Opinion ID: 3039259
Heading Depth: 2
Heading Rank: 1

Heading: Classification of LEP Profit and LEP Japan

Text: The characterization of LEP Profit and LEP Japan as either “indirect carriers” or “freight forwarders” turns on the specific involvement of each in the arrangement and oversight of the troglitazone shipment at issue. It presents a close question in the instant factual setting. There is no dispute as to 6 the parties’ respective roles in the shipment and the terms of the documents that they drafted, filled in, or were governed by. The challenge lies in fitting what they did neatly within the category of “indirect carrier” or “freight forwarder” under the four-factor analysis that is customarily used. See Zima Corp. v. M.V. Roman Pazinski, 493 F. Supp. 268, 273 (S.D.N.Y. 1980). Both LEP Profit and LEP Japan urged that they were freight forwarders in connection with this shipment.1 The District Court examined the functions performed by each and, after a thorough and well-reasoned analysis, concluded that they had instead acted as indirect carriers. We have reviewed the relevant case law distinguishing between freight forwarders and indirect carriers, and agree with this conclusion. Accordingly we will affirm this aspect of the District Court’s order.