Cassation appeal from a decision of the Piraeus Court of Appeal in a cargo claim. The Piraeus Court of First Instance had held that, following the loss of the cargo carried by the appellant as a freight forwarder and the respondent's insurance company having paid out and having become subrogated to the respondent's rights, the appellant was obliged to pay the respondent's insurance company the amount of USD 2,823,051.33, corresponding to the normal value of the lost cargo at the place and at the time of discharge under the contract of carriage, otherwise the equivalent of the above amount in EUR on the day of payment.

In enforcing this claim, the Court of Appeal held that the appellant was obliged to pay, as compensation for the loss of the disputed cargo, the sum of USD 2,823,051.33, rather than its EUR equivalent.

Held: Appeal granted. Decision of the Piraeus Court of Appeal set aside and the case referred back to the Court of Appeal differently constituted.

Law No 2107/1992 ratified the Hague Rules, as amended by the Visby and SDR Protocols. Therefore the Convention rules are an integral part of Greek domestic law and prevail over any other contrary provision of law. These rules have been in force in Greece since 26 June 1993 (a) for all maritime transport operations carried out by means of a bill of lading where the ports of loading and discharge are in different States; and (b) to maritime transport between Greek ports, whether covered by a bill of lading or not. Art 4.5 of the Hague Rules has been replaced by art 2 of the Visby Protocol. Article 4 bis has been added by art 3 of the Visby Protocol. Art 4.5.b of the Hague-Visby Rules now provides that the 'total amount recoverable shall be calculated by reference to the value of such goods at the place and time at which the goods are discharged from the ship in accordance with the contract or should have been so discharged. The value of the goods shall be fixed according to the commodity exchange price, or, if there be no such price, according to the current market price, or, if there be no commodity exchange price or current market price, by reference to the normal value of goods of the same kind and quality.' This provision, in other words, determines the measure for calculating compensation for damage suffered from the loss or damage of the cargo.

Moreover, under Article 297a of the CC, 'the person liable for compensation must provide it in cash'. This provision, read in conjunction with art 1 of Law 2842/2000, takes additional measures for the implementation of Council Regulations (EC) 1103/97, 974/98 and 2866/98 as they apply to the introduction of the EUR which replaced the GRD as the national currency. It follows that any claim for damages governed by Greek law, whether primary or secondary, whether due to the non-fulfillment or inappropriate fulfillment of a pre-existing contractual liability or stemming from tort/delict, must be specified in EUR as of 1 January 2002. Accordingly, compensation due to the loss or damage of the cargo carried, calculated in accordance with the above provisions of the Hague-Visby Rules, is due in domestic currency, without the nature of the latter as a financial debt being altered if the place of delivery of the cargo is abroad. The above principle applies also in the case of subrogation and/or assignment of the claimant's rights to its insurer. Accordingly, the present appeal must be upheld and the contested decision set aside.

[See also Areios Pagos Decision 343/2019 (CMI1384) for further proceedings in the same matter.]