Goods Not Delivered and Damaged — Can Freight Charges Still Be Added? The Kunming Intermediate People's Court's Cross-Border Transport Case Clarifies

货没运到、还坏了——运费到底还能不能加？昆明中院这起跨境运输案讲清了

ສິນຄ້າບໍ່ສົ່ງເຖິງ ແລະ ເສຍຫາຍ — ຄ່າຂົນສົ່ງຍັງສາມາດເພີ່ມໄດ້ບໍ່? ຄະດີຂົນສົ່ງຂ້າມແດນຂອງສານປະຊາຊົນກຸງຄຸນໝິງໄດ້ອະທິບາຍຢ່າງຊັດເຈນ

Published: 2026-09-23 · LaoPaniti legal guides

For those doing cross-border business, the biggest fear is not high freight charges, but paying the money and the goods not arriving, or arriving damaged. What's even more unsettling is: after agreeing on a lump-sum price, can the other party later add charges on the grounds of "high risks on the road"?

A certain Yunnan electrical company encountered exactly this. It entrusted a certain Yunnan logistics company with cross-border transport, but the Carrier failed to complete the transport as agreed, and the goods were also damaged. The two parties could not reach an agreement and the dispute went all the way to the Kunming Intermediate People's Court. This Transport contract dispute brought two of the most common issues in cross-border logistics to the forefront.

I. Not delivered and damaged — does this constitute Breach of contract?

The court's finding was straightforward: the Carrier failed to complete the cross-border transport as agreed and caused damage to the goods, which constitutes Breach of contract and should bear Liability for compensation.

This point is particularly relevant for friends doing trade in Laos and using land transport. Cross-border transport involves many links and many parties. Once there is cargo damage or shortage, many people's first reaction is to "find the Insurance company," but they overlook the most direct relationship — the Transport contract between you and the Carrier. The Contract stipulates "safe delivery of the goods," and if that is not achieved, it is a Breach of contract.

Therefore, when signing a Transport contract, clearly writing out the place of departure, destination, delivery standards, and cargo damage liability will save much more trouble than arguing afterward about "whose responsibility it is."

II. Once a lump-sum price is agreed, can charges be added later?

This is another focus of the case: the Carrier claimed that transport risks increased and demanded additional freight charges on top of the lump-sum price.

The court did not support this. The reason is that the very term "lump-sum" means the price is fixed, and the risks are to be absorbed by the Carrier itself. Increased risks during transport are operational risks that the Carrier should foresee and bear, and it cannot turn around and ask the Consignor / Shipper for more money.

This conclusion is worth noting for all cargo owners using cross-border logistics: the word "lump-sum" on a quotation is not just said casually. Conversely, if you are the Carrier, before quoting a lump-sum price, you must fully calculate the route, road conditions, and customs clearance difficulties, and not expect to add charges later.

III. Why was the shareholder of a Single-Member Company also involved?

There is another easily overlooked judicial point in this case: if the shareholder of a Single-Member Company cannot prove that their own property is independent from the company's, they must bear Joint Liability for the company's debts.

In plain terms: the company is the company, the shareholder is the shareholder, and the accounts must be kept separate. If the boss of a Single-Member Company uses the company account as a personal wallet, once the company is ordered to pay Compensation, the court can require the shareholder to pay personally as well. This is a very practical reminder for Business operators who register companies in Laos and are used to "the boss having the final say alone" — keeping company accounts independent is not just financial compliance, but also a firewall set up for oneself.

Ultimately, the court ordered the Carrier to pay Compensation for Damages and rejected the request for additional freight charges. In 2025, the second instance upheld the original judgment.

The pitfalls of cross-border transport are often not on the road, but in the Contract and accounts. If you are doing Import and export in Laos, using land transport, or are unsure whether your Transport contract is written solidly enough, you can go to 老法智 LaoPaniti to ask AI for free and review the Contract Terms first.

This article was compiled by 老法智 LaoPaniti and is for reference only; it does not constitute legal advice.

FAQ

If the Carrier fails to deliver the goods as agreed and also causes damage, must it pay Compensation?

According to the judicial points of this case, if the Carrier fails to complete the cross-border transport as agreed and causes damage to the goods, it constitutes Breach of contract and should bear Liability for compensation. The specific scope of Compensation must be determined based on the Contract Terms and actual Damages.

Once a lump-sum freight price is agreed, can the Carrier later demand additional charges on the grounds of increased risks?

In this case, the court rejected the request for additional freight charges. A lump-sum price means the price is fixed, and transport risks are operational risks that the Carrier should bear itself and cannot add to the Consignor / Shipper afterward.

Why might the shareholder of a Single-Member Company be liable for the company's debts?

According to the judicial points of this case, if the shareholder of a Single-Member Company cannot prove that the company's property is independent from their own, they must bear Joint Liability for the company's debts. Keeping company accounts independent is key to reducing personal risk.

Legal basis

《中华人民共和国民法典》

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