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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 and storage of goods, specifies delivery timelines, and details the payment terms and conditions. The agreement should also comply with Qatari regulations and international shipping standards.
What is a Freight Forwarding Agreement?
A Freight Forwarding Agreement outlines the terms between a shipping customer and a freight forwarder who manages cargo transportation. Under Qatari commercial law, this contract specifies how the forwarder will handle customs clearance, documentation, and logistics while moving goods through ports like Hamad International or Doha Port.
The agreement sets clear responsibilities for cargo insurance, storage fees, and delivery timelines - key requirements in Qatar's busy trading environment. It protects both parties by defining liability limits, payment terms, and dispute resolution methods aligned with local regulations. Most Qatari businesses use these agreements when importing or exporting through established freight networks.
When should you use a Freight Forwarding Agreement?
Use a Freight Forwarding Agreement when shipping goods internationally through Qatar's ports or logistics hubs. This becomes essential for businesses moving high-value cargo, handling specialized items like chemicals or temperature-sensitive products, or managing complex supply chains with multiple transit points.
The agreement proves particularly valuable when coordinating with multiple carriers, navigating Qatari customs requirements, or requiring specific handling instructions. Companies expanding their import-export operations need this document to establish clear liability boundaries, specify insurance coverage, and ensure compliance with local transportation regulations. It's crucial for time-sensitive deliveries and when dealing with Qatar's Free Zones.
What are the different types of Freight Forwarding Agreement?
- Standard Single-Shipment Agreement: Covers one-time cargo movements through Qatar, with specific routing and handling details
- Master Forwarding Contract: Establishes ongoing terms for regular shipments, often used by large importers and exporters
- Project-Specific Agreement: Tailored for complex logistics projects, like construction equipment or industrial machinery
- Multimodal Transport Agreement: Coordinates multiple transportation methods through Qatar's air, sea, and land routes
- Specialized Cargo Agreement: Contains additional provisions for dangerous goods, perishables, or high-value items under Qatari regulations
Who should typically use a Freight Forwarding Agreement?
- Freight Forwarders: Licensed logistics companies in Qatar who arrange cargo transportation and handle customs documentation
- Importers/Exporters: Businesses shipping goods through Qatar's ports who need professional logistics management
- Customs Authorities: Government officials who verify compliance with Qatari import/export regulations
- Shipping Lines: Maritime carriers working with forwarders to transport cargo through Qatar's waters
- Insurance Providers: Companies offering cargo coverage and risk protection during transit
- Legal Advisors: Specialists ensuring the agreement meets Qatari commercial law requirements
How do you write a Freight Forwarding Agreement?
- Shipment Details: Gather cargo specifications, packaging requirements, and delivery timelines
- Company Information: Collect legal names, registration numbers, and authorized signatories for all parties
- Service Scope: Define exact services needed - customs clearance, warehousing, documentation handling
- Routing Plan: Map out transportation modes, transit points, and delivery locations in Qatar
- Cost Structure: Outline rates, additional charges, payment terms, and currency preferences
- Insurance Coverage: Determine required coverage types and liability limits under Qatari law
- Documentation: Prepare customs forms, permits, and certificates needed for Qatar customs
What should be included in a Freight Forwarding Agreement?
- Party Details: Full legal names, addresses, and commercial registration numbers of forwarder and client
- Service Scope: Detailed description of logistics services, handling requirements, and delivery terms
- Liability Terms: Clear limits under Qatar Maritime Law and international conventions
- Payment Structure: Fees, currency, payment schedule, and late payment consequences
- Insurance Coverage: Mandatory insurance types and minimum coverage amounts
- Force Majeure: Conditions recognized under Qatari law that excuse performance
- Dispute Resolution: Choice of Qatar courts or arbitration, applicable law, and notice requirements
- Termination Rights: Grounds for ending the agreement and post-termination obligations
What's the difference between a Freight Forwarding Agreement and an Agency Agreement?
A Freight Forwarding Agreement differs significantly from an Agency Agreement in Qatar's commercial landscape, though both involve representation of business interests. Here are the key distinctions:
- Scope of Services: Freight forwarding specifically covers logistics, cargo handling, and customs clearance, while agency agreements encompass broader business representation rights
- Duration: Freight forwarding typically relates to specific shipments or periods, whereas agency agreements often establish long-term commercial relationships
- Liability Structure: Freight forwarders assume specific cargo-related responsibilities under maritime law, while agents have broader fiduciary duties
- Regulatory Framework: Freight forwarding falls under Qatar's shipping and customs regulations, while agency agreements are governed by general commercial agency laws
- Payment Terms: Freight forwarding fees are typically per-shipment based, whereas agency agreements often involve ongoing commissions or retainers
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