Meaning of dangerous goods

The parties to a contract for the carriage of goods by sea, whether this is embodied in a bill of lading or one of the standard charterparty forms, customarily negotiate its terms against a background of both commercial and legal considerations. The parties’ respective liability for risks to which the vessel and its cargo might be exposed during the course of the contracted voyage will be of paramount importance. Should they arise, the potential risks might expose the parties, through their insurance, to expensive damage claims. Therefore, the description of the cargo for shipment is one of the crucially important components of the negotiations between the parties to any shipping contract.(1) This requirement becomes especially relevant when it has been estimated that more than 50% of the cargoes transported by sea today may be regarded as dangerous, hazardous, and/or harmful and need to be handled with special care. As a result, a shipper does not have unlimited freedom as to what he may transport by sea. Restrictions on goods which a charterer or shipper may ship are imposed by law, the terms of the contract and statutes. These restrictions are commonly elided into a general proposition that a person sending goods by sea must not ship dangerous goods. Yet it is the case that dangerous goods are often shipped and legitimately so; and the carrier should discharge his normal duties in respect of whatever cargo he has agreed to carry. The real issues, therefore, are to identify what risks are involved in the carriage of the cargo in question, how these risks are allocated between the parties and what the consequences of shipping dangerous goods are.(2)