Limitation periods are a critical issue in transport disputes. Missing the applicable deadline can prevent a claimant from effectively pursuing a claim, making it essential to establish which legal regime applies to a particular transport service and when the limitation period begins to run.

For transport claims, the applicable rules generally fall into two categories: the CMR Convention, which governs qualifying international road transport, and Poland’s Transport Law Act, which primarily applies to domestic transport. Where a contract is governed entirely by foreign law, the relevant national legislation may also determine the applicable limitation period.

CMR Convention: the general one-year limitation period

The first step in an international transport dispute is to determine whether the CMR Convention applies. Under Article 1, the Convention covers contracts for the commercial carriage of goods by road where the place of taking over the goods and the place designated for delivery are located in two different countries, provided that at least one of those countries is a contracting state.

As a result, the CMR Convention may apply, for example, where goods are collected in France and delivered to Poland, or vice versa.

The general limitation period for claims arising under the CMR Convention is one year. However, where the loss or damage results from wilful misconduct or conduct regarded as equivalent to wilful misconduct, the limitation period is extended to three years.

Determining whether conduct reaches this threshold is ultimately a matter for the court hearing the case.

In a judgment of 25 June 2019, the Court of Appeal in Białystok noted that there is no statutory definition of either “wilful misconduct” or negligence equivalent to wilful misconduct. The court referred to established case law under which negligence involves conduct falling below the required standard of care, while gross negligence involves a failure to observe even the most basic standards of proper conduct in the circumstances.

The standard of care expected from businesses is particularly relevant. Under Article 355(2) of the Polish Civil Code, the required level of diligence in business activities is assessed with regard to the professional nature of that activity.

Examples of conduct that could potentially be regarded as gross negligence in transport services include:

• unlawfully retaining or withholding goods as security for payment;
• breaching contractual restrictions, such as prohibitions on subcontracting or transshipment;
• violating applicable transport safety or hygiene requirements.

When does the CMR limitation period begin?

Article 32 of the CMR Convention establishes different starting points depending on the nature of the claim.

For partial loss, damage or delay, the limitation period begins on the date of delivery of the goods.

For total loss, it begins 30 days after the expiry of the agreed delivery period. Where no delivery period was agreed, the period begins 60 days after the carrier took over the goods.

For other claims, the limitation period begins three months after the conclusion of the transport contract.

This final category is particularly important for freight claims. A carrier seeking payment of freight may, in practice, have a longer period available to pursue its claim than a shipper or other claimant seeking compensation for loss, damage or delay.

Claims brought by one carrier against another carrier generally become time-barred one year after the date on which compensation was paid to the person entitled to it or after the date of the relevant court judgment.

The day from which the limitation period begins is not included when calculating the limitation period.

A written claim can suspend the limitation period

A written claim plays an important role under the CMR Convention because submitting a claim suspends the limitation period until the carrier rejects the claim in writing and returns the documents attached to it.

Where a claim is accepted only in part, the limitation period resumes only in relation to the disputed part of the claim.

This makes careful monitoring of limitation deadlines particularly important in international transport disputes. Once a claim has become time-barred, the CMR Convention significantly restricts the ability to pursue it, including by way of a counterclaim or defence.

Limitation periods under Poland’s Transport Law

Poland’s Transport Law may also apply to international transport where an international agreement does not provide otherwise. However, where the CMR Convention applies, its mandatory provisions take precedence.

The Polish Transport Law generally applies to domestic transport and may also become relevant in certain other circumstances, including cabotage where the parties have agreed that Polish law will govern potential disputes.

Under Article 1 of the Act, it regulates the paid carriage of passengers and goods under a contract by authorised carriers, with the exception of maritime, air and horse-drawn transport. Certain provisions may also apply to carriage performed free of charge by a carrier.

The general limitation period under Polish transport law is also one year. There is, however, an important exception: claims arising from delay where the shipment was not lost or damaged become time-barred after two months from the date of delivery.

When does the Polish limitation period begin?

Article 77(3) of the Transport Law sets out specific starting points depending on the type of claim.

The limitation period begins:

• for loss of a shipment — on the day when the person entitled to the claim could consider the shipment lost;
• for shortage, damage or delay — on the date of delivery;
• for damage that could not be detected externally — on the date the damage is formally established in a report;
• for claims concerning payment or reimbursement — on the date payment was made or, where payment was not made, on the date it should have been made;
• for shortages or surpluses identified during the settlement of a shipment — on the date the settlement took place; and
• for other legal events — on the date the claim became due.

As under the CMR Convention, submitting a claim or a demand for payment can suspend the limitation period. The suspension lasts from the date of submission until a response is provided and the accompanying documents are returned, subject to a maximum period of three months.

Claims between successive carriers

Transport may involve several carriers, and the legislation provides specific rules for recourse claims between them.

Where one carrier has paid compensation for damage, it may seek reimbursement from the carrier responsible for the circumstances that caused the loss.

Under Polish Transport Law, such recourse claims against other carriers become time-barred after six months from the date on which the carrier compensated the loss or from the date proceedings were brought against that carrier.

Suspension versus interruption of limitation periods

Businesses involved in transport disputes should also distinguish between suspension and interruption of a limitation period.

Suspension temporarily stops the running of the limitation period. Once the relevant cause of suspension ends, the period continues running.

Interruption has a different effect: when the limitation period is interrupted, a new limitation period begins from the start.

Under Article 123(1) of the Polish Civil Code, limitation is interrupted by an action before a court or another competent authority undertaken directly to pursue, establish, satisfy or secure a claim. Filing a lawsuit is a typical example.

The rules concerning mediation and attempts to reach a settlement have also changed. Until recently, initiating certain settlement proceedings or mediation could interrupt the limitation period. Following amendments to the Civil Code that entered into force at the end of June 2022, these actions generally result in suspension rather than interruption of the limitation period, lasting until the relevant proceedings are concluded.

Why limitation deadlines matter

Transport claims can involve several parties, different jurisdictions and multiple legal regimes. Determining the correct limitation period is therefore often as important as establishing the merits of the underlying claim.

The CMR Convention and Poland’s Transport Law both generally provide for a one-year limitation period, but the starting date, exceptions and rules concerning suspension can differ significantly depending on the type of claim.

For carriers, shippers and other parties involved in transport disputes, identifying the applicable legal regime and carefully calculating the relevant deadline can be crucial to preserving the right to pursue a claim.

Aleksandra Brzęczek

www.translawyers.eu