packages if
they have been specifically determined as such in transport documents and the Freight
Forwarder has had the opportunity to inspect and count such packages upon taking over the
freight;
– FIATA: the International Federation of Fright Forwarders Associations;

– SDR: Special Drawing Rights as defined by the International Monetary Fund.
Article 2
(The Validity and Interpretation of the Terms and Conditions)


These General Terms and Conditions apply to all freight forwarding and logistics services and
represent an integral part of a concluded freight forwarding or logistics contract or any other
contract whose subject includes the performance of freight forwarding or logistics services.

It shall be deemed that the contracting parties have reached an agreement concerning the use of
these General Terms and Conditions if such an agreement has been explicitly included in the
contract. It shall further be deemed that the contracting parties have reached an agreement
concerning the use of these General terms and Conditions if the clause that the Freight
Forwarder operates pursuant to these Terms and Conditions has been included in the offer
submitted by the Freight Forwarder or in the order form issued by the Freight Forwarder and used
by the Customer or in the Freight Forwarder’s acceptance of the Customer’s order or in any kind
of correspondence between the contracting parties that led to the conclusion of the freight
forwarding contract.

If these Terms and Conditions state that the Freight Forwarder is entitled to an action or
omission, this shall not mean that it is bound to take such action or omission.

The provisions of these Terms and Conditions that relate to the limitation of the Freight
Forwarder’s liability in cases where there are several parties suffering damage cannot be
interpreted as meaning that each of the parties have the right to the compensation determined in
these Terms and Conditions but that all parties have the right to such a compensation divided
between them proportionally to the amount of damages suffered.

Article 3
(Conflict of Rules and Regulations)


If there are any conflicts between the provisions of these Terms and Conditions and the customs,
usages or provisions or the currently valid rules and regulations, the provisions of these Terms
and Conditions shall apply unless the rules and regulations are mandatory.

In no case shall these Terms and Conditions be interpreted as increasing the Freight Forwarder’s
liability on the basis of valid rules and regulations.

Article 4
(Article and Chapter Titles)


The titles of the individual articles and chapters serve merely for a better overview of these Terms
and Conditions and cannot be used to interpret the individual provisions of these Terms and
Conditions.


II. GENERAL PROVISIONS RELATING TO THE FREIGHT FORWARDING CONTRACT
Article 5
(The Content and Method of Implementation of the Freight Forwarding Contract)


By concluding the freight forwarding contract, the Freight Forwarder agrees to conclude a
transport contract and/or other contracts required for implementing the transport for and on behalf
of the Customer or for himself and on behalf of the Customer, as well as to perform other
arranged services and activities, and the Customer agrees to fulfil all the obligations determined
in the valid rules and regulations, the contract and these Terms and Conditions in order to enable
the proper implementation of the contract and to remunerate the Freight Forwarder and
reimburse its expenses in accordance with the provisions of Chapter XII hereof and the valid
rules and regulations.

If the method of representation is not determined in the Contract explicitly and in writing, it shall
be deemed that the Freight Forwarder may also act for and on behalf of the Customer.

The Freight Forwarder shall not be obliged to conclude contracts for itself and on its own behalf,
except in the cases determined in Article 15 herein (fixed price freight forwarding) or in cases
when the Freight Forwarder acts as a multimodal transport operator and explicitly assumes all the
related obligations by issuing a FIATA multimodal transport bill of lading.

The fact that the payment of obligations to persons involved in implementing the transport and
other freight handling or freight-related services has been made by the Freight Forwarder cannot
be interpreted as proof that the contract with such persons was concluded for and on behalf of
the Freight Forwarder if the conditions for the contract being concluded in the manner determined
in the previous paragraph have not been met.

Notwithstanding the provisions of paragraph three of this Article, the Freight Forwarder shall
never act for itself and on its own behalf when implementing services of representation in
customs, tax, inspection, legal and other proceedings, including proceedings involving insurance
companies, banks, etc.

Article 6
(The Manner of Conclusion and Termination of Validity of the Freight Forwarding Contract)


The freight forwarding contract may be concluded by signing a document stating its content, by
the Customer accepting the Freight Forwarder’s offer or by the Freight Forwarder accepting the
Customer’s order.

Notwithstanding any other provisions of these Terms and Conditions, the Freight Forwarder or
Customer may express their acceptance of the other party's offer with a conclusive act following
the receipt of such an offer and from which it is evident that they accept such an offer.

It shall be deemed that the Freight Forwarder is acting in accordance with the provisions of
paragraph two of this Article especially if it begins implementing the ordered service, unless it
acts in this manner in order to prevent damage to the Customer or to prevent the Customer from
missing an obvious advantage.

It shall be deemed that the Customer is acting in accordance with the provisions of paragraph two
of this Article especially if it hands over the freight or freight-related documents or the required
information and instructions to the Freight Forwarder after receiving its offer, if it enables the
Freight Forwarder in any other way to begin implementing freight forwarding services, if it allows


the implementation of such services to be initiated or if it makes an advance payment to the
Freight Forwarder for costs and/or payment for its services, if it does not prevent the Freight
Forwarder from implementing the services but knows or should know that the Freight Forwarder
has already begun implementing the service or that it will start implementing the service, etc.

The freight forwarding contract shall be terminated in the cases determined in the contract and
according to the valid rules and regulations and these Terms and Conditions. If the contract is
concluded for an indefinite period of time, it also ceases to be valid in cases when either of the
contracting parties withdraws from the contract (cancels it) in writing. In the event of such a
withdrawal from the contract, the withdrawing party shall not be obliged to state its reasons for
withdrawal. Unless determined otherwise in the freight forwarding contract, a 3-month period of
notice shall apply for such a withdrawal and the period of notice shall commence on the day that
the party who is the recipient of such a notification of withdrawal receives the notification.

The provisions of the previous paragraph of this Article shall not prejudice other provisions of
these Terms and Conditions that enable the Freight Forwarder to withdraw from the freight
forwarding contract with immediate effect (without a notice period). In the event of such a
withdrawal, it shall be deemed that the contract ceases to be valid when the Customer receives
the Freight Forwarder’s statement of withdrawal from the contract.

Article 7
(Emergence and Termination of the Freight Forwarder’s Obligation)


The Freight Forwarder’s obligation begins at the moment of concluding the contract or at any
other moment determined by the valid rules and regulations, these Terms and Conditions or the
contract but not before the Customer hands over the freight for which the contract has been
concluded along with all the relevant documents and information to the Freight Forwarder in the
arranged place, at the arranged time, to the arranged extent and in the arranged manner and until
the Customer meets all the other requirements determined by these Terms and Conditions and
the currently valid rules and regulations and the Freight Forwarder’s obligation ceases to exist at
the moment of expiration of the validity of the freight forwarding contract or at any other moment
determined by the valid rules and regulations, these Terms and Conditions and the contract. The
Freight Forwarder’s obligation in any case ceases at the moment the freight is destroyed or when
its fulfilment has become impossible.

In any case, it shall be deemed that the Freight Forwarder performed the service in full and
correctly if it delivered the freight in the same condition that it received it, though changes
normally occurring during the transportation of such freight and its handling or the implementation
of other related freight forwarding services shall not be considered.

Article 8
(The Content of the Concluded Contract)


In case of doubt whether the contracting parties have concluded a freight forwarding or logistics
contract, it shall be deemed that they have concluded a freight forwarding contract unless it is
evident from the signed contract or the correspondence that served as basis for concluding the
contract that they have explicitly and unambiguously agreed to conclude a logistics contract.

In case of doubt about whether the contracting parties have concluded a freight forwarding or a
transport contract, it shall be deemed that they have concluded a freight forwarding contract
unless the subject of the contract is exclusively the implementation of transport and the Freight
Forwarder explicitly and unambiguously expressed in the correspondence that was the basis for
the conclusion of the contract that it undertakes to conduct such transport itself or such an
undertaking was included in the text of the contract concluded by signing the document. If the
Customer places an order with the Freight Forwarder for the implementation of transport and if
there is no clause stating that the Freight Forwarder shall conduct the transport itself, it shall be


deemed that the Freight Forwarder’s acceptance of such an order means that a freight forwarding
contract has been concluded to organise the implementation of such transport whereby the
Freight Forwarder retains the right to conduct such transport itself if it so chooses.

The provisions of these Terms and Conditions relating to the contracting parties of the freight
forwarding contract and their position, rights and obligations shall apply mutatis mutandis for the
contracting parties to the logistics contract and their position, rights and obligations unless the
contracting parties agreed otherwise in writing at the time of concluding the logistics contract.

Article 9
(Typical Freight Forwarding Services)


Freight forwarding services shall include in particular, but not exclusively:

– expert advice and participation in negotiations concerning the conclusion of international sales
contracts relating to transport and other freight handling, insurance, customs clearance and other
formalities, etc.,
– establishing the most favourable transport routes and clauses relating to the obligations of the
contracting parties in the organisation of transport and related activities to be applied in
international sales contracts,
– providing reductions and other benefits from carriers and other participants in the
implementation of the freight forwarding service,
– organising groupage and express freight,

– organising all types of transport with all means of transport across all transport routes, including
multimodal transport and the physical door-to-door distribution of freight,

– concluding transport contracts in all transport branches,
– concluding contracts on loading, unloading, transshipment, sorting, packing or the performance
of these and other similar services,
– concluding contracts on freight storage,
– concluding contracts on freight insurance,
– representation in customs clearance and the performance of custom-house formalities,
– the sampling and assessment of freight quantity, excluding the issuance of certificates,
– collecting payments for freight delivered (COD),
– issuing the Forwarder's Certificate of Receipt as a foreign trade payment instrument, as well as
the issuance of other FIATA documents,
– the issuing or acquisition of transport and other documents,
– checking the accounting accuracy of transport documents and computing transport and other
costs,
– taking measures for compensation in case of the loss, damage or delayed delivery of goods,
– acquiring transit authorisations and other documents,

– organising the re-icing, feeding and watering of live animals,

– performing services at international fairs, independent and special exhibitions and similar
events,
– other services customary in international freight forwarding.

Article 10
(Conditions Regarding the Persons with Whom the Freight Forwarder Concludes Contracts)


In implementing its services, the Freight Forwarder shall be entitled to accept regular contracts,
conditions, usages and tariffs from providers of railroad, road, air and maritime transport, internal
waterways transport, other types of transport, providers of port, storage and other services,
regular contracts, conditions, usages and tariffs from providers of postal and courier services and
regular contracts, conditions, usages and tariffs from all other persons that the Freight Forwarder
involves in the implementation of its services.

Article 11
(Use of Standardised Documents – Forms)


In dealings concluded with transport operators or providers of other services or in freight
handling, the Freight Forwarder shall be allowed to use standardised documents (forms) that are
typically used in individual transport branches or used for individual services or freight handling.

If the documents described in paragraph one of this Article contain clauses that limit or exclude
the Carrier's responsibility, the Freight Forwarder shall not be held responsible for these clauses.

When the Customer wants to exclude individual clauses from the customary shipping documents,
it shall explicitly and in due time inform the Freight Forwarder thereof in writing.

Article 12
(The Freight Forwarder’s Communication with the Customer and the Use of Modern Technology)

The Freight Forwarder may communicate with the Customer or the person assigned for
communication by the Customer in a verbal or written form using all means of communication that
are at its disposal. If the Customer fails to notify the Freight Forwarder of any changes of address
or other information pertaining to the Customer or another person that was assigned as the
Freight Forwarder’s point of communication by the Customer, it shall be deemed that the Freight
Forwarder communicated its message to the Customer or such a person in the correct manner if
it communicated that message using the address or other information that were available to the
Freight Forwarder at the time.

The Customer shall immediately notify the Freight Forwarder of any changes of information that
are in any way relevant to the correct implementation of freight forwarding. Failure to do so shall
result in the Customer bearing all the consequences of such an omission.

The Freight Forwarder shall be entitled to use modern technology in implementing its services,
including devices that enable the implementation of freight forwarding without filling in and issuing
transport and other documents in a physical form.


Article 13
(The Customer’s Right of Disposition of the Freight)


By placing an order or concluding a freight forwarding contract, the Customer guarantees that it is
the rightful owner of the freight for which the order was placed or the contract concluded or that it
has an explicit and valid authorisation from the owner giving it the right to dispose of the freight in
question and to conclude a freight forwarding contract with these Terms and Conditions being an
integral part thereof. The Freight Forwarder shall not be obliged to verify these facts.

If the Customer places an order or concludes a freight forwarding contract for freight for which it
does not have the right of disposal mentioned in the previous paragraph of this Article, the
Customer shall bear all the consequences of such an act.

Article 14
(Transfer of the Customer’s Rights from the Freight Forwarding Contract)


The Customer shall inform the Freight Forwarder of its eventual transfer of rights under the freight
forwarding contract to a third party. If the contrary holds true, such a transfer shall be considered
null and void. Unless otherwise agreed in writing, the Freight Forwarder shall be responsible to
the third party within the limits of its obligations towards its Customer.

Notwithstanding the provisions of paragraph one of this Article, the Customer may not transfer its
rights under a freight forwarding contract that includes an agreement on fixed price freight
forwarding to a third party without the explicit written consent of the Freight Forwarder.

Article 15
(Fixed Price Freight Forwarding)


The contracting parties to the freight forwarding contract may agree that the Freight Forwarder
shall perform its services in return for the payment of a fixed charge (fixed price freight
forwarding, flat rate). In such a case, the payment that pertains to the Freight Forwarder pursuant
to the concluded agreement includes payment for the Freight Forwarder’s work, freight charges,
the costs of customs formalities, storage and other similar expenses that are required for
implementing the order.

If the contracting parties have not clearly, explicitly and unambiguously agreed that the service
shall be performed for a specified flat rate, it shall be deemed that such an agreement has not
been reached. The existence of such an agreement shall not be presumed.

If the freight forwarding contract has been concluded for the organisation of transport and if the
agreed payment explicitly included the payment of freight charges, such an agreement shall not
be deemed an agreement that the entire service shall be performed for the specified flat rate. In
such a case, the Freight Forwarder shall be entitled to the reimbursement of all the other costs
incurred in the implementation of the service (operating costs, overhead costs, etc.), excluding
reimbursement of freight charges. This provision shall apply mutatis mutandis when the freight
forwarding contract has been concluded for organising storage or other freight forwarding
services and when the agreed payment explicitly included payment for storage or the costs of
other freight forwarding services.

Expenses and reimbursements not included in the flat rates shall be paid by the Customer to the
Freight Forwarder separately. These costs shall include in particular, but not exclusively charges
relating to customs clearance, taxes, excise duties and other public levies and charges, insurance
premiums and costs of bank guarantees, general average costs, the costs of implementing
inspections and other examinations and all other actions that are not ordinary actions, actions
that require an extraordinary amount of time or effort and actions that are not essential but are
beneficial to the Customer. Additional remuneration not included in the flat rate includes in


particular, but not exclusively remuneration for implementing all actions that require an
extraordinary amount of time or effort and actions that are not essential but are beneficial to the
Customer.

III. OFFER
Article 16
(The Extent of the Offer)


The Freight Forwarder’s offer shall only cover those services that are explicitly listed therein. If
the services are not listed in the offer, it shall be deemed that the offer relates only to those
services that are indispensable for the implementation of freight forwarding. The offer shall relate
to freight in the quantities and with a weight, dimensions, nature and characteristics that could
have been anticipated or expected by the Freight Forwarder in making its offer and to
circumstances that enable the unhindered and immediate handling of freight, excluding
circumstances that are other than ordinary circumstances and that require an extraordinary
amount of time or effort.

This provision shall apply mutatis mutandis for all services that the Freight Forwarder conducts on
the basis of a contract concluded by signing the document.

Article 17
(The Effect of the Offer)


The Freight Forwarder shall not be bound by the offer unless it explicitly states in the offer that
the offer is binding. In such a case, the offer shall be binding to the Freight Forwarder only until
the date specified for its acceptance. If such a date is not determined, it shall be deemed that the
binding period is three workdays from the day that the Customer was directly briefed about the
offer or when the offer was presented to the Customer and if it was sent, three workdays from the
day the Customer received the offer.

Notwithstanding the provisions of the previous paragraph of this Article, the offer shall not be
binding to the Freight Forwarder if, after the offer has been submitted and before its acceptance
by the Customer, the circumstances of preparing the offer change to such an extent that the
Freight Forwarder would not have made such an offer had it been aware of such circumstances
at the time of making the offer.

Notwithstanding the provisions of paragraph one of this Article, the Freight Forwarder shall be
entitled to change any contractual provisions and elements relating to the conditions of third
parties that are beyond its influence (e.g. if there is a deterioration in the conditions under which
persons that are required for the implementation of freight forwarding, i.e. carriers, warehouse
keepers or insurance companies, operate, if regulatory measures occur, etc.) even after the
Customer has accepted the offer or after the freight forwarding contract has been concluded. This
shall also apply to price increases of services provided by third parties and negative exchange
rate differences, customs and tax rates and other similar expenses.

Article 18
(Concluding the Contract by Accepting the Offer)


It shall be deemed that the contract on the basis of the Freight Forwarder’s offer is concluded at
the moment that the Freight Forwarder receives the Customer's statement that it accepts the
offer. The offer shall be deemed accepted only if it is accepted in full. For the acceptance of the
offer, the provisions of Article 21 hereof shall apply mutatis mutandis.


If the Customer's statement on the acceptance of the offer states that it does not accept individual
clauses in the offer or if the Customer changed any of the clauses, it shall be deemed that it
rejected the offer and placed a new order and that no contract has been concluded between the
Customer and the Freight Forwarder.

IV. ORDER
Article 19
(Concluding the Contract by Accepting the Order)


If the Customer submits an order to the Freight Forwarder for implementing freight forwarding, the
freight forwarding contract shall be deemed concluded at the moment that the Customer receives
the Freight Forwarder’s statement that it accepts the order, unless the Customer stated in its
order that it does not accept individual clauses in the offer or that it changed any of the clauses.
In such a case, it shall be deemed that the Freight Forwarder submitted an offer to the Customer
and that no contract has yet been concluded between the Customer and the Freight Forwarder.

The silence of the Freight Forwarder does not constitute the acceptance of the order.

The Freight Forwarder shall only be obliged to perform such services that have been explicitly
specified in the order that the Freight Forwarder has undertaken to execute and services that are
essential for the execution of the order. The Freight Forwarder shall not be obliged to conduct any
other services. However, if it does perform such services, the Freight Forwarder shall be entitled
to payment for such services and the reimbursement of any incurred costs (operating costs,
overhead costs, etc.).

Article 20
(The Content of the Order)


The order shall include all the essential components of a freight forwarding contract determined
by these Terms and Conditions and the currently valid rules and regulations so that its
acceptance by the Freight Forwarder enables the conclusion of a freight forwarding contract –
particularly information on the Customer and its legal representative, information on the
consignee, all the necessary information on the freight and its properties (especially the warnings
specified in Article 25 herein and a detailed description and commercial name of the freight in
Slovene, information on quantity, quality, content, dimensions, weight, freight labels, its value at
the time of handover, etc.), a detailed specification of the freight forwarding services ordered,
instructions regarding the implementation of these services and freight handling, including
instructions relating to special procedures in the implementation of customs and other freight
related formalities, warnings regarding the right of third parties to the freight or of the freight
infringing or breaching the rights of third parties, conditions for its legal possession and handling
as well as any other information required for the correct and timely execution of the order.

The Freight Forwarder shall not be obliged to verify the information determined in the previous
paragraph but shall have the right to do so and the Customer shall be obliged to enable the
Freight Forwarder to verify such information at its own cost.

Article 21
(The Form of the Order)


In principle, the order shall be given in writing. An order given verbally, by phone or by any other
means of communication shall in principle be confirmed, possibly on the same and at the latest
on the subsequent working day. It shall be deemed that the order was made in writing if it was
sent by mail or by fax, email or another computer system for electronic data exchange in a written
form that is appropriate for permanent use and where the Customer can be unambiguously
recognised as the source of data delivery. Any eventual errors, mistakes and abuses occurring in


the transmission of the order by fax, another means of telecommunication, email or another
computer system for electronic data exchange in written form and all the ensuing damages and
costs shall be borne exclusively by the Customer. The burden of proof that the Freight Forwarder
has received the order shall lie with the Customer.

If an order is given verbally, by phone or by any other type of means of communication and is not
subsequently confirmed in writing as indicated in the preceding paragraph, the Freight Forwarder
shall not be held responsible for any harmful consequences. This shall also apply in cases when
an order given verbally was later confirmed in writing but the order in writing differed from the
order given verbally.

Article 22
(Verifying Signature Authenticity and Authorisations for Signing)


The Freight Forwarder shall not be obliged to verify the authenticity of signatures and stamps on
the order and any of the Customer’s other documents and on the documents of persons acting on
the Customer’s instructions or that are involved in the implementation of freight forwarding for any
reason, nor their authorisations for signing or delivering such documents.

Article 23
(Assumption of Acting on Behalf of or by Authority of the Customer)


It shall be deemed that persons for whom it can be assumed that they are acting on behalf of or
by authority of the Customer (e.g. persons who are in possession of the Customer’s freight,
persons who are using the Customer’s vehicles or who communicate in any other way that they
are in a business relationship with the Customer) or persons who are in the Customer’s business
premises are authorised to implement all actions that have to be performed by the Freight
Forwarder and for which actions by the Customer are required if such persons performed such
actions (e.g. the takeover and delivery of freight, signing documents, making statements, etc.). If
such persons do not have such authorisations, any harmful consequences arising therefrom shall
be borne exclusively by the Customer.

Article 24
(Acting According to the Customer’s Instructions)


The Freight Forwarder shall be obliged to strictly observe the Customer’s instructions. If such
instructions have not been given or cannot be obtained or are incomplete or if the Freight
Forwarder cannot act in compliance with such instructions or if the order or instructions are
illegible, obviously incomplete, unclear or contradictory or become such at a later time and
therefore cannot be implemented, the Freight Forwarder shall call upon the Customer to provide
additional instructions and/or explanations. If this is not possible or if there is not enough time to
do so, the Freight Forwarder shall act in the best interest of the Customer and the Customer shall
be obliged to reimburse the Freight Forwarder for any eventual costs so incurred and pay an
additional sum for the increased scope of the work. For providing instructions and/or
explanations, the provisions of Article 21 hereof shall apply mutatis mutandis.

Article 25
(Mandatory Warnings in the Order)


The Customer shall be obliged to explicitly warn the Freight Forwarder about any special
characteristics of the freight that are relevant in any way to the implementation of the order,
especially if the subject of the order is:

– goods whose value equals or exceeds SDR 2 per kilogram of gross weight or goods packed in
such a manner that the value of an individual package equals or exceeds SDR 666.67,

– goods that endanger human or animal life or health or pose a threat or are a source of negative
impacts on other items or the environment or that may cause any kind of damage,
– goods considered hazardous goods according to valid rules and regulations or that may
become hazardous; the Customer shall submit labels following the statutory classification to the
Freight Forwarder as well as all the required documents and handling instructions for such freight
(hazardous goods include in particular, but not exclusively explosive, flammable, spontaneously
flammable, easily combustible, radioactive, infectious and corrosive substances, peroxides and
poisons),
– goods that should be handled in a manner preventing them to come into contact with other
goods,
– goods requiring special storage and handling conditions and goods requiring a special regime
of maintaining temperature, humidity, etc.
– jewellery, watches, artwork, antiques, precious stones or other valuables or items of worth,
stamps, coins, unique items, gold, silver or other precious metals, money, charge or credit cards,
other means of payment, passbooks, cheques, bills of exchange, other securities or documents,
– food, food products, alcohol and alcoholic beverages, tobacco and tobacco products,
– consumer electronics, data carriers,
– pornographic material,
– human remains,
– animals (live or dead) and animal parts and products derived from animals, plants, seeds or
biological substances,
– waste, waste oils and other waste material,
– repugnant substances or goods with an intensive odour,
– medicines or chemicals,
– weapons or ammunition,
– goods whose characteristics make it susceptible to damage or perishing, decomposing,
breaking, corrosion, rotting, drying, leaking, mould, worm damage, insects or other vermin,
– goods susceptible to spillage, ullage, drying or natural loss,
– goods in large volumes (over 3 m3 per package) or weight (over 1,000 kg per package),
– goods requiring the use of special handling techniques and devices (e.g. goods that have to be
transported observing the rules for exceptional transport operations, goods with disproportionate
distribution of weight, etc.),
– sensitive goods or goods exposed to increased risk of theft,
– goods that may infringe or breach the intellectual property rights of third parties,

– goods whose characteristics may have a negative impact on the proper implementation of
freight forwarding and other goods whose transport is limited or allowed only if complying with
special conditions determined by the currently valid rules and regulations.
The warnings specified in paragraph one of this Article and all instructions that are in any way
relevant to the implementation of the service shall be provided in an obvious manner in the order
excluding any kind of possibility of the Freight Forwarder overlooking them. In addition to the
warning, the Freight Forwarder must to be warned about all the required safety and other legally
prescribed measures to be taken with regard to the freight. Merely submitting documents with
evident information determined in paragraph one of this Article shall not be deemed sufficient for
meeting the obligation of communicating the warning. If there is any doubt whether such a
warning should be submitted, it shall be deemed that it has to be submitted.

Article 26
(Consequences of Omitting the Warning)


All costs, damages and other consequences arising from the concealment or improper
communication of information under Articles 20 and 25 hereof or incomplete or false statement of
such information shall be borne by the Customer.

If the Freight Forwarder is not notified about the information listed in Article 25 herein or the fact
that there are third parties having rights to the freight or that the freight infringes the rights of third
parties and if all prescribed conditions are not met for implementing freight forwarding and the
Customer fails to remedy such faults within 3 days from the day it was asked to do so by the
Freight Forwarder or within another deadline determined in writing, the Freight Forwarder shall be
entitled to withdraw from the contract by an ordinary statement sent to the Customer:

– and return the freight to the Customer at the Customer’s risk and cost,
– if it cannot return the freight to the Customer or if such an action causes disproportionate costs,
the Freight Forwarder shall be allowed to store such freight at the Customer's risk and cost,
– if the action from the previous indent is not possible or if such action causes disproportionate
costs or if such an action is prevented by the nature of the freight or other freight characteristics,
the Freight Forwarder shall be entitled to sell the Customer's freight at the latter's risk and cost at
a public auction or at exchange or market price and use the purchase money to settle the costs of
sale followed by its receivables due from the Customer under the freight forwarding contract and
release the remaining amount to the Customer,
– if the freight endangers the safety of persons, property or the environment or if this is allowed or
required by valid rules and regulations, the Freight Forwarder shall be entitled to destroy the
freight at the Customer's risk and cost or to handle it in any other prescribed manner or choose to
implement the freight forwarding service.
If circumstances do not allow any delay in action, the Freight Forwarder shall be entitled to act in
accordance with the provisions of the previous paragraph without first instructing the Customer to
remedy the faults.

If the Freight Forwarder does not perform the service, it shall be entitled to payment for the
services rendered and the reimbursement of all incurred expenses or expenses that it will yet
incur (operating, overhead and other costs, including costs due to special freight handling) and to
the reimbursement of incurred damages. It the Freight Forwarder does perform the service, it
shall be entitled to additional payment due to the more complex nature of the service and to the
reimbursement of all costs related to the implementation of the service (operating costs, overhead
costs, etc.).


It shall be deemed that the Freight Forwarder has fulfilled its obligations under the freight
forwarding contract if it organised the return of the freight to the Customer or if it has stored, sold
or destroyed it in accordance with the provisions of this Article.

The Customer shall not be entitled to claim compensation from the Freight Forwarder for
damages incurred by the Customer or any other person due to the Freight Forwarder’s actions
taken in accordance with the provisions of this Article.

Article 27
(Consequences of Faulty Orders)


The Customer shall bear all the consequences of an incorrect, incomplete, vague, illegible or
poorly legible, contradictory or delayed order.

Article 28
(Prohibited Freight)

If the Customer delivers drugs, smuggled goods or other material and items whose possession or
transport are prohibited to the Freight Forwarder for reasons of implementing freight forwarding
services, the freight forwarding contract shall be deemed null and void and the Customer shall
bear all the consequences of such an act and shall pay the Freight Forwarder for the services
rendered, shall reimburse all damages (direct or indirect) and all costs relating to the
implementation of freight forwarding services for such freight (operating costs, overhead costs,
etc.). The Freight Forwarder shall be obliged to handle such freight in accordance with the valid
rules and regulations and all costs and consequences of such actions shall be borne by the
Customer.

Article 29
(Freight that Poses a Threat or Perishable Freight)


If the freight endangers other goods, property, the environment or people or represents a
potential source of any damages and conditions for applying provisions of Article 26 hereof have
not been met, the Freight Forwarder shall be entitled to act and handle the freight so as to reduce
or eliminate such dangers at the Customer’s risk and cost if the Customer fails to communicate
appropriate instructions within 3 days of being called upon by the Freight Forwarder to do so or
within another deadline determined in writing. Furthermore, the Freight Forwarder shall be
entitled to:

– return the freight to the Customer if this is possible and sensible or
– store it in a warehouse that is appropriate for the state of the freight or, if this is not possible or if
such an act were inexpedient, to
– sell it at a public auction or at exchange or market price or in any other appropriate way and use
the purchase money to settle the costs of sale followed by its receivables due from the Customer
under the freight forwarding contract and release the remaining amount to the Customer; if the
freight cannot be returned to the Customer or stored in another appropriate warehouse or sold,
the Freight Forwarder shall be entitled
– to destroy the freight in an appropriate manner and at the Customer’s risk and cost.
If circumstances do not allow a delay in action, the Freight Forwarder shall be entitled to act in
accordance with the provisions of paragraph one of this Article without first calling on the
Customer to provide further instructions.


The provisions of paragraphs one and two of this Article shall also apply in cases when the
Freight Forwarder notices signs of perishing or other changes to the freight that may reduce its
value.

The Customer shall not be entitled to claim compensation from the Freight Forwarder for
damages incurred by the Customer or from any other person due to the Freight Forwarder’s
actions taken in accordance with the provisions of this Article.

It shall be deemed that the Freight Forwarder has fulfilled its obligations under the freight
forwarding contract if it organised the return of freight to the Customer or if it has stored, sold or
destroyed it in accordance with the provisions of this Article.

Article 30
(Submitting Documents and Ensuring Access to the Freight)


The Customer shall submit all the required documents to the Freight Forwarder on time and shall
provide it with all the information required for implementing the order and shall ensure unhindered
access to the freight. The Customer shall submit the documents and information to the Freight
Forwarder in a physical form. If these are submitted by email, other systems of electronic
communication or other telecommunication systems, the Customer shall bear all consequences
of such an action.

Furthermore, it shall be deemed that the Customer has not submitted the necessary documents
to the Freight Forwarder in time in cases when its business partners or other persons appointed
by the Customer failed to submit such documents to the Freight Forwarder in due time.

All consequences of incorrect, invalid or non-genuine documents or of other shortcomings in the
documents or the failure to submit them, to submit them on time or incorrect submission to the
Freight Forwarder shall be borne by the Customer. The Freight Forwarder shall not be obliged to
verify the authenticity or correctness of documents and shall assume no responsibility for the
documents. Furthermore, the Freight Forwarder shall not be responsible for any irregularities or
deficiency of the documents that it completed itself on the basis of faulty or incomplete
information that was submitted by the Customer or a person authorised to do so by the Customer.

The Freight Forwarder shall not be liable to deliver or to take over freight against issuance of a
guarantee.

Article 31
(The Payment of Costs and Remuneration)


When the Customer concludes the contract with the Freight Forwarder, it shall be deemed that
the latter is given authorisation to pay freight charges, taxes, customs duties, excise duties,
damages, cash-on-delivery fees and other costs, whereby the terms and conditions specified in
Chapter XII and especially provisions of Article 70 hereof shall apply to such payments. The risks
and all consequences of such payments shall be borne exclusively by the Customer.

Article 32
(Stating the Value of Cash-on-Delivery Fees and Referring to INCOTERMS or Similar Clauses)


The stated value of the cash-on-delivery fee cannot be interpreted as a statement on whose basis
the Customer may, in accordance with the provisions of the valid rules and regulations, enforce
the Freight Forwarder’s liability for damages that surpasses the latter's liability under these Terms
and Conditions and under the valid rules and regulations if the Customer, upon stating the value
of the cash-on-delivery fee, did not clearly and explicitly put down in writing that such a statement
has such a purpose and if the conditions under Article 83 hereof are not met for such an action.


If the freight forwarding contract or any other document submitted to the Freight Forwarder by the
Customer or by a person authorised by the Customer to do so refers to INCOTERMS clauses or
other similar clauses with which the Customer regulates its business relationship with its business
partner from the sales contract or another contract on the supply of goods (especially the manner
of distributing the costs related to the delivery of goods), such clauses shall not prejudice the
Customer’s obligation to pay for the Freight Forwarder’s service in full and to reimburse the
Freight Forwarder’s costs even though it is not obliged to bear all the costs or part of the costs
related to the dispatch of freight under the agreed INCOTERMS clause or another similar clause
included in the sales contract or similar contract on the supply of goods concluded between the
Customer and its business partner. The Freight Forwarder shall be only obliged to claim payment
for its services and the reimbursement of costs from the consignee if it undertook to do so in
accordance with the provisions of Article 33 hereof.

Article 33
(Payment of Costs and the Freight Forwarder’s Payment by the Consignee and Collecting the
Cash-on-Delivery Fee)


If the Customer and the Freight Forwarder agree in writing that the Freight Forwarder shall claim
the reimbursement of costs and payment for services from the consignee, the Customer shall be
obliged to previously bind the consignee to such payments. In such cases, the Freight Forwarder
shall collect the money at the Customer’s risk and cost, whereby the Customer shall remain liable
to the Freight Forwarder if the Freight Forwarder fails to collect the money from the consignee for
any reason. If the Freight Forwarder notifies the Customer that it failed to collect payment for
services and/or the reimbursement of costs from the Customer’s business partner, the Customer
shall be liable to immediately pay the amounts itself. The Freight Forwarder shall not be obliged
to provide any explanation of the reasons why it was unable to collect payment from the
Customer's business partner.

The agreement between the Customer and the Freight Forwarder from the previous paragraph of
this Article shall be made in such a way that it is undoubtedly clear that the Freight Forwarder
agreed. Merely a statement on the invoice or any other document that the Customer or a person
authorised by the Customer has submitted to the Freight Forwarder stating that the consignee
shall be bound to pay the Freight Forwarder for its services and to reimburse its expenses shall
not be deemed to mean the Freight Forwarder undertaking to claim payment for its services and
the reimbursement of incurred expenses from the consignee. The Freight Forwarder shall only be
bound to take the actions specified in paragraph one of this Article if the freight forwarding
contract contains a clause stating that the Freight Forwarder shall be obliged to claim payment for
its services and the reimbursement of its expenses from the consignee. If such as clause is not
explicitly stated in writing containing a detailed description of the Freight Forwarder's obligation,
but merely uses abbreviations or other symbols, it shall be deemed that the freight forwarding
contract does not contain such a clause.

The provisions of the previous paragraph of this Article shall apply mutatis mutandis for collecting
cash-on-delivery fees.

If the Freight Forwarder agrees to collect the cash-on-delivery fees from the consignee for the
Customer, it shall be entitled to accept cash or cheque or to collect such fees using modern
methods of payment. The Freight Forwarder shall be obliged to remit such amounts to any of the
Customer’s accounts or to deliver it to the Customer in any other way within 8 days following the
receipt of such fees. The costs of the transaction or delivery of the obtained amount shall be
borne by the Customer as well as any negative exchange rate differences from the moment the
Freight Forwarder obtained such an amount to the moment that it remitted it to the Customer if
the Customer asked the amount to be remitted or delivered in a currency that is not the currency
in which the remittance was made.


The Freight Forwarder shall not be liable for any eventual misuse of remittance, including
eventual payment by a cheque without cover or other payment without cover or with counterfeit
money. The Freight Forwarder shall only be liable for the delivery of the collected amount to the
Customer, whereby any claims for damages against the Freight Forwarder that exceed the
limitations determined herein shall not be possible.

The Freight Forwarder executing the order by collecting the Customer’ claims from the consignee
shall not verify the justification of the order nor shall it assume any warranty.

If the consignee refuses to pay the cash-on-delivery fee, the provisions of Article 42 hereof shall
apply.

The Customer shall pay a special fee to the Freight Forwarder for the collection of fees under this
Article and shall indemnify it for any related expenses.

Article 34
(Changes of the Order)


If the Customer changes its order, the Freight Forwarder shall only be obliged to follow these
changes if this is still possible. The Freight Forwarder shall not be liable for the consequences
arising from the changed order. The Customer shall be obliged to reimburse the Freight
Forwarder's expenses and damages arising from the changed order. In the event of such
changes, the Freight Forwarder shall be entitled to a bonus on top of the originally arranged
payment that corresponds to the extent of the Freight Forwarder’s additional work due to the
changes to the order.

Article 35
(Cancelling the Order or Withdrawing from the Contract)


If the Customer cancels the order or withdraws from the contract, it shall indemnify the Freight
Forwarder for the services rendered, as well as for incurred expenses, including expenses
caused by the cancellation of the order and damages.

Article 36
(The Mutatis mutandis Application of Provisions of this Chapter)


The provisions of this chapter, excluding the provisions on the form of the order under Article 21,
shall apply mutatis mutandis regardless of the manner in which the freight forwarding contract
was concluded unless explicitly determined otherwise by a specific article.

V. ACCEPTANCE AND HAND OVER OF FREIGHT
Article 37
(The Manner of Accepting and Handing Over the Freight)


The Customer shall hand over the freight to the Freight Forwarder in accordance with the
provisions hereof in the agreed place, at the agreed time and in the agreed extent and manner or
it shall be deemed that the freight was not handed over.

It shall be deemed that the freight has been handed over if it is handed over in accordance with
the provisions of the valid rules and regulations and these Terms and Conditions and if it is made
available to the Customer, Carrier or another person authorised by the Customer. The Freight
Forwarder shall only be obliged to hand over the freight to the Carrier or another person
authorised by the Customer if such a person is able to prove the existence of such an
authorisation beyond any doubt.


Unless arranged otherwise, the Freight Forwarder shall not be obliged to arrange for the freight to
be loaded upon acceptance nor unloaded upon its delivery. If the Freight Forwarder or a person
operating under the instructions of the Freight Forwarder participates in the loading and unloading
of freight, it shall be deemed that it is operating on the Customer’s account and risk.

The Freight Forwarder shall not be obliged to hand over the freight if the consignee is not willing
to confirm the acceptance in writing. Furthermore, the Freight Forwarder shall not be obliged to
accept the freight if it was not given an opportunity to check the freight and provide the person
handing it over with its remarks concerning the freight's condition, delay or any other faults
evident at the time of accepting the freight.

Article 38
(The Arrival of Damaged Freight and the Related Procedure)


If the freight arrives at the destination visibly damaged or showing evident shortage with regard to
the quantities listed in the documents that serve as a basis for the Freight Forwarder’s
acceptance of the freight, the Freight Forwarder, if representing the Customer as consignee, shall
without delay inform the Customer about the damage or shortage and of all events important to
the Customer. Furthermore, it shall take all the necessary measures to safeguard the
Cusatomer’s rights towards the person responsible.

If at a certain point in the transhipment, the Freight Forwarder acts on behalf of both the
consignor and the consignee, it shall use due diligence and protect the interest of both and keep
them informed about its work.

Article 39
(The Customer’s Conclusion of the Transport Contract)


It the Customer concludes a maritime transport contract, it shall be obliged to provide all the
agreements on the terms and conditions of loading and unloading, such as is customary in the
respective ports and other agreements customary for maritime transport.

The costs due to the failure of the port authority or the ship-owner to fulfil the loading or unloading
requirements and other requirements customary in the respective port, shall be borne by the
Customer.

The provisions of paragraphs one and two of this Article shall apply mutatis mutandis for cases
when the Customer concludes a transport contract for transporting freight by other means of
transport.

The Customer shall further bear the costs resulting from congestion at the port, the marshalling
yard, the groupage station and other traffic points, from lack of storage space, a shortage of the
means of transport, the ship waiting in the port, other means of transport waiting in ports, at
railway stations or at other points, from overtime work, waiting on holidays and Sundays or from
work interruption due to bad weather.

Article 40
(The Freight Forwarder’s Responsibility for the Carrier's Notes)


The Freight Forwarder shall not be responsible for information supplied by the ship-owner and its
agent about the movement of the ship and its arrival, nor for information supplied by other
carriers.


Article 41
(Consequences of Delays in Transport and other Handling)


Unless explicitly determined otherwise in these Terms and Conditions or arranged in writing, all
the consequences of obstacles and delays in the transport of freight, its transhipment and other
handling or of freight-related services shall be borne exclusively by the Customer retaining the
right of recourse against the party causing such a delay. This shall also apply to all the costs
incurred due to freight handling at times when these services are more expensive (night time,
Sundays, holidays and other non-working days).

Notwithstanding other provisions hereof, in no case shall the Freight Forwarder be responsible for
obstacles and delays arising due to circumstances beyond the Freight Forwarder’s obligation and
which cannot be avoided or averted or due to force majeure and shall not be obliged to bear the
consequences of such obstacles or delays.

Article 42
(Obstacles in the Delivery of Freight to the Consignee)


Should the consignee refuse to take over the freight or if the freight cannot be delivered for other
reasons, the Freight Forwarder shall inform the Customer thereof and shall also take all the
necessary measures for storing the freight pending further orders. If the Freight Forwarder does
not receive further orders within the determined time (within 3 days if such a time has not been
determined) after asking for further orders, the provisions of Article 26 hereof shall apply mutatis
mutandis.

Article 43
(Obstacles in the Dispatch of Freight)


Having received the order, the Freight Forwarder shall not be obliged to investigate either the
existence of any legal or other obstacles to the dispatch of the freight or the existence of any
import, export and transit restrictions and the like.

Any eventual expenses and damages incurred in connection with this shall be borne by the
Customer.

VI. ROUTING
Article 44
(Lack of Customer Instructions)


If the order or the contract does not contain instructions on the transport route, means of
transport, the operator and the transport mode or instructions on other freight handling and
related services, the Freight Forwarder shall not be obliged to act in accordance with the
provisions of Article 24 hereof but shall be authorised to choose or to combine the elements that
are the most favourable to the Customer. This provision does not limit the Freight Forwarder’s
right to dispatch the freight by groupage transport.

Article 45
(The Freight Forwarder's Right to Determine the Destination Station)


When the freight is dispatched by rail and the Customer has only indicated the consignee's
headquarters and address or residence without the destination station, the Freight Forwarder, if
unable to obtain the necessary clarifications from the Customer in due time, shall send the freight
to the station whose location is the most favourable for the Customer. In this case, the Freight
Forwarder shall not be held responsible for the selection of the station.


The provisions of this Article shall apply mutatis mutandis for transport by other means of
transport.

Article 46
(Groupage Services)


The Freight Forwarder may forward all consignments by groupage transport unless explicitly
prohibited by the Customer in writing. The Freight Forwarder shall be entitled to the difference in
freight charges achieved by groupage transport.

Article 47
(Receipt of Notifications of the Acceptance and Dispatch of Freight)


At the Customer’s demand and at its cost, the Freight Forwarder shall issue a customary
forwarding certificate of the receipt and dispatch of freight. Unless arranged otherwise, such a
receipt shall only confirm the type of goods (basic description) and the number of packages. If
such a receipt describes other freight characteristics, the Freight Forwarder shall not be
responsible for their accuracy unless it assumed an explicit guarantee thereof and received
additional payment therefore.

Article 48
(The Customer’s Obligation to Bind Its Partner to Respect the Freight Forwarder’s Instructions)

The Customer shall use its sales contract or another contract on the supply of goods to bind its
partner to follow the Freight Forwarder's instructions on the transport of goods and other handling
and related services. The Freight Forwarder shall not be responsible for any incurred damages
should the Customer's partner fail to follow its instructions.

VII. DEADLINES
Article 49
(The Freight Forwarder’s Responsibility for Delays)


The Freight Forwarder shall only be responsible for delays if it committed to this explicitly and
unambiguously in writing and it if receives additional payment for assuming such a guarantee.

The fact that the order includes a deadline or the fact that the Freight Forwarder informs the
Customer of the foreseen time required to implement the service shall in no instance be
interpreted as proof that the Freight Forwarder has committed to this deadline and that it will
comply with it.

VIII. PACKING AND PREPARING THE FREIGHT FOR TRANSPORT AND OTHER HANDLING
Article 50
(The Customer’s Responsibility for Packing and Preparing the Freight for Transport and Other
Handling)


As the connoisseurs of the freight, the Customer or its partner shall be obliged to pack the freight
using quality and reliable packaging material, depending on its characteristics, the valid rules and
regulations, the characteristics of the packaging, the requirements of the transport route, required
handling and other freight related services and the requirements of the means of transport and
transport mode and thoroughly prepare the freight for legal and unhindered transport,
transhipment and other handling, including the handling required for transhipment during the
implementation of transport, its storage and unloading at the point of destination. The freight shall
be prepared in such a manner that it is protected from all regular transport and handling risks and
that the inside of the packaging cannot be reached without visible damage to the packaging itself.


Article 51
(Transport and Commercial Packaging)


The packaging of the freight shall be regarded as transport packaging with the exclusive purpose
of protecting the freight from transport and handling risks and cannot be regarded as commercial
packaging that may not be subject to damage occurring in freight handling and that serves for the
packaging of goods to be delivered to the final user or for any other commercial purposes. If the
freight is packed in commercial packaging that may not be damaged during transport and freight
handling, the Customer must additionally package such goods in accordance with the provisions
of Article 50 hereof prior to handing over the freight to the Freight Forwarder, thus preventing
damage that may occur during freight handling.

The Freight Forwarder shall not be responsible for damages to packaging that may occur during
the implementation of transport and other handling of freight.

Article 52
(Labelling on Packages)


The Customer or its partner shall be obliged to label each package in a transparent, permanent
and reliable manner, making the packages distinguishable and identifiable on the transport,
insurance and other documents that are used in freight handling. If one consignment is made up
of several packages, each package shall be clearly marked. Furthermore, the Customer or its
business partner shall be obliged to label each package in a transparent and permanent manner
with information on the consignee and other information that is required to ensure proper, safe
and legal handling and the correct implementation of freight forwarding (especially labels
indicating that the packages constitute hazardous freight, heavy freight, freight requiring special
handling procedures and, if required for the lawful and correct implementation of freight
forwarding, labels indicating that the packages constitute freight as described in Article 25
hereof). All older labels on the freight from previous handling that are no longer topical shall be
removed or processed so they are not legible anymore.

Article 53
(Warnings Regarding Deficient Packaging)


Should the Freight Forwarder notice that the freight is not properly packed or otherwise duly
ready for transport or handling, the Freight Forwarder shall draw the Customer’s attention to
these deficiencies and the Customer shall be obliged to take this warning into consideration and
repack the freight. The Freight Forwarder shall not be obliged to determine such irregularities if it
did not have the opportunity to inspect the freight’s packaging.

This provision shall also apply in cases when the Freight Forwarder calls upon the Customer to
change the manner of packaging or preparation of the freight in order to ensure the easier, safer
or more economic implementation of freight forwarding. Should the Customer or the Freight
Forwarder under the Customer’s authorisation combine several packages into one package, it
shall be deemed that one package is the subject of the freight forwarding contract.

If waiting for the Customer to eliminate the deficiencies under paragraph one of this Article may
be harmful for the Customer, the Freight Forwarder shall eliminate them itself at the Customer's
expense but shall not be liable for any eventual consequences arising from such an action. In
eliminating such deficiencies, the Freight Forwarder shall further have the right to take apart the
packages prepared by the Customer and turn them into several smaller packages, whereby in
determining its liability for damages it shall be deemed that there was no increase in the number
of packages.


The Freight Forwarder shall only be obliged to pack the freight if it explicitly accepted such an
obligation in writing and in cases under paragraph three of this Article.

The Freight Forwarder shall not be responsible for any consequences that might arise due to the
Customer or its partner not observing the provisions hereof relating to the responsibility for
packaging.

IX. DETERMINING THE QUANTITY AND QUALITY OF FREIGHT AND SAMPLING
Article 54
(The Take Over and Hand Over of Freight in Terms of Quantity)


The Freight Forwarder shall only take and hand over packages corrisponding to the number of
pieces stated on the documents pursuant to which it is justified to take or hand them over without
any responsibility for the quantity, quality, nature, value and contents within an individual package
nor for their weight, volume or other characteristics regardless of whether these are stated in the
documents.

The Freight Forwarder shall only take and hand over bulk freight and other non-packaged goods
in accordance with the Customer’s instructions and without any responsibility for its weight,
quantity, contents, nature or other characteristics.

Weighing, measuring and detailed counting or inspection of freight and packages shall only be
made on special demand or in the case of evident damage and loss of freight and against
payment of expenses and a supplementary fee.

The Freight Forwarder may also have the freight weighed by a respective specialised
organisation.

Article 55
(Taking Over Freight in Terms of Quality)


The Freight Forwarder does not act as a connoisseur of the freight and shall not be obliged to
object to its condition, nature or quality or the fact that the freight does not correspond to the
specification or samples unless the deficiencies of the freight are such that they cannot be
overlooked by any average attentive person.

Article 56
(Sampling)

The Freight Forwarder shall only conduct the sampling and dispatch thereof on the Customer’s
orders or at the demand of competent state bodies and other public authorities. The Customer
shall be obliged to reimburse the Freight Forwarder for all costs relating to such actions and
additionally remunerate the Freight Forwarder for their implementation.

The Freight Forwarder shall only be responsible for sampling the indicated lot of freight.


X. CUSTOMS CLEARANCE
Article 57
(Assumption of the Existence of the Order for Customs Clearance)


Unless expressly agreed otherwise in writing, the order for the ispatch or takeover of freight shall
be deemed to include the order for implementing customs clearance. The Freight Forwarder shall
only be obliged to report using the Intrastat system on the basis of an explicit written order.

If the place of customs clearance is not indicated in the order or in the valid rules and regulations,
such a place may be specified by the Freight Forwarder.

Article 58
(Manner of Representation)


Unless expressly agreed otherwise in writing, the Freight Forwarder shall act in the customs
clearing procedure for and on behalf of the Customer (direct representation) and if all the
conditions to do so are not met for itself and on behalf of the Customer (indirect representation).
The Freight Forwarder shall submit the customs documents and conduct other actions in the
customs clearance procedure on the basis of information supplied by the Customer or its
business partner. The Freight Forwarder shall not be responsible if such information does not
conform to the actual situation. The Customer shall be obliged to reimburse the Freight Forwarder
or its responsible person for any damages thus incurred, including all subsequently levied duties,
penalties and costs of procedures, upon the Freight Forwarder’s first call and without any
limitations, reservations, conditions or objections.

If administrative, criminal, penal or other proceedings are started against the Freight Forwarder
due to faults in the customs clearance procedure described in the previous paragraph of this
Article or due to other faults beyond the Freight Forwarder’s responsibility, it shall be deemed that
such procedures are conducted on behalf of the Customer and at its cost. In such a case, the
Customer shall be obliged to provide the Freight Forwarder with all the needed means, proofs
and documents and shall be obliged to exonerate it from all consequences upon the Freight
Forwarder’s first call and provide all the required help.

Article 59
(The Customer’s Organisation of Transport and/or Other Services in the Event of Suspensive
Arrangements and Customs Procedures with Economic Impact)


If the Freight Forwarder conducts customs clearance procedures for the Customer and does not
organise the transport of freight and/or other services, in cases of suspensive arrangements and
customs procedures with economic impact, the Customer shall ensure that the Carrier and all the
parties in possession of the freight treat the freight and all the related customs and other
documents that are required for the correct conclusion of these procedures in accordance with
the valid customs rules and regulations and the Freight Forwarder's instructions and to implement
transport and other services so as to enable the timely and legal conclusion of these proceedings.

Failure to comply with the obligation under paragraph one of this Article shall result in the
Customer being obliged to reimburse the Freight Forwarder and its responsible person for any
damages thus incurred, including all subsequently levied duties, penalties and costs of
procedures, upon the Freight Forwarder’s first call and without any limitations, reservations,
conditions or objections.


Article 60
(Payment for Conducting Customs Clearance Procedures)


The payment pertaining to the Freight Forwarder for organising transport or other services shall
not include payment for conducting customs clearance procedures. This payment shall pertain to
the Freight Forwarder in addition to payment for organising transport or other services.

XI. FREIGHT INSURANCE
Article 61
(Freight Insurance on the Basis of an Explicit Order)


The Freight Forwarder shall only be obliged to provide freight insurance on the basis of an explicit
order for each dispatch. The indication of the freight value in the order alone shall not be deemed
an insurance order. Likewise, the insurance of a single consignment does not imply any
obligation on the part of the Freight Forwarder to insure all subsequent consignments of this
Customer.

If the Freight Forwarder assumes the responsibility of providing insurance, this responsibility shall
always relate only to cargo or freight insurance and not to the conclusion of any other types of
insurance.

Article 62
(Conclusion of the Contract on Freight Insurance)


The order for freight insurance shall be placed before the Freight Forwarder begins implementing
the freight forwarding services and shall include a clear specification of the desired insurance
coverage and the risks covered by the insurance. If the order does not include such risks, the
Freight Forwarder shall only be obliged to insure the freight against customary transport risks.
The Freight Forwarder shall be entitled to choose the manner of concluding the insurance and the
insurance company at its own discretion and to accept the insurance company’s general terms
and conditions for concluding the insurance, including the terms and conditions relating to the
deductible franchise, unless instructed otherwise by the Customer in writing. The Freight
Forwarder shall not be obliged to take out insurance that does not meet the requirements
specified under Article 65 hereof.

The Freight Forwarder shall be entitled to separate payment for providing cargo insurance and to
the reimbursement of related costs. This provision shall apply mutatis mutandis for all services
that the Freight Forwarder conducts in relation to such insurance (e.g. filing insurance claims,
etc.).

Article 63
(The Consequences of the Lack of Insurance or Deficiencies Thereof)


If the Customer does not submit an order for freight insurance or orders only partial insurance,
provides the wrong information required for the insurance, prevents the conclusion of insurance in
any way or causes the occurrence of deficiencies in the insurance, it shall bear all the harmful
consequences arising therefrom. This shall also apply if it does not enforce its rights under the
insurance in the event of contingency.

Article 64
(The Freight Forwarder’s Role in the Event of Contingency)


If the Freight Forwarder concludes a freight insurance contract on the basis of the Customer’s
order and a contingency arises and the Freight Forwarder submits the insurance claim, the
Customer shall only be entitled to the amount that that Freight Forwarder receives from the


insurance company under the insurance contract. By concluding the insurance contract, the
Freight Forwarder does not assume any responsibility for the payment of damage compensation
under such insurance.

In no case shall the Freight Forwarder be obliged to submit the claim under paragraph one of this
Article on behalf of the Customer.

If the Freight Forwarder concludes the insurance in a manner making it the insurer, it shall be
deemed that in the event of a contingency, its obligations towards the Customer in relation to that
contract are met in the moment when it enabled it to enforce the rights under that contract against
the insurance company.

Article 65
(The Contents of the Insurance Contract Concluded by the Customer)


If the Customer concludes a cargo insurance contract with the insurance company itself, it shall
be obliged to ensure that the contract includes a clause on the insurance company’s waiver of
recourse against the Freight Forwarder. Failure to do so shall result in the Customer bearing all
costs and damages thus incurred by the Freight Forwarder.

XII. THE FEE AND REIMBURSEMENT OF EXPENSES
Article 66
(The Obligation of Paying the Fee and Reimbursing Expenses)


The Customer shall pay the Freight Forwarder for each service rendered and shall reimburse all
expenses relating to the freight forwarding contract and its implementation (including those that
arise after the service has been concluded and the Customer has reimbursed the Freight
Forwarder for all the currently known expenses relating to the service; such expenses include the
subsequent payment of customs and other duties, undercharged freight or storage fee, payment
for longer stops, etc.).

The Customer’s obligation under paragraph one of this Article also exists if the Freight Forwarder
is unable to perform the service or not able to perform it in full for reasons that are the
responsibility of the Customer or persons acting on behalf of the Customer.

The Customer shall reimburse the Freight Forwarder’s expenses after their occurrence and upon
the latter’s first call, whereby this provision shall not prejudice the Freight Forwarder's right under
Article 70 hereof.

The expenses under paragraph one of this Article include particularly, but not exclusively customs
duties, taxes and excise duties, other public levies (including charges, customs duties, taxes,
excise duties and other public levies charged subsequently), insurance premiums, the costs of
bank guarantees, general average costs and the costs of implementing inspection and other
examinations, payments made to third parties that participated in the implementation of services,
other costs that are enforced against the Freight Forwarder by third parties due to the possession
of freight on account of the third party and other costs and expenses that the Freight Forwarder is
not bound to bear under the concluded contract.

Article 67
(The Method of Determining the Amount of Payment)


The fee shall be fixed by the tariff or by the contract. If such a tariff is not arranged and if the
contract does not determine the amount of payment, the Freight Forwarder’s fee shall apply as
valid at the time when the individual freight forwarding service was implemented.


If payment under the tariff can be determined on the basis of weight, volume, length, surface
area, number of packages or other freight characteristics and no other written agreement or
clause in the tariff exist, payment shall be determined on the basis of the criteria used by the
Freight Forwarder in similar cases.

If payment is determined proportionately to the value of the freight that is determined on the
invoice or on another document submitted to the Freight Forwarder, the value on such an invoice
shall be the fair value and may not be reduced by any eventual discounts or other bonuses. If the
value on the invoice varies from the fair market price, the Freight Forwarder shall be allowed to
consider the fair market price when determining the payment amount. The fair market price is
determined according to the exchange price or, if no such price exists, according to the daily
market prices. If neither the exchange nor the market price exist, the value shall be determined
on the basis of the normal market prices, whereby the moment and location of the freight's
handover to the Freight Forwarder shall be considered as the relevant moment and location for
determining the value.

If payment is determined on the basis of other information and not the value of the freight and if
the Freight Forwarder establishes that the Customer or the person authorised to do so by the
Customer has communicated faulty information, the Freight Forwarder shall be entitled to obtain
the correct information at the Customer’s cost and then determine the amount of payment by
using such information and charge the Customer all the damages arising from the latter
communicating faulty information.

Notwithstanding the provisions hereof, the Freight Forwarder shall also be entitled to check the
market price of the freight and other information in cases when it requires such information for the
correct implementation of freight forwarding and not only when such information is required for
determining the amount of the fee.

Article 68
(Currency)

The Customer shall conduct all payments to the Freight Forwarder in the official currency of the
Republic of Slovenia.

Notwithstanding the provisions of paragraph one of this Article, the Freight Forwarder shall be
entitled to a fee for its services and to the reimbursement of its expenses in the currency of the
country of its Customer's headquarters or, if agreed, in any other currency for services rendered
to a foreign Customer. If the payment of the fee and the reimbursement of expenses are agreed
to be made in a foreign currency, all exchange rate differences between the foreign currency and
the currency used in the Republic of Slovenia arising from the moment that the agreement on
payment has been concluded or the moment that the Freight Forwarder has incurred the
expenses to the moment of making the payment or reimbursing the expenses shall be borne by
the Customer.

Article 69
(Payment Deadlines and Objections to the Invoice)


Unless otherwise agreed in writing, the Freight Forwarder's invoice shall fall due within eight days
of the date of issuing the invoice.

Objections to the invoice shall be submitted within the same deadline or it shall be deemed that
there are no objections. In the event of late payment, the Freight Forwarder shall be entitled to
charge the legal interest for late payment or, if such an interest rate is not determined, at an
interest rate of 15% annually.


Whenever the claim refers to only a part of the invoice, the undisputed part must be paid within
eight days of the date of issuing the invoice.

Article 70
(Advance Payment)


The Freight Forwarder shall be entitled to request advance payment or the payment of
anticipated expenses at any time, or the provision of an unconditional bank guarantee issued by a
prime bank with headquarters in the Republic of Slovenia, payable upon first call and without
objections issued for the amount of the anticipated expenses. If the Freight Forwarder doubts the
Customer’s solvency, this provision shall also apply to the payment for the freight forwarding
service. This provision shall not prejudice the Freight Forwarder’s right to accept another
appropriate manner of insuring its claims other than advance payment or bank guarantee (e.g.
surety, mortgage, bill of exchange, etc.).

If the Customer refuses to make such an advance payment or to provide a bank guarantee (or
another form of insurance if the Freight Forwarder agreed to such a form of insurance in writing)
and if the Customer refuses to make the payment falling due at the time of the validity of the
contract, should the Customer fail to act in accordance with the provisions of paragraph one of
this Article within 8 days of being called upon to do so or in a shorter time if so required by
circumstances, the Freight Forwarder shall have the right to immediately withdraw from the
contract by an ordinary statement sent to the Customer and without facing any consequences
from such an action, whereby it retains the right to receive payment for services rendered and the
reimbursement of expenses. If the Freight Forwarder does not enforce its right to withdraw from
the contract, it shall not be bound to implement the freight forwarding contract until it receives the
advance payment or a bank guarantee or another form of insurance that it accepted. If it chooses
to implement the freight forwarding contract, all the consequences of such an act shall be borne
exclusively by the Customer.

Article 71
(The Freight Forwarder Advancing its Own Funds for the Customer)


If the Freight Forwarder executing an order advances its own funds, it shall be entitled to a
special commission for the advanced sums. The amount of this commission shall be specified by
the tariff or by agreement with the Customer. If such a tariff or agreement do not exist, the Freight
Forwarder shall be entitled to a commission of 12% annually calculated on the basis of the value
of the funds advanced from the moment that the Customer’s obligation to reimburse the Freight
Forwarder arises. If the Freight Forwarder takes on a loan to ensure such an advancement of
funds, it shall be entitled to the reimbursement of all costs relating to such a loan, whereby the
reimbursement cannot be less than 12% annually calculated on the basis of the advanced funds.

XIII. THE FREIGHT FORWARDER’S LIABILITY
Article 72
(Duty of Care)

The Freight Forwarder shall always act in compliance with the Customer’s interests and with due
diligence.

Article 73
(The Freight Forwarder’s Liability for Others and the Limitation of Liability of Others)


The Freight Forwarder shall only be responsible for the choice of carrier and other parties with
whom it concludes a contract relating to the execution of the order (storage, transhipment,
sorting, packaging, freight insurance, etc.) but it shall not be responsible for their performance
except in cases determined by paragraph three of Article 5 hereof.


The provisions hereof applying to the Freight Forwarder’s liability shall apply mutatis mutandis to
the liability of the parties operating for the Freight Forwarder or that the Freight Forwarder
attracted to the implementation of the freight forwarding contract and to the Customer's claims
and the claims of third parties towards such parties. The cumulative liability of the Freight
Forwarder and such parties cannot exceed the amount limiting the Freight Forwarder’s liability.

Article 74
(The Freight Forwarder as a Transport Operator or Provider of Other Services)


The Freight Forwarder shall have the right to transport the freight itself and/or implement all other
services required for the implementation of freight forwarding. In such cases, it shall hold the
rights and obligations under the valid rules and regulations or that are customary for the
performance of such services.

If the order includes an explicit or implicit authorisation to the Freight Forwarder to entrust the
execution of the order to another Freight Forwarder or if this is in the Customer’s interest, the
Freight Forwarder shall only be responsible for choosing another Freight Forwarder. It shall be
deemed that the Freight Forwarder has such an authorisation particularly, but not exclusively in
cases of organising groupage transport and in cases when part of the service has to be
implemented in areas or territories that are not directly covered by the Freight Forwarder’s
business network but are covered by another Freight Forwarder or in areas or territories that
another Freight Forwarder covers more efficiently due to its more favourable position on the
market.

Article 75
(Cases Excluding the Freight Forwarder’s Liability)


The Freight Forwarder shall not be liable for damages nor bear any consequences arising due to:

– defects or the nature of the freight (including ordinary spilling, ullage, perishing, drying, leaking,
decomposing, breaking, rusting, loss of weight or volume, worm damage, rotting, mould, insects
or other vermin, etc.),
– faulty or deficient packaging or freight preparation,
– following instructions and information on the freight obtained by the Customer or a person
authorised by the Customer,
– non-delivery or untimely delivery of the freight by the Customer,
– delivery of freight contrary to agreement,
– other actions or omissions thereof by the Customer or its authorised representatives or persons
hired by the Customer or persons who have the right to handle the freight,

– the Customer failing to respect the provisions of the currently valid rules and regulations, these
Terms and Conditions, the contract and the instructions provided by the Freight Forwarder and
other persons that the Freight Forwarder authorised to provide such instructions,
– freight handling, loading, stacking or unloading freight and other freight related actions
conducted by the Customer or its authorised representatives,
– force majeure, weather conditions and phenomena, natural and other disasters, fires, strikes,
labour disputes, shutdown, the seizure or impounding of freight, other regulatory measures,

decrees or recommendations issued by state bodies or other public authorities, administrative or
legal requirements, riots, rebellions, revolutions, hostilities, war, acts of violence, robbery or theft,

– acting in accordance with the valid rules and regulations, the freight forwarding contract and/or
these Terms and Conditions,
– other facts, causes or events that are defined as exculpatory in the valid rules and regulations
and facts, causes or events that are not the Freight Forwarder's responsibility or events that the
Freight Forwarder was unable to avoid and whose consequences it was unable to prevent.

Where there is a possibility of damages occuring due to any of the circumstances under
paragraph one of this Article, it shall be deemed that they occurred due to them.

The Freight Forwarder shall not be liable for damages occurring due to consultancy or acts that it
performed for the Customer free of charge.

The Freight Forwarder shall not be responsible for freight charges, customs duties and other
public levies that have been incorrectly charged.

Article 76
(Inability to Fulfil the Freight Forwarding Contract)


If the Freight Forwarder is unable to fulfil its obligations under the freight forwarding contract due
to any of the reasons or events under paragraph one of Article 75 or the nature of the freight or
other events beyond its control and if these obstacles are such that they may be eliminated, it
may call upon the Customer to provide instructions for such elimination within 3 days after
receiving such a call. If it cannot wait to receive such instructions, the Freight Forwarder shall
have the right to eliminate such obstacles itself at the Customer’s risk and cost.

If the obstacles cannot be eliminated, the Freight Forwarder shall be relieved of its obligations
under the freight forwarding contract but shall put the freight at the Customer’s disposal or store it
at the latter’s risk and cost. If this is not possible or sensible, it shall have the right to sell the
freight at the exchange or market price and use the purchase money to settle the costs of sale
followed by its receivables due from the Customer under the freight forwarding contract and to
release the remaining amount to the Customer. In such a case, the obligations of the contracting
parties to the freight forwarding contract shall be assessed as impossible to perform.

If the obstacles are temporary in nature, the Freight Forwarder’s obligations shall be at a standstill
during their duration. It shall be deemed that obstacles are temporary in nature if their duration
does not exceed 15 days.

Article 77
(The Customer’s Obligation to Protect the Freight Forwarder from Claims from Third Parties and
Consequences arising from Implementing the Freight Forwarding Contract)


Whenever the Freight Forwarder acts for and on behalf of the Customer or for itself and on behalf
of the Customer, the Customer shall be obliged to protect the Freight Forwarder and all its
representatives, agents and other parties operating under its order or on its behalf from all claims
from third parties (including the state and other public authorities) and take their place in all
proceedings lodged against them by third parties upon their first call and to protect them against
all the negative consequences that they suffer in relation to implementing the freight forwarding
contract that they are not obliged to suffer under the provisions of the valid rules and regulations,
these Terms and Conditions and the freight forwarding contract.

The provisions of the previous article shall further apply when the Freight Forwarder acts for itself
and on its own behalf and in other cases when the occurrence of such claims or the start of such


procedures has been caused by the Customer breaching valid rules and regulations, any
provisions of the freight forwarding contract or hereof or the fact that the Freight Forwarder has
acted in accordance with the Customer’s instructions or the instructions of a person authorised by
the Customer to provide such instructions or if the occurrence of such claims or the start of such
proceedings has been caused by an event that is the responsibility of the Customer. The
provisions of the previous paragraph of this Article shall apply any time the Freight Forwarder is
not obliged to fulfil such claims from third parties in accordance with the provisions of the valid
rules and regulations, the contract and hereof and especially in cases relating to the payment of
customs and tax liabilities, excise duties, other public levies, obligations to banks and insurance
companies, general average costs, interest, fines, compensations, etc.

The Customer shall be obliged to reimburse the Freight Forwarders, upon the latter's first call, for
any damages suffered due to the Customer acting in contradiction to the valid rules and
regulations, the contract or hereof or such actions being taken by a party operating under the
Customer’s orders.

Article 78
(Managing Procedures for the Customer)


The Freight Forwarder shall only submit claims, complaints and compensation claims and
manage various formal procedures to the benefit of the Customer if explicitly requested by the
Customer. In such a case, the Customer shall submit all transport, customs and other documents
required for raising the claim to the Freight Forwarder as well as all the relevant information.

The Freight Forwarder shall manage the procedures under the previous paragraph of this Article
at the Customer’s risk and cost and shall be entitled to receive separate payment for these
services.

Article 79
(Limitation of the Freight Forwarder’s Liability)


If the basis of the Freight Forwarder's liability is proven beyond doubt, the Freight Forwarder shall
only be responsible within the limits determined herein for ordinary damages to property (loss of
property) and not for non-material damages, loss of profit or income or revenue and any eventual
other damages suffered by the Customer or its business partner, such as in particular, but not
exclusively the costs of implementing alternative services, loss of income due to the inability of
use, interest for late payment, contractual and other penalties, other compensations paid by the
Customer, damages due to a standstill of operation, loss of market, business, business
opportunities or business partners, damages due to impairment of reputation or goodwill and
other indirect and consequential damages.

Article 80
(The Extent of the Freight Forwarder’s Liability in the Event of Damages, Destruction or Loss of
Freight)


If the Freight Forwarder is responsible for the damage, destruction or loss of freight, its liability
shall be limited by the amount determined by an individual convention, by national legislation or
another rule or regulation that governs that type of transport, handling or services in which the
damage, destruction or loss of freight occurred. If the damage was caused by a party under the
responsibility of the Freight Forwarder, the Freight Forwarder's liability shall not exceed the
liability determined for such a person if such an extent is smaller than the extent of the Freight
Forwarder’s own liability under these Terms and Conditions.

Unless agreed otherwise or unless proceeding from the valid rules and regulations, in cases
when the Freight Forwarder does not issue a statement that the freight is lost, it shall be deemed
that the freight is lost if it is not delivered to the consignee within 30 days of the day of anticipated


delivery or, if such a date has not been determined, within 90 days f the acceptance of the freight
by the Freight Forwarder.

If the provisions of any convention, national legislation or another rule or regulation as determined
under paragraph one of this Article cannot be applied in the event of damages, destruction or loss
of freight, if such provisions do not exist, if they do exist but do not include provisions on limitation
of liability or if the place of occurrence of the damage cannot be determined and therefore the
convention or national legislation or another rule or regulation as determined under paragraph
one of this Article cannot be determined with certainty, the Freight Forwarder's liability shall be
limited to SDR 5 per kilo of gross weight of the damaged, destroyed or lost freight or, in the case
of multimodal transport, unless determined otherwise in the rules and regulations governing
multimodal transport, to SDR 2 per kilo of gross weight of damaged, destroyed or lost freight.

Unless determined otherwise, the compensation hereunder cannot exceed SDR 25,000 per
individual incident or several incidents with the same reason for the damage.

If the freight is completely or partially damaged, destroyed or lost, the Customer shall not be
entitled to claim damages for delay but exclusively to compensation determined in this Article
provided that all the assumptions determined by the valid rules and regulations and these Terms
and Conditions have been met.

Article 81
(The Extent of the Freight Forwarder’s Liability in the Event of Delay)


If the Freight Forwarder accepts the obligation to observe the deadline, its liability shall be limited
by the amount determined by an individual convention, by national legislation or by another rule
or regulation that governs that type of transport, handling or service in which the delay occurred.

If the provisions of any convention, national legislation or another rule or regulation as determined
under paragraph one of this Article cannot be applied, if such provisions do not exist, if they do
exist but do not include provisions on limitation of liability, in the case of multimodal transport if
not determined otherwise in the rules and regulations governing multimodal transport, or if the
place of occurrence of the delay cannot be determined and therefore the convention or national
legislation or other rule or regulation cannot be determined with certainty, the Freight Forwarder's
liability shall be limited to twice the payment received for the services rendered in relation to
organising freight forwarding in which the delay occurred, whereby in the event of a delay
regarding the implementation of freight forwarding for part of freight, the relevant amount to be
paid shall be an amount corresponding to the ratio between the quantity of the freight delivered
on time and the freight delivered with a delay. Unless determined otherwise, the compensation for
delay cannot exceed SDR 25,000 per individual incident or several incidents with the same
reason for the damage.

If the damage was caused by a party under the responsibility of the Freight Forwarder, the
Freight Forwarder's liability shall not exceed the liability determined for such a person if such an
extent is smaller than the extent of the Freight Forwarder’s own liability under these Terms and
Conditions.

Article 82
(The Extent of the Freight Forwarder’s Liability in Other Cases)


If the Freight Forwarder is responsible for damages that are not classified as damages,
destruction or loss of freight or delay of delivery under the valid rules and regulations and these
Terms and Conditions, its liability shall be limited to twice the payment received for the services
rendered in relation to organising freight forwarding, whereby the compensation cannot exceed
SDR 25,000 per individual incident or several incidents with the same reason for the damage.


The Freight Forwarder’s cumulative liability for damages, destruction or loss of freight and for
delay in delivery and other damages cannot exceed the value of the damaged, destroyed or lost
freight regardless of any other provisions of these Terms and Conditions.

The limitation under the previous paragraph of this Article shall also apply to storage.

Article 83
(Expansion of the Freight Forwarder’s Liability)


The Freight Forwarder may assume an obligation that exceeds the limitations determined by the
valid rules and regulations and these Terms and Conditions. The assumption of such obligation is
only valid and binding to the Freight Forwarder under the condition that it is given in the form of a
written clause in which the Freight Forwarder's liability is clearly and descriptively provided and
under the condition that the Freight Forwarder has explicitly stated that it assumes such an
obligation and received additional payment for such assumption. If such a clause is not explicitly
stated in writing containing a detailed description of the Freight Forwarder's obligation and not in
a manner that makes it unambiguously clear that the Freight Forwarder accepts the expansion of
its obligations but merely uses abbreviations or other symbols, it shall be deemed that the freight
forwarding contract does not contain such a clause. Specifications of amounts in the freight
forwarding contract cannot be deemed specifications of the freight forwarder’s liability unless
accompanied by an explicit and unambiguous statement from the Freight Forwarder that these
amounts represent the maximum limitation of liability.

Article 84
(Partial Damage, Destruction or Loss of Freight)


In the event of partial damage, destruction or loss of freight, the Freight Forwarder’s liability is
limited to the damaged, destroyed or lost part of the freight.

In cases under the first paragraph of this Article, damages shall be regarded as such only in
extent of the damaged part of the freight and not any reduced value of the remaining part of the
freight that occurs due to the partial damage.

Article 85
(The Value of Damaged, Destroyed or Lost Freight)


The value of damaged, destroyed or lost freight shall be determined in accordance with the
provisions of the convention used or the national legislation or another rule or regulation under
paragraph one of Article 80 hereof. If the value of the damaged, destroyed or lost freight cannot
be determined in such a manner, it shall be deemed that its value equals the value stated in the
invoice or other documents that were submitted to the Freight Forwarder for reasons of
implementing freight forwarding. If such an invoice or other documents do not exist, the value of
the freight shall be determined according to the exchange price or, if no such price exists,
according to the daily market prices. If neither the exchange nor a market price exist, the value
shall be determined on the basis of the normal market value of the same kind and quality of
freight, whereby the moment and place of the freight's handover to the Freight Forwarder shall be
considered as the relevant moment and place of determining the value.

Notwithstanding the other provisions hereof, the Freight Forwarder’s liability cannot exceed the
amount that the Customer would have received from the consignee in the event of the correct
implementation of the freight forwarding service and cannot exceed the value of the damaged,
destroyed or lost freight.

Any costs related to determining the damage and its amount shall be borne by the Customer.


Article 86
(Releasing Damaged or Destroyed Freight to the Freight Forwarder)


If the Freight Forwarder is obliged to pay compensation for damaged or destroyed freight in the
amount equalling the freight’s value, it shall be entitled to request that the Customer hand over or
release such freight to the Freight Forwarder prior to paying the compensation.

Article 87
(Deadlines for the Customer to Inspect the Freight and Submit its Objections)


If the Customer or a person authorised to do so by the Customer takes over the freight from the
Freight Forwarder or a person authorised by the Freight Forwarder without inspecting it in detail
in the presence of such a person or the Freight Forwarder and submits its reservations and
objections upon takeover and specifies loss or damages that can be established upon takeover
and written reservations, objections and specifications regarding loss or damages that cannot be
established upon takeover within 7 days after the freight has been taken over, it shall be deemed
that the freight was taken over without any faults and that damages to it occurred after the Freight
Forwarder handed over the freight and that the Freight Forwarder implemented its obligations
correctly and in full.

If the Customer fails to submit its reservations, objections and specifications of loss and damages
due to loss of freight within 21 days after the deadline specified in paragraph two of Article 80
hereof has expired, it shall be deemed that the freight was delivered to the consignee without any
faults and that the freight was not lost. In the event of partial loss, the provisions of paragraph one
of this Article shall apply.

The provisions of paragraph two of this Article shall also apply in cases when the Customer,
should the Freight Forwarder assume the obligation of meeting the deadline, fails to submit its
reservations, objections and specifications of loss and damages arising due to the Freight
Forwarder’s failure to meet the deadline within 21 days after this deadline has expired.

The Customer shall point out any other faults relating to damage, destruction or loss of freight or
delay within 7 days following the Freight Forwarder’s implementation of the ordered service or
after the service should have been implemented or it shall be deemed that the service has been
implemented without faults.

Article 88
(Deadlines for the Customer’s Submission of Objections Relating to Faults of Third Parties under
the Freight Forwarder’s Responsibility)


Notwithstanding other provisions hereof, the Customer shall be obliged to submit its reservations
and objections relating to the faults of third parties under the responsibility of the Freight
Forwarder and submit its claims towards the Freight Forwarder hereunder in deadlines that allow
the Freight Forwarder enough time to take recourse action against such parties with the
competent court or another body in accordance with the valid rules and regulations, whereby this
deadline cannot be less than 7 days. If the Customer fails to fulfil this obligation and the Freight
Forwarder is consequently not able or cannot be able to enforce its recourse claim against the
third party, the Customer shall not be entitled to compensation from the Freight Forwarder and if it
has already received such compensation it shall be obliged to refund the Freight Forwarder
together with the corresponding legal interest for late payment from the moment of receiving
compensation to the moment of refunding it.


Article 89
(The Form and Content of Objections)


The Customer shall submit its reservations, objections and specifications under Articles 87 and
88 hereof in writing and shall provide all the facts for their argumentation and proof on which they
are based. The burden of proof that it has met this obligation within deadlines determined in
Articles 87 and 88 hereof shall be borne by the Customer.

XIV. LIEN ON FREIGHT AND ITS RETENTION
Article 90
(The Freight Forwarder’s Lien on Freight and its Retention)


In order to secure the payment of its claims under the freight forwarding contract, the Freight
Forwarder shall be entitled to lien and retention of freight submitted for dispatch under conditions
determined by the valid rules and regulations as long as it is in its custody or as long as it
possesses a certificate entitling it to dispose of such goods. This right shall extend to money that
the Freight Forwarder receives upon delivering the freight to the consignee (COD) or other
amounts or items that the Freight Forwarder receives in exchange for the freight (e.g. amounts
that it receives when selling the freight itself).

The Freight Forwarder’s lien and retention of the freight under the previous paragraph of this
Article shall expand to cover receivables from the Customer under the freight forwarding contract
that is the basis for the Freight Forwarder’s possession of the freight, as well as to receivables
from the Customer under other freight forwarding contracts already concluded and implemented
in the past. It shall be deemed that at the moment of concluding the freight forwarding contract,
the lien contract is concluded and that a lien arises at the moment that the Freight Forwarder
receives the freight or a document authorising the Freight Forwarder to take over the freight.

If the Customer fails to pay its obligation to the Freight Forwarder, the latter shall be entitled to
sell the freight over which it has the lien or the right of retention under paragraph one of this
Article out-of-court and in accordance with the valid rules and regulations governing contractual
obligations and material law relations at the moment that the Customer’s obligation falls due.

XV. STORAGE
Article 91
(The Freight Forwarder’s Organisation or Implementation of Storage)


The Freight Forwarder shall only be obliged to organise the storage of freight or conduct storage
itself on the basis of the Customer’s explicit order but it may organise or implement it also without
such an order in all the cases determined herein and in the valid rules and regulations, when this
is required for moving freight and for other freight handling and related services, for groupage
transport, when required due to implementing customs formalities and in all other cases when
storage is required or sensible in order to implement the freight forwarding service.

Article 92
(Details Regarding Storage)


The Freight Forwarder shall be entitled to choose the type and location of the warehouse, the
warehouse keeper and all other details relating to storage, provided that it does not receive
different instructions from the Customer in writing. This entitlement shall also relate to moving
freight during storage from the original warehouse to another warehouse, whereby the Customer
shall reimburse the Freight Forwarder for any expenses related to such moves if the move was
made at the Customer's request, with the intent of protecting the Customer's interest, for reasons


beyond the Freight Forwarder's responsibility or on the basis of valid rules and regulations or
regulatory measures.

Considering its characteristics, the freight may be stored outdoors unless this is explicitly
forbidden in writing by the Customer or if such storage is not standard for the freight in question.

Article 93
(Duration of Storage)


If the Freight Forwarder and the Customer do not arrange the duration of storage, it shall be
deemed that the storage shall last 3 months. If neither contracting party notifies the other party in
writing at least 14 days prior to the expiry of this 3-month period that it no longer wishes to store
the freight, this period shall be tacitly prolonged for another 3 months.

Article 94
(The Freight Forwarder’s Liability for Storage in Special Cases)


If the Freight Forwarder organises the storage of freight or implements it itself for the reasons
determined under Articles 26, 29, 42, 76 and 95 hereof or for other reasons under the
responsibility of the Customer or another party operating under the Customer’s orders, such
storage shall be implemented exclusively at the Customer’s risk and cost.

Article 95
(Freight that Poses a Threat or Perishable Freight)


If the Freight Forwarder notices signs of perishing or other changes or characteristics of the
freight that may reduce its value or cause damages to other goods, warehouse facilities, the
environment or other property, or that may endanger human life or health or cause any other
damages, the provisions of Article 29 hereof shall apply mutatis mutandis.

Article 96
(Maintaining the Freight in its Original Condition)


The Freight Forwarder shall be obliged to maintain the stored freight in the same condition as at
the moment of storing it but only to an extent that is proportional to the payment pertaining to the
Freight Forwarder for storage.

If at the time of release from storage the freight is not in such a condition and the changes are
such that usually occur during takeover for storage, duration of storage, release from storage or
during other types of handling (e.g. ullage, spilling, natural perishing, breaking and other
changes), it shall be deemed that the Freight Forwarder’s obligation under paragraph one of this
Article has been met.

The Freight Forwarder shall not be obliged to notify the Customer about the occurrence of
changes to the freight under paragraph two of this Article.

Article 97
(The Customer’s Right to Inspect the Manner of Storage and Sampling)


The Customer shall be entitled to inspect the manner of storage during the regular working hours
of the warehouse and to submit any objections unless the terms and conditions under which the
warehouse keeper operates determine otherwise. If it enforces this right and does not submit its
objections to the manner of storage as soon as this is possible even if it has the opportunity to do
so, it shall not have the right to complain about the manner of storage upon takeover.


The Customer shall not have the right to handle the stored freight in the warehouse unless
allowed to do so by the warehouse keeper. This provision shall not apply to the Customer’s right
to sample stored freight.

The Freight Forwarder shall have the right to be present at inspections and handling under
paragraphs one and two of this Article and the right to demand that minutes are drawn up on any
activity regarding the stored freight implemented by the Customer. The Customer shall be
responsible for any damages arising due to such activities and for all damages caused by the
Customer and the parties operating under its orders in the warehouse, goods and to the persons
in the warehouse.

Article 98
(Report on the Condition and Quantity of Freight in the Warehouse)


The Freight Forwarder shall be obliged to submit a report on the condition and quantity of the
Customer’s freight in storage upon the latter’s written request and at its cost. If the Customer
requests that samples are taken, it shall provide the Freight Forwarder with detailed instructions
on the sampling procedure and the sampling points, otherwise the Freight Forwarder shall be
entitled to sample the freight at its own discretion and without any responsibility for its suitability.

Article 99
(Balance of Inventory Differences)


The Freight Forwarder shall be entitled to balance inventory differences (surplus and deficit) of
the same type of goods from the same Customer.

Article 100
(Request for Early Release from Storage)


If the Customer requests the freight to be released from storage prior to the arranged date, the
Freight Forwarder shall have the right to receive payment for storage as though the early release
from storage did not take place, taking into account the Freight Forwarder’s saved costs due to
such a release and the income generated by storing other eventual freight that the Freight
Forwarder stores instead of the freight released early.

Article 101
(The Extent of the Freight Forwarder’s Liability in the Event of Destruction, Loss or Damages to
the Freight during Storage)


If the Freight Forwarder’s liability for destruction, loss or damages to the freight during storage is
determined in accordance with the provisions of the valid rules and regulations and hereof, such
a liability shall be limited to the amount determined by an individual convention, national
legislation or other rule or regulation governing storage.

If the provisions of any convention, national legislation or other rule or regulation as determined
under paragraph one of this Article cannot be applied, if such provisions do not exist or if they do
exist but do not include provisions on limitation of liability, the Freight Forwarder's liability for
damages, destruction or loss of freight shall be limited to SDR 5 per kilo of gross weight of freight,
whereby this liability cannot exceed SDR 5,000 per individual incident or several incidents with
the same reason for the damage or the actual value of the freight if the value is less than SDR
5,000.

The Freight Forwarder’s liability shall apply from the moment the freight is stored and the
Customer or a party authorised by the Customer receives a receipt for the goods or a warehouse
receipt until the moment that the freight is handed over to the entitled consignee.


Article 102
(The Extent of the Freight Forwarder’s Liability in Other Cases)


If the Freight Forwarder is responsible for storage-related damages that are not classified as
damages, destruction or loss of freight under the valid rules and regulations and these Terms and
Conditions, its liability shall be limited to SDR 5,000 per individual incident or several incidents
with the same reason for the damage.

Article 103
(The Use of Provisions of Other Chapters Hereof)


Unless explicitly stated otherwise, the provisions of other chapters hereof may apply to this
Chapter regardless of whether the Freight Forwarder organises or implements storage and
regardless of whether it acts so within the framework of the freight forwarding contract that is the
basis not only for storage but also for other services or within the framework of another contract
that is the basis for implementing operations relating to storage.

XVI. TRANSITIONAL AND FINAL PROVISIONS
Article 104
(Application of the Law)


Unless agreed otherwise in writing, Slovenian law shall apply to all disputes arising from the
freight forwarding contract or in relation thereto.

Article 105
(Jurisdiction of Courts)

Unless agreed otherwise in writing, any disputes arising from the freight forwarding contract shall
be settled by the local competent court of the Republic of Slovenia with subject matter jurisdiction
in the area where the Freight Forwarder is domiciled.

Article 106
(Original Text)

If these Terms and Conditions are translated into a foreign language, the text in Slovenian shall
be regarded as the original text.

Article 107
(Effective Date)

These Terms and Conditions shall become effective the day after they are published in the
Official Gazette of the Republic of Slovenia. Unless agreed otherwise in writing, these Terms and
Conditions shall be deemed an integral part of the freight forwarding contract concluded on that
day or at any later date and not the General Terms and Conditions of International Freight
Forwarders of Slovenia published in the Gospodarski Vestnik magazine of the Chamber of
Commerce and Industry of Slovenia, Issue 48 as of 3 December 1992.

Chairman
of the Freight Forwarders Section
Janko Pirkovic