Recoveries and Subrogation

Claims recovery involves pursuing compensation from a party responsible for damage or loss of goods (cargo).

Recovery or Subrogation claims have been at the core of our business since 1960.

Aggressive and Tenacious Pursuit

Carriers often resist acknowledging responsibility for cargo loss and damage. To counter this demands legal and technical knowledge, persistence and, at times, assertiveness. Dolphin has the experience, expertise and tenacity to effectively negotiate recoveries against anyone, anywhere around the world, consistently delivering results and maximising returns for our clients.

No-cure, No-pay

Claims recoveries are usually undertaken on a no-cure-no-pay (contingency) basis. This means we only charge a fee if we obtain a recovery. Most claims are successfully handled in-house and settled amicably, avoiding the need to employ an expensive law firm. However, where the opposing party is not willing to negotiate, we have a network of specialist lawyers ready to assist.

Litigation/Third-party Funding

In many instances, even claims with strong merits are abandoned because cargo owners or insurers are reluctant to engage in costly litigation, fearing the potential for significant legal fees and counter-party cost claims.  See our section on Litigation funding which provides a viable solution for claimants dealing with carriers that refuse to settle.

Documents required for claim recovery

A successful recovery starts with diligent Claims Settling, thereby ensuring that the necessary
documents and evidence are gathered from the start.

To recover a claim successfully, we must prove, among other things:

  • when, where and how the damage or loss occurred
  • who was responsible at the time
  • the extent of that loss
  • that all reasonable mitigation efforts were made
  • that claimants have title to claim
  • that the claim is not time barred

We therefore need a range of documents which may vary depending on the case, but typically include the following:

General claims

  • Letter of Instruction (from insurers or from the party with title to sue)
  • Subrogation Receipt (if the cargo is insured)
  • Detailed breakdown of the claimed sum
  • Commercial Invoice
  • Packing List
  • Bill of Lading (front and back)
  • Charter party (if applicable)
  • Survey Report (with colour photographs)
  • Delivery Receipts/Tallies
  • Outturn Reports at each stage of delivery
  • Any additional documents proving the loss e.g. chemical analysis for contamination by seawater
  • Claim notice sent to the carrier
  • Invitation to the carrier to attend a survey
  • Evidence of mitigation (such as salvage sale) or proof of disposal
  • Insurance Policy

Bulk and liquid cargoes claims:

  • Draft survey or ullage report at load port
  • Draft survey or ullage report at port of discharge
  • Cargo specifications

Containerised cargoes:

  • Equipment Interchange Receipt (EIR) or equivalent
  • Evidence of security seal number at various stages of transit

While not all the above may be available, the more complete the documentation, the better the
prospects for success.

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