Marginal note:Contravention of Act or regulations

• 246. (1) Every person who, or vessel that, contravenes any of the following commits an offence:

  • (a) a direction given under subsection 212(2) (to store something);

  • (b) section 213 (departing without clearance); and

  • (c) a provision of the regulations made under this Part.

• Marginal note:Punishment

  (2) Every person who, or vessel that, commits an offence under subsection (1) is liable on summary conviction to a fine of not more than $100,000 or to imprisonment for a term of not more than one year, or to both.

Definition of “carrier”

247. In sections 248 and 250, “carrier” means a person with whom a shipper of goods enters into a contract of carriage of the goods by water.

Marginal note:Carrier’s lien

• 248. (1) A carrier has, on goods carried under a contract of carriage, a lien for any amount that is due to the carrier under the contract for freight or costs of storing, disposing of or preserving the goods.

• Marginal note:Notice of lien to owner of goods

  (2) Before exercising a lien, a carrier must give notice of it to the owner of the goods, specifying the amount claimed and the particulars of the claim.

• Marginal note:Notice of lien to third parties

  (3) If the carrier places the goods in the custody of a third party and gives the third party notice of the lien and the third party does not retain them until notified by the carrier that the lien is discharged or does not return them to the carrier, the third party is liable to the carrier. The third party may charge the carrier for storing the goods or for any reasonable action taken to preserve them or to protect property or human life from damage they may cause.

• Marginal note:Third party’s protection

  (4) A third party who retains goods until notified by the carrier that the lien is discharged or who returns them to the carrier is not liable to the owner of the goods, regardless of whether the lien claimed by the carrier is valid.

Marginal note:Sale or other disposition of goods

• 249. (1) If an owner of goods does not take delivery of the goods after notice of delivery has been given or fails to discharge a lien after it is exercised, the carrier may

  • (a) sell them by public auction at any time that is 90 days after the notice of delivery is given and 10 days after giving notice of the time and place of the auction in a newspaper that is circulated in the vicinity of the auction; or

  • (b) if the goods are perishable or pose a threat to public health or safety, sell or otherwise dispose of them in the manner and for the price that is reasonable in the circumstances after giving notice of the sale or other disposition to the owner of the goods.

• Marginal note:Application of proceeds of disposition

  (2) The proceeds of the disposition must be credited toward payment of the amounts due or payable under the contract of carriage or any other amounts reasonably incurred for storing, disposing of or preserving the goods. Any surplus must be paid to the owner of the goods.