# damages (indemnification)

*Last updated: 2026-06-19*

> When goods arrive damaged and the consignee suffers a quantifiable financial loss, the right to damages comes into play: it is the legal obligation of the responsible party – carrier, freight forwarder, or insurer – to compensate the injured party and restore them to the financial position they would have been in had the incident not occurred.

When goods arrive damaged and the consignee suffers a quantifiable financial loss, the right to damages comes into play: it is the legal obligation of the responsible party – carrier, freight forwarder, or insurer – to compensate the injured party and restore them to the financial position they would have been in had the incident not occurred. The amount recoverable is tied to the proven loss, but is regularly capped by contractual liability limits, per-kilogram thresholds, or statutory maximums – notably under the CMR Convention for road transport or the Montreal Convention for air cargo. Where the actual loss exceeds these caps, the shortfall falls on the claimant unless supplementary cargo insurance is in place. Distinct from a lump-sum compensation, which is paid without requiring proof of the exact loss amount.

**Source:** [https://de.wikipedia.org/wiki/Schadensersatz](https://de.wikipedia.org/wiki/Schadensersatz)

## Quick Facts

| Property | Value |
|---|---|
| Term | damages (indemnification) |
| Language | EN |
| Word count | 131 |
| Last updated | 2026-06-19 |
| Source | https://de.wikipedia.org/wiki/Schadensersatz |

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