B-187627: Jan 14, 1977

OF CARGO - EVIDENCE PRIMA FACIE CASE OF LIABILITY OF COMMON CARRIER BY WATER FOR GOODS SHIPPED THROUGH PANAMA CANAL IS ESTABLISHED WHEN SHIPPER SHOWS THAT CARGO WAS RECEIVED IN GOOD ORDER AND CONDITION AT ORIGIN AND ARRIVED IN DAMAGED CONDITION AT DESTINATION. CARRIER MUST SHOW THAT LOSS OR DAMAGE WAS CAUSED BY AN ACT OF GOD. THAT IT WAS FREE OF NEGLIGENCE. ETC. - SET-OFF COMMON LAW RIGHT GOVERNME...

B-187627: Jan 14, 1977

Company protested the government withholding the sum equal to its cargo damage claim, and argued that the government has no right of common law settoff. A government agency may exercise its common law right of setoff if a prima facie case of carrier liability is established, as it was in this case, and the right is not limited to overcharges...