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Freight Forwarding Agreement
I need a freight forwarding agreement that outlines the responsibilities and liabilities of both parties, includes terms for handling customs clearance, and specifies the conditions for cargo insurance and delivery timelines. The agreement should comply with Danish regulations and include a dispute resolution clause.
What is a Freight Forwarding Agreement?
A Freight Forwarding Agreement is a legal contract between a shipping customer and a freight forwarding company that manages cargo transportation. Under Danish transport law, this agreement details how the forwarder will handle goods, arrange shipping routes, and manage customs documentation on the client's behalf.
These agreements are especially important in Denmark's bustling maritime sector, where they protect both parties by clearly outlining liability limits, insurance requirements, and specific services covered. The contract typically follows NSAB 2015 conditions - the Nordic standard for freight forwarding - and includes key details about delivery timeframes, storage conditions, and payment terms.
When should you use a Freight Forwarding Agreement?
Use a Freight Forwarding Agreement when shipping goods internationally through Denmark's ports or across EU borders. This contract becomes essential once you need a professional logistics partner to handle complex shipping arrangements, customs clearance, and cargo documentation on your behalf.
The agreement proves particularly valuable for Danish businesses dealing with time-sensitive deliveries, specialized cargo requirements, or multiple transport modes. Having this agreement in place before starting shipments protects your interests under NSAB 2015 standards, clarifies liability limits, and ensures smooth coordination between all parties involved in the shipping process.
What are the different types of Freight Forwarding Agreement?
- Standard NSAB Agreement: Based on Nordic freight forwarding standards, covering basic cargo transport and liability terms
- Comprehensive Multimodal Agreement: Includes additional provisions for sea, air, and land transport combinations
- Project-Specific Agreement: Tailored for specialized cargo like industrial equipment or dangerous goods
- Express Service Agreement: Modified terms for time-critical shipments with stricter delivery guarantees
- Warehouse Distribution Agreement: Enhanced storage and distribution terms for companies needing local logistics support
Who should typically use a Freight Forwarding Agreement?
- Freight Forwarders: Licensed logistics companies that arrange transport, handle customs clearance, and manage shipping documentation under Danish law
- Shipping Customers: Businesses or individuals needing international cargo transport services, from manufacturers to trading companies
- Customs Authorities: Danish officials who review and process documentation provided through the freight forwarder
- Insurance Providers: Companies offering cargo insurance and liability coverage specified in the agreement
- Legal Advisors: Specialists ensuring compliance with NSAB 2015 and Danish transport regulations while drafting agreements
How do you write a Freight Forwarding Agreement?
- Shipment Details: Gather specific information about cargo type, volume, dimensions, and special handling requirements
- Service Scope: Define exact services needed - transport modes, customs clearance, warehousing, packaging, or tracking
- Timeline Requirements: Document pickup dates, transit times, and delivery deadlines for each shipping route
- Insurance Coverage: Determine liability limits and additional cargo insurance needs under NSAB 2015 guidelines
- Payment Terms: Specify rates, currency, payment schedule, and any additional fees or surcharges
- Documentation: Collect necessary permits, licenses, and customs documentation for international shipments
What should be included in a Freight Forwarding Agreement?
- Party Information: Complete legal names, registration numbers, and addresses of freight forwarder and client
- Service Description: Detailed scope of logistics services under NSAB 2015 standards
- Liability Terms: Clear limits and conditions following Danish transport law requirements
- Payment Structure: Rates, currencies, payment schedules, and additional cost provisions
- Insurance Coverage: Specified insurance requirements and claim procedures
- Dispute Resolution: Danish jurisdiction clause and agreed arbitration procedures
- Force Majeure: Circumstances excusing performance under Nordic legal standards
- Termination Rights: Conditions and procedures for ending the agreement
What's the difference between a Freight Forwarding Agreement and a Charter Agreement?
A Freight Forwarding Agreement differs significantly from a Charter Agreement, though both relate to transportation services. While freight forwarding covers comprehensive logistics management, customs handling, and multi-modal transport arrangements, charter agreements focus specifically on leasing transport vehicles or vessels for dedicated use.
- Scope of Services: Freight forwarding includes coordinating entire shipping chains, documentation, and customs clearance; charter agreements only cover vehicle/vessel rental and crew
- Liability Structure: Freight forwarders operate under NSAB 2015 limits and act as intermediaries; charterers assume direct operational control and liability
- Payment Terms: Freight forwarding fees cover multiple services and handling charges; charter payments primarily cover vessel/vehicle use and crew costs
- Operational Control: Freight forwarders coordinate between multiple parties; charterers gain direct control over the transport asset
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