International Business Law Questions and Case Problems

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answer Questions & Case Problems, 3, 4 & 6. Answers should be prepared on a separate Word Document and uploaded in the assignment box where it says attach files.

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3. In 2004, Ellen Kruger was boarding a flight from San
Francisco to Seattle, on her way home from Australia,
when she was struck on the head with a backpack swung
by another passenger. During the flight she became ill,
vomited, and remained unconscious for much of the
flight. She sued the airline for pain and suffering,
emotional distress, and punitive damages. Her husband
also sued for loss of consortium and companionship of
his wife. United Airlines argued that these were not
compensable damages under the Montreal Convention.
Does the Montreal Convention specify what types of
damages are recoverable or whether the husband may
bring an action? How is this decided? Kruger v. United
Airlines, Inc.
481 F. Supp. 2d 1005 (N.D. Cal. 2007.)
How would this case be decided if the injuries were the
result of the aircraft plunging into the middle of the
Pacific Ocean?

4. Fishman shipped a container of boys’ pants on a ship
owned by Tropical. The container was lost at sea due to
improper storage. The pants were packed into bundles of 12 each and placed into what is known in the industry
as a “big pack.” A “big pack” is similar to a 4’ × 4’ pallet,
partially enclosed in corrugated cardboard, with a
base and cover made of plastic. The bill of lading
stated, “1 × 40 ft. [container] STC [said to contain]
39 Big Pack Containing 27,908 units boy’s pants.”
Fishman maintains that Tropical is liable for an amount
up to $500 for each of the 2,325 bundles. If the carrier is
liable for up to $500 per “package,” what is the limit of the
carrier’s liability? Fishman & Tobin, Inc. v. Tropical Shipping
& Const. Co., Ltd.,
240 F.3d 956 (11th Cir. 2001).

6. Sony Corp. packed a shipment of videocassette tapes
into a 40-foot ocean container for transport to England.
Sony put the tapes into 1,320 cardboard cartons, then
strapped the cartons onto 52 wooden pallets. The pallets
were put into one shipment container. The bill of lading
stated “1 × 40 ft. container: 1,320 ctns. magnetic tape.”
The value of the tapes shown on the export certificate
was $400,000. On loading, the ship’s deck crane dropped
the container 60 feet to a concrete deck. Sony claims it
can recover the value of the tapes. The ship maintains that under COGSA its liability is limited to 52 pallets.
How many “packages” were involved here and what do
you think should be the outcome? Sony Magnetic
Products Inc. of America v. Merivienti O/Y,
863 F.2d
1537 (11th Cir. 1989).

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