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Railroad Law

What is a Commercial Act?

It is a crucial document issued by the railway confirming cargo damage, shortage, or arrival in damaged condition. Without it, claiming compensation is difficult.

What is the deadline for filing a claim with the railway?

For local shipments, the claim submission period is 6 months, while for international (SMGS) shipments, it is 9 months.

Who is liable for delays?

If cargo arrives late at the destination station, the railway is liable to pay a penalty unless it proves the delay was caused by force majeure.

How are rail tariffs calculated?

Tariffs are set by the railway's tariff policy and the International Transit Tariff, depending on cargo class, distance, and wagon type.

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Railroad law is a field of strategic importance in Georgia, as the country is a key part of the Europe-Asia transport corridor (Middle Corridor). "Georgian Railway" acts as a monopolistic carrier, creating a specific legal environment for cargo owners and logistics companies. Relationships related to rail transport are regulated by both national legislation and international agreements (e.g., SMGS). Disputes often involve cargo damage, loss, delivery delays, tariff calculations, and infrastructure access. Qualified legal assistance is essential for effective communication with the railway, correct filing of claims, and securing compensation for damages.

What does Railroad Law service cover?

Specialists on Legal.ge offer legal support for any issues related to rail transport:

  • Freight Disputes: Preparing and filing claims against "Georgian Railway" or other operators in case of cargo damage, shortage, or delay.
  • Contract Management: Analysis and negotiation of rail transport agreements, forwarding contracts, and tariff agreements.
  • International Regulations: Legal advice on the application of SMGS (Agreement on International Goods Transport by Rail) and COTIF conventions.
  • Infrastructure Access: Protecting the rights of private wagon owners and locomotive operators regarding access to railway infrastructure.
  • Liability Issues: Legal assistance during railway incidents, derailments, or damage caused to third parties.
  • Regulatory Relations: Representation before state bodies regarding railway safety and licensing issues.

Common Problems and Solutions

Legal intervention is often needed in the following situations:

  • When the railway unjustifiably delays the provision of wagons or shipment, causing business interruptions.
  • If cargo arrives damaged, but the railway refuses to draw up a commercial act.
  • When disputes arise regarding tariff policies or additional charges (e.g., wagon demurrage).
  • Customs and transport misunderstandings during international transit.

Georgian Legislation and Regulations

The main regulator of the field is the Railway Code of Georgia, which defines the obligations of the carrier and cargo owner. Additionally, the Charter of "Georgian Railway" and cargo transportation rules apply. For international shipments, the SMGS Agreement is crucial, regulating rail traffic between CIS and regional countries. The operation of the Baku-Tbilisi-Kars railway has also introduced new legal realities and regulations.

Service Delivery Process

  1. Documentation Audit: Analysis of waybills, commercial acts, and correspondence.
  2. Claim Preparation: Filing a mandatory pre-litigation claim with the railway administration within deadlines.
  3. Expertise: Expert assessment of cargo damage or shortage amount if necessary.
  4. Dispute Resolution: Negotiation with the railway or filing a lawsuit in court.

Why choose a specialist on Legal.ge?

Railway disputes are characterized by specific limitation periods and complex claim submission procedures. Even a minor procedural error can lead to the loss of rights. Legal.ge gives you access to lawyers experienced in transport law who can effectively defend your interests against a monopolistic carrier.

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