Claim Review

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📖 Detailed Explanation

Claim Review is a critical step in foreign trade practice for handling claims raised by the buyer or seller. It refers to the process in which one party, upon receiving a claim from the other party, systematically examines and evaluates the reasonableness of the claim, sufficiency of evidence, attribution of liability, and calculation of amount. This term is commonly seen in disputes such as non-conforming goods quality, quantity shortage, delayed delivery, and document discrepancies. During review, attention should be paid to: checking contract terms (such as inspection standards and claim period), collecting evidence such as third-party inspection reports and transport documents, and distinguishing claim from claim settlement—the former is making a demand, while the latter is handling the outcome. Unlike dispute resolution, claim review focuses more on fact verification and liability determination rather than legal procedures. Foreign trade practitioners should ensure timely review and complete written records to avoid claim invalidation due to overdue filing or insufficient evidence.

📝 Examples

1. After receiving the buyer's claim regarding short shipment of goods, we immediately initiated a claim review, checked the bill of lading, packing list, and inspection report, and confirmed that the liability lay with the carrier. (Note: The exporter conducts an internal review of the buyer's claim to clarify the responsible party.) 2. Because the buyer did not raise a quality objection within the claim period stipulated in the contract, we determined in the claim review that the claim was invalid and replied in writing refusing compensation. (Note: The importer's overdue claim was rejected by the exporter after review.)

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