Freight Charges Up to $19,000! Overseas Freight Forwarder "Goes Silent," Maliciously Defaults on Payments to a Domestic Freight Forwarder
——From JCtrans Risk Control Case Library
Important Notice: A freight forwarder in Beijing, China encountered a situation where a Brazilian freight forwarder disappeared with a single transaction amounting to USD 19,000.
【Case Summary】
During a cooperation between a Beijing-based freight forwarder and a Brazilian freight forwarder, a single transaction amounting to USD 19,000 was left unpaid. Since the business involved air freight, the bill of lading could not serve as a "document of title" to control the cargo, making it crucial for the Beijing freight forwarder to recover the payment as soon as the plane took off.
However, during the collection process, the Brazilian freight forwarder did not make a one-time payment but instead opted for "delayed and phased" payments. After a lengthy collection period, USD 6,000 remained unpaid, and the Brazilian company exhibited signs of "non-response and non-payment."
【Email Evidence】
【JCtrans Risk Control Team's Handling Process】?
Upon receiving the claim from the Beijing freight forwarder, the JCtrans platform immediately contacted the Brazilian freight forwarder via email and other offline communication methods to assist in the collection process, but to no avail.
To minimize the potential losses for the Beijing freight forwarder, the platform advised timely submission of a "complaint" to maximize protection under the membership contract rules.
In the following 30 days, the platform repeatedly coordinated and urged the Brazilian freight forwarder to fulfill its payment obligations, but to no avail. Subsequently, the platform applied continued pressure by taking the measure of "Suspension of Membership."
?The Brazilian freight forwarder proposed a six-month installment repayment plan, but this was not accepted by the Beijing freight forwarder, who then requested "advance compensation" from JCtrans. After tripartite negotiations, the Brazilian freight forwarder agreed to a four-month repayment plan and began execution.
Ultimately, after making three payments, the Brazilian freight forwarder completely disappeared, leaving nearly USD 3,000 unpaid, which turned into "bad debt."
【Result】?
JCtrans reviewed the claim and supporting documents from the Beijing freight forwarder and fulfilled its platform responsibility of "advance compensation," thus recovering the entire economic loss for the Beijing freight forwarder. Additionally, the Brazilian freight forwarder's membership was terminated, and they were listed in the "blacklist" section. This concluded the claim and compensation case.
(You can also check more blacklist information on JCtrans Risk Control Website)
【Analysis & Guidance】
When domestic freight forwarders collaborate with overseas companies, the biggest concern is payment risk. Due to various reasons, delayed payments are a common occurrence in cross-border transportation. Based on this case, JCtrans offers the following reminders:
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The JCtrans WeChat account will continue to expose and warn about various risks in the industry, helping freight forwarder companies establish risk control awareness and effective contingency plans.
JCtrans reiterates to all platform members and freight forwarder friends that risk awareness must accompany business operations. At every stage of international cargo transportation, every node requires close attention to enhance enterprise risk management awareness, strengthen overseas risk assessment, and ensure stable business development.
Connecting Global Opportunities
Empowering Freight Forwarders