Sri Lanka Consolidated Acts

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Central Freight Bureau of Sri Lanka Act (No. 26 of 1973) - Sect 20

Indemnity

20.
(1) Where by reason of the neglect or default on the part of a shipper to utilize by the shipment of any goods, from any port in Sri Lanka to any destination, the whole or any part of the freight or cargo space booked, reserved or allocated by the Bureau, for such shipper, on any ocean going vessel, the Bureau is called upon to pay any sum as damages or otherwise to the owner of such vessel, the Bureau shall be entitled to be indemnified to the full extent of such sum, by such shipper, on the production by the Bureau of a duly authenticated acknowledgment by or on behalf of the owner of such vessel, of the payment by the Bureau of such sum.
(2) A shipper who within a period of thirty days after being requested by the Bureau, to make payment, fails or neglects to pay to the Bureau any sum which he is liable to pay, by way of indemnity under subsection (1), shall be guilty of an offence under this Law.


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