Court: Guangzhou Maritime Court (2024)
Facts: A Zhaoqing chemical enterprise (plaintiff) engaged a Hong Kong forwarder (defendant) for imported chemical raw materials, with no written contract beyond WeChat communications. Upon arrival at Huangpu Port, some raw materials were moisture-damaged, causing 600,000 RMB in losses. The plaintiff sued for compensation; the defendant argued Hong Kong law applied.
Holding:
(1) Choice-of-law rules: Hong Kong-related contracts are tried with reference to foreign-related procedure; absent a choice-of-law clause, the most significant relationship governs;
(2) Most significant relationship: shipment began in Hong Kong and ended at Huangpu, with principal obligations performed in mainland China, so mainland law applied;
(3) Liability: the forwarder failed its duty of care for the goods and must compensate 600,000 RMB.
Significance:
· Clarifies choice-of-law rules for Hong Kong-related forwarding contracts, ensuring legal certainty in the Greater Bay Area;
· Reminds companies to stipulate governing law in writing to avoid later disputes;
· Strengthens the forwarder's duty of care, providing legal protection for Guangdong manufacturers importing raw materials.