Opinion ID: 767431
Heading Depth: 2
Heading Rank: 4

Heading: STATUTORY RESTRICTIONS A. California Commercial Code S 7204(1)

Text: 23 California Commercial Code S 7204(1) stipulates that a warehouseman is liable for damages to goods caused by the failure to exercise reasonable care. See Cal. Com. Code S 7204(1) (1990). A warehouseman is a person engaged in the business of storing goods for hire. See U.C.C. S 7102(1)(h) (West 1999). 24 INA argues that NNR is subject to the purview of S 7204(1) as it is a warehouseman. INA supports this claim by offering as evidence a memo from T. Hayashi of Sumitomo Rubber Industries to Jean Ashworth which contains a cryptic note: Noted the notify party on B/L should be NNR and NNR is not only forwarder but also broker & warehouse. We have no way of telling, however, who T. Hayashi is, how Sumitomo is involved with the transaction, and who identified NNR as a warehouse. The depositions of NNR staff and memos from NNR to Dunlop indicate only that Dunlop was paying for the forwarding of cargo from Japan to Long Beach, customs clearing, drayaging, and palletizing. Other than pointing out that NNR was holding the container of golf balls while preparing it to be picked up for delivery to South Carolina, INA fails to raise any facts of material relevance that NNR was storing the goods for profit. B. Carmack Amendment 25 The Carmack Amendment subjects common carriers and freight forwarders transporting cargo in interstate commerce to absolute liability for actual loss or injury to property. See 49 U.S.C.A. S 14706(a) (West Supp. 1999). We have no basis for applying the Carmack Amendment here, however, as Dunlop did not hire NNR to transport the golf balls in interstate commerce. NNR was responsible only for importing the golf balls by ocean carriage, transporting the cargo from the Port of Long Beach to NNR's warehouse, palletizing, and loading the golf balls onto a truck chosen by Dunlop. There is no evidence to indicate that NNR was to have any role in transporting the cargo from California to its intended final destination, South Carolina.