Don't accept another's risk: take care when subcontracting loads to other carriers.(law)

Q As a carrier, we subcontracted another carrier to handle a load that was tendered to us. A cargo claim arose, and we submitted it to the subcontracting carrier's insurer. That insurer has now denied the claim because the subcontractor was not named in the bill of lading contract as the carrier of record. What should we do?

A Your problem is not unusual. Quite often, cargo insurers attempt to escape paying claims when their insured is not named on the bill of lading contract. And it doesn't help that a recent case held that a carrier is not liable for a cargo claim merely because of so-called "logo liability." In other words, just because the carrier's name is on the…