10. Liability of common carrier.—
(1) The liability of the common carrier for loss of, or damage to
any consignment, shall be limited to such amount as may be prescribed having regard to the value, freight
and nature of goods, documents or articles of the consignment, unless the consignor or any person duly
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authorised in that behalf have expressly undertaken to pay higher risk rate fixed by the common carrier
under section 11.
(2) The liability of the common carrier in case of any delay up to such period as may be mutually
agreed upon by and between the consignor and the common carrier and specifically provided in the goods
forwarding note including the consequential loss or damage to such consignment shall be limited to the
amount of freight charges where such loss, damage or delay took place while the consignment was under
the charge of such carrier:
Provided that beyond the period so agreed upon in the goods forwarding note, compensation shall be
payable in accordance with sub-section
(1) or section 11:
Provided further that the common carrier shall not be liable if such carrier proves that such loss of, or
damage to, the consignment or delay in delivery thereof, had not taken place due to his fault or neglect or
that of his servants or agents thereof.
11. Rates of charge to be fixed by common carrier for carriage of consignment at a higher risk
rate.—Every common carrier may require payment for the higher risk undertaken by him in carrying a
particular consignment at such rate of charge as he may fix and correspondingly, his liability would be in
accordance with the terms as may be agreed upon with the consignor:
Provided that to entitle such carrier to claim payment at a rate higher than his ordinary rate of charge,
he should have exhibited a printed or written notice, in English and the vernacular language of the State,
of the higher rate of charge in the place or premises where he carries on the business of common carrier.
12. Conditions limiting exonerating the liability of the common carrier.—
(1) Every common
carrier shall be liable to the consignor for the loss or damage to any consignment in accordance with the
goods forwarding note, where such loss or damage has arisen on account of any criminal act of the
common carrier, or any of his servants or agents.
(2) In any suit brought against the common carrier for the loss, damage or non-delivery of
consignment, it shall not be necessary for the plaintiff to prove that such loss, damage or non-delivery
was owing to the negligence or criminal act of the common carrier, or any of his servants or agents.
(3) Where any consignment has been detained for examination or scrutiny by a competent authority
and upon such examination or scrutiny it is found that certain prohibited goods or goods on which due tax
was not paid or insufficiently paid have been entrusted to the common carrier by the consignor which
have not been described in the goods forwarding note, the cost of such examination or scrutiny shall be
borne by the consignor and the common carrier shall not be liable for any loss, damage or deterioration
caused by such detention of the consignment for examination or scrutiny:
Provided that the onus of proving that such incorrect description of goods in the goods forwarding
note was received from the consignor shall be on the common carrier.
Explanation.—For the purposes of this section, “competent authority” means any person or authority
who is empowered to examine or scrutinise goods by or under any law for the time being in force to
secure compliance of provisions of that law.
13. Provision for carriage of goods of dangerous or hazardous nature to human life.—
(1) No
goods of dangerous or hazardous nature to human life shall be carried by a common carrier except in
accordance with such procedure and after complying with such safeguards as may be prescribed.
(2) The Central Government may, by rules made in this behalf, specify the goods of dangerous or
hazardous nature to human life and the label or class of labels to be carried in, or displayed on, the motor
vehicle or such goods in the course of transportation.
(3) Notwithstanding anything contained in any other law for the time being in force, every common
carrier shall scrutinise and ensure before starting transportation of any consignment containing goods of
dangerous or hazardous nature to human life that the consignment is covered by, one or more insurance
policies under a contract of insurance in respect of such goods providing relief in case of death or injury
to a person or damage to any property or the consignment, if an accident takes place.
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14. Power of Central Government to prohibit carriage of certain class of goods.—The Central
Government may, by notification in the Official Gazette, specify, in public interest, the goods or class or
classes of goods which shall not be carried by a common carrier.
15. Right of common carrier in case of consignee’s default.—
(1) If the consignee fails to take
delivery of any consignment of goods within a period of thirty days from the date of notice given by the
common carrier, such consignment may be deemed as unclaimed:
Provided that in case of perishable consignment, the period of thirty days shall not apply and the
consignment shall be deemed unclaimed after a period of twenty-four hours of service of notice or any
lesser period as may be mutually agreed to by and between the common carrier and the consignor.
(2) In the case of an unclaimed consignment under sub-section
(1), the common carrier may,—
(a) if such consignment is perishable in nature, have the right to sell the consignment; or
(b) if such consignment is not perishable in nature, cause a notice to be served upon the consignee
or upon the consignor if the consignee is not available, requiring him to remove the goods within a
period of fifteen days from the date of receipt of the notice and in case of failure to comply with the
notice, the common carrier shall have the right to sell such consignment without any further notice to
the consignee or the consignor, as the case may be.
(3) The common carrier shall, out of the sale proceeds received under sub-section
(2), retain a sum
equal to the freight, storage and other charges due including expenses incurred for the sale, and the
surplus, if any, from such sale proceeds shall be returned to the consignee or the consignor, as the case
may be.
(4) Unless otherwise agreed upon between the common carrier and consignor, the common carrier
shall be entitled to detain or dispose off the consignment in part or full to recover his dues in the event of
the consignee failing to make payment of the freight and other charges payable to the common carrier at
the time of taking delivery.
16. Notice for institution of a suit.—No suit or other legal proceeding shall be instituted against a
common carrier for any loss of, or damage to, the consignment, unless notice in writing of the loss or
damage to the consignment has been served on the common carrier before the institution of the suit or
other legal proceeding and within one hundred and eighty days from the date of booking of the
consignment by the consignor.
17. General responsibility of common carrier.—Save as otherwise provided in this Act, a common
carrier shall be responsible for the loss, destruction, damage or deterioration in transit or non-delivery of
any consignment entrusted to him for carriage, arising from any cause except the following, namely:—
(a) act of God;
(b) act of war or public enemy;
(c) riots and civil commotion;
(d) arrest, restraint or seizure under legal process;
(e) order or restriction or prohibition imposed by the Central Government or a State Government
or by an officer or authority subordinate to the Central Government or a State Government authorised
by it in this behalf:
Provided that the common carrier shall not be relieved of its responsibility for the loss, destruction,
damage, deterioration or non-delivery of the consignment if the common carrier could have avoided such
loss, destruction, damage or deterioration or non-delivery had the common carrier exercised due
deligence and care in the carriage of the consignment.
18. Punishment for contravention in relation to non-registration, carrying goods of dangerous
or hazardous nature, or prohibited goods.—
(1) Whoever contravenes the provisions of section 3,
section 13 or a notification issued under section 14 shall be punishable for the first offence with fine
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which may extend to five thousand rupees, and for the second or subsequent offence with fine which may
extend to ten thousand rupees.
(2) If the person committing an offence under this Act is a company, every person who, at the time
the offence was committed, was in charge of, and was responsible to, the company for the conduct of the
business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be
liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any
punishment, if he proves that the offence was committed without his knowledge or that he had exercised
all due diligence to prevent the commission of such offence.
(3) Notwithstanding anything contained in sub-section
(1), where any offence under this Act has been
committed by a company and it is proved that the offence has been committed with the consent or
connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other
officer of the company, such director, manager, secretary or other officer shall be proceeded against and
punished accordingly.
Explanation.—For the purpose of this section,—
(a) “company” means any body corporate and includes a firm or other association of individuals;
and
(b) “director”, in relation to a firm, means a partner in the firm.
19. Composition of offences.—
(1) Any offence committed under section 18, may either before or
after the institution of the prosecution, be compounded by such officers or authorities and for such
amount as the State Government may, by notification in the Official Gazette, specify.
(2) Where an offence has been compounded under sub-section
(1), the offender shall be discharged
and no further proceedings shall be taken against him in respect of such offence.
20. Power to make rules.—
(1) The Central Government may, by notification in the Official Gazette,
make rules for carrying out the provisions of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may
provide for all or any of the following matters, namely:—
(a) the form and manner of making an application for grant or renewal of a certificate of
registration for main office or branch office and the fee thereof under sub-sections
(2) and
(3) of
section 4;
(b) the other conditions of eligibility which are required to be fulfilled by an applicant under
clause
(d) of sub-section
(4) of section 4;
(c) the form in which and the conditions subject to which certificate of registration or renewal
may be granted under sub-section
(5) of section 4;
(d) the form and manner of maintaining a register under clause
(a) of sub-section
(7) of section 4;
(e) the information and return which may be furnished to the registering authority and the
transport research wing under clause
(c) of sub-section
(7) of section 4;
(f) fee for submitting the memorandum of appeal under sub-section
(2) of section 6;
(g) the form and manner in which a goods forwarding note shall be executed by the consignor
under sub-section
(1) of section 8;
(h) the form and manner in which a common carrier shall issue goods receipt under sub-section
(1) of section 9;
(i) liability of the common carrier for loss of, or damage to any consignment undersub-section
(1)
of section 10;
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(j) the procedure and safeguards to be complied with for carrying goods of dangerous or
hazardous nature under sub-section
(1) of section 13;
(k) the specification of the goods of dangerous or hazardous nature to human life and the label or
class of labels to be carried or displayed in or on the motor vehicle or on such goods in the course of
their transportation under sub-section
(2) of section 13; and
(l) any other matter which is required to be, or may be, prescribed.
(3) Every rule made under this section and every notification issued under section 14 shall be laid, as
soon as may be after it is made or issued, before each House of Parliament, while it is in session, for a
total period of thirty days which may be comprised in one session or in two or more successive sessions,
and if, before the expiry of the session immediately following the session or the successive sessions
aforesaid, both Houses agree in making any modification in the rule or the notification, or both Houses
agree that the rule or the notification should not be made or issued, the rule or the notification shall
thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that
any such modification or annulment shall be without prejudice to the validity of anything previously done
under that rule or notification.
21. Power to remove difficulties.—
(1) If any difficulty arises in giving effect to the provisions of
this Act, the Central Government may, by general or special order published in the Official Gazette, make
such provisions, not inconsistent with the provisions of this Act as appear to it to be necessary or
expedient for removing the difficulty:
Provided that no such order shall be made under this section after the expiry of two years from the
date of commencement of this Act.
(2) Every order made under sub-section
(1) shall be laid, as soon as may be, after it is made, before
each House of Parliament.
22. Repeal and saving.—
(1) The Carriers Act, 1865(3 of 1865) is hereby repealed.
(2) Notwithstanding the repeal of the Carriers Act, 1865 (3 of 1865) anything done or any action
taken under the said Act shall, in so far as such thing or action is not inconsistent with the provisions of
this Act, be deemed to have been done or taken under the provisions of this Act and shall continue in
force accordingly until superseded by anything done or any action taken under this Act.
(3) The mention of particular matters in this section shall not be held to prejudice or affect the general
application of section 6 of the General Clauses Act, 1897 (10 of 1897) with regard to the effect of repeals.
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