Help! Buyer refuses to sign the Letter of Assignment.

Edition no. 41

Life is too short, and your export business is too important to waste your profits on cargo damages. We give you the straight talk and confidence to recover cargo claims from liable carriers.

In this newsletter, we'll talk about the latest industry news, lessons, tactics, good practices that?our clients - exporters, traders as yourself?use to prevent and recover cargo losses, helping you achieve similar results.

Most exporters were in this nasty situation.?Buyer receives damaged cargo, sends you debit note, and withholds payment and the worst part is when buyer refuses to sign Letter of Assignment (LOA) allowing you as an exporter to pursue shipping line for the claim recovery.?

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If exporter wants to recover cargo claim from carrier,?shipping line 100% insist for LOA from the consignee to the shipper on?carrier’s BL allowing exporter to pursue claim recovery.?

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Why would buyer refuse to sign LOA?

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? Fear of the shipping line. There are still importers who believe shipping like will?blacklist them if they submit a cargo claim.?

? Laziness. They simply don't want to deal with the admin.

? Cargo is not that damaged as buyer alleges or was damaged due to buyer’s fault after discharge and they do not want you to dig further.?

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So, what can you do as exporter?

Two paths are open. Here's how to salvage your cargo claim:

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? Convince your buyer to cooperate.?

??Explain the deal: A signed Letter of Assignment lets you pursue the claim?recovering from the shipping line.

?? After damaged cargo documents are provided and Letter of Assignment is signed to exporter,?only then you can accept a debit note.?

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? Pursue your buyer for payment.

?? Balance Due: If they refuse to cooperate with the claim, you can still pursue them for the full or remaining payment for the goods, depending on the damage extent.

??Contractual Obligation: No comprehensive damage evidence - no debit note accepted. Do not rely on suspicious QC.?

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Clear communication is key. Talk openly with your buyer, explain their options, and be prepared to show your contract, invoices, and proof of damage – having all your documentation in order will strengthen your position.

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For the claims we handle for our clients, 99.9% of buyers after we explain them why Letter of Assignment is needed, they submit it immediately.?

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Are you facing a similar situation? Hit reply to this email and let us assess your claim free of charge.?

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Recoupex is one of the fastest growing cargo claims recovery hubs helping customers globally to obtain the compensation they are entitled to when cargo is lost or damaged in transit (ocean, multimodal, air shipments: dry and refrigerated cargo). If you think Maersk, Sealand, Hapag-Lloyd, Mediterranean Shipping Company – MSC, CMA CGM, and other carriers might owe you compensation because of cargo loss or damages, you’ve come to the right place.