Air Cargo Claims Under the Montreal Convention: How Carrier Liability Differs From Trucking

By Luis Lopez, AI transportation consultant, CEO of Go Hub.io Holdings Corp and subsidiaries, and host of the Freight Guru Podcast

Most shippers who have filed a trucking claim assume an air cargo claim works the same way. It does not. Once freight moves internationally by air, a different legal regime usually takes over, with different deadlines, a different way of limiting liability, and different defenses. If you miss those differences, you can lose a claim that would have been easy to win on the road.

This article walks through how air cargo claims work under the Montreal Convention, how that compares with motor carrier liability under the Carmack Amendment, and what that means for the trucking legs on either side of a flight.

When the Montreal Convention Applies

The Montreal Convention of 1999 governs international carriage by air between countries that are party to it. If your shipment flies from one participating country to another, the Convention generally sets the rules for the air carrier’s liability for that carriage.

It does not cover everything that flies. Purely domestic U.S. air cargo is generally governed by the carrier’s contract terms rather than the Convention. That means a shipment flown from one U.S. city to another is usually controlled by the air carrier’s tariff or conditions of carriage, which you should read before you tender anything valuable.

The transport document for air cargo is the air waybill. It identifies the shipper, consignee, pieces, weight and any declared value, and it is the starting point for any claim.

How Air Carrier Liability Works

Under the Convention, the carrier is liable for destruction, loss of or damage to cargo if the event that caused it happened during the carriage by air. The carrier is also liable for damage caused by delay. That is a fairly strong rule for the cargo owner, but it comes with two big qualifiers: a liability limit and a set of defenses.

The liability limit

Liability is limited to an amount per kilogram, expressed in Special Drawing Rights (SDRs). The limit is revised from time to time, so check the current figure with your forwarder or insurer rather than relying on an old number. The practical point is that the limit is based on weight, not value. Light, high-value freight such as electronics, medical devices or spare parts can be worth far more than the per-kilogram limit would ever pay.

Declared value

The way around the limit is a special declaration of interest in delivery. The shipper makes that declaration when the cargo is handed to the carrier and pays any supplementary sum the carrier requires. If you skip it, you are generally stuck with the weight-based limit, no matter what the goods were worth.

Carrier defenses

The carrier can avoid liability, to the extent it proves the damage resulted from one of these causes:

  • Inherent defect, quality or vice of the cargo
  • Defective packing performed by someone other than the carrier or its agents
  • An act of war or an armed conflict
  • An act of public authority carried out in connection with the entry, exit or transit of the cargo

Packing is where most shippers are exposed. If your own packaging was inadequate for air handling, expect that defense to come up.

Deadlines That Can End a Claim Early

The Convention’s notice deadlines are short, and they are an easy way for an otherwise valid air claim to fall apart. Written complaints must be made:

  • Damage: within 14 days from the date of receipt of the cargo
  • Delay: within 21 days from the date the cargo was placed at the disposal of the person entitled to delivery

Separately, the right to damages is extinguished if an action is not brought within 2 years. That is not a deadline you can negotiate around later.

Compare that with trucking. Under the Carmack Amendment, carriers may not set a claim-filing period shorter than 9 months. For a deeper comparison of time limits across modes, see our guide to freight claims deadlines and time limits.

How This Differs From Trucking Under Carmack

For interstate motor carriage, 49 U.S.C. 14706, known as the Carmack Amendment, makes the motor carrier liable for the actual loss or injury to the property. The claims process is set out in federal regulations:

  • A claim must be in writing, identify the shipment, assert liability and demand a specified or determinable amount (49 CFR 370.3).
  • The carrier must acknowledge the claim within 30 days (49 CFR 370.5).
  • The carrier must pay, decline or make a firm settlement offer within 120 days (49 CFR 370.9).

Trucking carriers often limit liability through released rates rather than a per-kilogram rule. Our articles on the Carmack Amendment and on released value limitations explain how that works.

In short: actual loss under Carmack, subject to any valid limitation, versus a weight-based SDR limit under Montreal unless value is declared; and notice measured in months for trucking versus days for air.

The Trucking Legs Before and After the Flight

Very few air shipments go airport to airport with nothing else. There is usually a truck pickup to the origin airport and a truck delivery from the destination airport. Which regime applies to damage on those legs is a real question, and the answer depends on where the damage happened, how the shipment was booked, and what the contracts say.

As an AI transportation consultant, the first thing I look at in a mixed air and truck move is whether there is any record showing where the cargo was when it was last confirmed in good condition. Without that, every party can point at another leg, and you end up arguing about which rules apply instead of about what was lost.

A few practical steps help:

  • Ask your forwarder how the move is booked and whose terms apply to the pickup and delivery legs.
  • Get piece counts and condition notes at each handoff, not only at final delivery.
  • Photograph packaging at tender and on arrival at the airport warehouse if you can.
  • Keep the air waybill and any truck bills of lading together in one claim file.

Documenting at Delivery

Because the damage notice window is so short, the delivery receipt matters a great deal. When the cargo arrives:

  • Count pieces against the air waybill before signing.
  • Note visible damage, crushed corners, torn wrap or missing pieces on the delivery receipt.
  • Take dated photos of the packaging and contents before anything is discarded.
  • Open cartons promptly so concealed damage is found well inside the 14-day window.
  • Send the written complaint quickly, even if the full amount is not yet known.

Where Cargo Insurance Fits

Carrier liability is not insurance. It is a legal obligation with limits and defenses. For valuable air freight, the weight-based limit can leave a large gap between what the goods are worth and what the carrier owes. Many shippers close that gap with cargo insurance, either an annual policy or per-shipment coverage arranged through a forwarder. Our article on cargo insurance vs carrier liability covers the trade-offs.

The decision usually comes down to three options: accept the limit, declare a higher value with the carrier and pay the supplementary charge, or insure the cargo separately. Make that decision before tender, not after something goes wrong.

For more conversations on freight and AI, subscribe to the Freight Guru Podcast.


About the author: Luis Lopez is a Miami-based AI transportation consultant and logistics entrepreneur, the CEO of Go Hub.io Holdings Corp and subsidiaries, and host of the Freight Guru Podcast.

This article is general information for the freight community, not legal advice. Talk to a transportation attorney about your specific situation.

Facebook
Twitter
LinkedIn
Email
More Episodes
Follow me on Social Media

Meet Luis Lopez

Luis Lopez is the chairman of Go Hub Holding Group, a logistics holding corporation and the active CEO of Freight Hub Group.