IATA Cargo © International Air Transport Association 2010

6th Claims & Cargo Loss Prevention Conference

Claims involving e-AWB & e-freight shipments

Panel discussionFrederic LEGER

Head Process & Standards, IATA

Geneva, 12 November 2010

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THE PANEL >>Mrs. Sue BARHAMPartner, Barlow Lyde & Gilbert LLP

Mr. Aaron CHANManager Cargo Projects, Cathay Pacific Cargo

Mr. Jos MEIJERDirector Legislation, KLM Cargo

Mr. Carlos TORNEROSenior Legal Counsel, IATA

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Legal concerns and claims on…

e-AWB

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WHAT IS IT >>The Air Waybill (AWB) is the contract of carriage between the ‘shipper’ (forwarder) and the ‘carrier’ (airline).

The Electronic Air Waybill removes the requirement for a paper Air Waybill, simplifying the airfreight process for the supply chain.

With the e-AWB, there is no longer a need to print, handle or archive the paper AWB

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STATUS >>Developed in 2009 collaboratively with the industry, in particular with FIATA

Adopted by IATA Cargo Services Conference as the IATA Recommended Practice 1670

Governments adopted and filed (including US DoT) the Recommended Practice 1670

e-AWB have been implemented successfully on many trade lanes

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HOW DOES IT WORK? >>

Two options for the process flow:

1. ‘Immediate Cargo Receipt Delivery’

2. ‘Deferred Cargo Receipt Delivery’

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HOW DOES IT WORK? >>‘Immediate Cargo Receipt Delivery’1. Parties sign an e-AWB agreement (once for all

subsequent shipments)

2. Shipper sends FWB electronic message to airline prior to tendering the shipment

3. Shipper tenders the shipment to airline

4. Airline immediately accepts shipment as “Ready for Carriage”

5. Airline immediately sends FSU/RCS electronic message to shipper, concluding the Cargo Contract

6. Airline provides shipper with Cargo Receipt (paper document) as proof of contract

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HOW DOES IT WORK? >>‘Differed Cargo Receipt Delivery’1. Parties sign an e-AWB agreement (once for all

subsequent shipments)2. Shipper sends FWB electronic message to airline prior

to tendering the shipment3. Shipper tenders the shipment to airline4. Airline receives the shipment as “Freight On Hand”5. Airline immediately provides shipper with a Warehouse

Receipt or, alternatively signs Shipper’s Delivery Note6. Airline accepts the shipment as “Ready for Carriage”7. Airline then sends FSU/RCS electronic message to

shipper, concluding the carriage contract8. Airline makes the Cargo Receipt (paper evidence of

contract) available to the shipper upon request

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CARGO RECEIPT LAYOUT >>

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IATA ADOPTION TARGETS >>

IATA Cargo Committee endorsed the target of 100% e-AWB adoption by 2014

IATA Cargo Committee set some interim targets:

End of 2010: e-AWB live in 8 countries

End of 2011: 6% e-AWB penetration

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The PanelistsMrs. Sue BARHAMPartner, Barlow Lyde & Gilbert LLP

Mr. Aaron CHANManager Cargo Projects, Cathay Pacific Cargo

Mr. Jos MEIJERDirector Legislation, KLM Cargo

Mr. Carlos TORNEROSenior Legal Counsel, IATA

IATA Cargo © International Air Transport Association 201012

CX/KA & AF/KL E-AWB STATUS >>

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Legal concerns and claims on…

e-freight

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BACKGROUND >>IATA e-freight is an initiative for the air cargo supply chain, by the air cargo supply chain

It involves all parties, shippers, freight forwarders, ground handlers, carriers, customs brokers and customs authorities

It replaces 20 paper documents with electronic messages

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SCOPE OF DOCUMENTS >>

In green the 12 core e-freight documents* Message to be developed in XML in 2010

Shippers

Export Customs

Import Customs

OriginFreight Forwarders

Carrier

Consignees

1. Invoice2. Packing List3. Certificate of Origin4. Letter of Instruction5. Dangerous Goods Dec.6. CITES Certificate*

7. Air Waybill*8. House Waybill9. House Manifest10. Security Declaration*11. Export Goods Declaration12. Customs Release Export

13. Flight Manifest*14. Freight Booked List*15. Export Cargo Declaration16. Import Cargo Declaration17. Transfer Manifest18. Transit Declaration*

19.Import Goods Declaration20.Customs Release Import

Ground Handlers

DestinationFreight Forwarders

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STATUS & VISION >>

IATA vision for end 2015 is 100% e-freight !

IATA Cargo © International Air Transport Association 201017

The PanelistsMrs. Sue BARHAMPartner, Barlow Lyde & Gilbert LLP

Mr. Aaron CHANManager Cargo Projects, Cathay Pacific Cargo

Mr. Jos MEIJERDirector Legislation, KLM Cargo

Mr. Carlos TORNEROSenior Legal Counsel, IATA

IATA Cargo © International Air Transport Association 201018

Questions & Answers:

www.iata.org/economics

www.iata.org/e-AWB

www.iata.org/e-freight