# liability cap

*Last updated: 2026-06-26*

> A liability cap is the maximum amount a carrier, freight forwarder, or warehouse operator is financially responsible for in cases of damage, loss, or delay.

A liability cap is the maximum amount a carrier, freight forwarder, or warehouse operator is financially responsible for in cases of damage, loss, or delay. It is established by contract, general terms and conditions, or binding international transport law conventions—such as the CMR Convention for road freight or the Montreal Convention for air cargo. When actual losses exceed this ceiling, the shipper bears the difference. This is why forwarders routinely advise shippers to declare the cargo value or take out transport insurance covering amounts above the statutory cap. Unlike a contractual liability limitation clause, a liability cap may also be set directly by mandatory law, leaving no room for negotiation.

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

## Quick Facts

| Property | Value |
|---|---|
| Term | liability cap |
| Language | EN |
| Word count | 110 |
| Last updated | 2026-06-26 |
| Source | https://de.wikipedia.org/wiki/Haftung |

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