A heat exchanger to be carried from Genoa, Italy, to Aqaba, Jordan, was delivered to a terminal managed by Ignazio Messina SpA (IM), waiting to be loaded onto a ship owned by the same company and carried by sea to Jordan. During the handling of the heat exchanger within the terminal by IM's employees, the flat rack container on which the heat exchanger was placed fell from a forklift, resulting in its damage. Suisse National Insurance Co (SNI), subrogated into the owner's rights, sued IM in the Tribunal of Genoa. IM argued that SNI's claim was time-barred.

In April 2002, the Tribunal of Genoa found that IM had to pay ITL 258,000,000 to SNI. IM appealed to the Court of Appeal of Genoa, invoking limitation of carrier liability under the Italian Code of Navigation and art 4.5 of the Hague-Visby Rules.

In IM's view, the contract of carriage included the phase of maritime transport as well as all preparatory operations aimed at the carriage itself. The carrier liability regime, including the limitation provisions, also regulated those operations.

Held: The appeal is dismissed.

The Court agreed with the decision of the Tribunal of Genoa. In this case, IM acted as both the terminal manager and the carrier. The Court emphasised the autonomy of these dual roles of IM, as the duties of custody of the goods in the terminal and the functions of the carrier cannot be mixed. It also noted that the cargo handling causing the damage was unrelated to carriage of the goods.

The Court excluded the application of the carrier liability regime to the case. The Court did not recognise the conclusion of a contract of carriage on the sole basis of the entrance of the machinery into the terminal.

The issues regarding the time bar and limitation of liability under the Italian Code of Navigation and the Hague-Visby Rules therefore fell away.

[For the unsuccessful appeal to the Supreme Court of Cassation, see Ignazio Messina & C SpA v Suisse National Insurance Co, Cass 08.08.2007 n 17384 (CMI2047).]