Hong Kong Shipping Company Sues Tennessee Logistics Firm Over Unauthorized Cargo Release and Maritime Contract Breach

Holzberg Legal

Hecny Shipping Limited, a company based in Hong Kong, has filed a verified maritime complaint against HYC Logistics, Inc. in the Southern District of Florida. The lawsuit, filed under Case No. 1:25-cv-26028-JIC, alleges that HYC Logistics breached a long-standing agency agreement by releasing significant shipments of apparel to a third party without obtaining the required original bills of lading. This failure has allegedly left Hecny Shipping exposed to massive financial liabilities and ongoing litigation in Chinese courts.

Maritime Agency Agreement Breach Leads to Substantial Financial Losses for Hecny Shipping Limited

The legal dispute centers on a non-exclusive agency agreement established between the parties in May 2013. Under this contract, HYC Logistics acted as the agent for Hecny Shipping, handling tasks such as customs clearance, trucking, and distribution for cargo arriving at major United States ports. A critical component of this agreement was the strict requirement that HYC Logistics must only release cargo after obtaining the surrender of the original house bills of lading. The complaint asserts that this protocol is vital because the surrender of these documents typically signifies that the original shippers have been paid in full for their goods. Hecny Shipping alleges that HYC Logistics ignored this fundamental obligation, delivering goods to a non-party receiver, Louise Paris Ltd., without the necessary documentation.

International Litigation in China Triggered by HYC Logistics Failure to Secure Bills of Lading

As a direct consequence of the unauthorized cargo release, several Chinese textile manufacturers have initiated legal action against Hecny Shipping. Because the manufacturers never received payment for their goods from the receiver, they are holding Hecny Shipping liable for the loss under the issued bills of lading. The complaint details two major legal battles in China involving Detail Fashion Limited and Ningbo Yuanlin Textile Co., Ltd. In the case of Detail Fashion, Hecny Shipping’s bank account was successfully attached for nearly eight hundred thousand dollars as security. While HYC Logistics eventually arranged payment to release that specific attachment, Hecny Shipping claims it is still owed tens of thousands of dollars in related legal fees and local charges that the defendant has refused to reimburse.

The financial impact continues to grow as Hecny Shipping faces further claims from Ningbo Yuanlin Textile Co., Ltd. The plaintiff reports that it has already entered into settlement agreements to resolve three lawsuits in China totaling over one hundred and fifty thousand dollars. Furthermore, a second wave of litigation was filed in March 2025 involving additional shipments, with claims exceeding seven hundred thousand dollars. Hecny Shipping argues that HYC Logistics is fully liable for these amounts under the indemnity clause of their agreement, which holds the agent responsible for any fees, claims, or damages arising from the improper release of cargo. The total damages sought by Hecny Shipping in this Florida action currently exceed one million three hundred thousand dollars.

Plaintiff Seeks Maritime Attachment of Assets Held by Florida Garnishee OJ Commerce

Because HYC Logistics is a Tennessee-based corporation and cannot be found within the Southern District of Florida for traditional service of process, Hecny Shipping is utilizing Supplemental Rule B of the Federal Rules of Civil Procedure. This allows for the attachment of the defendant’s assets located within the district to serve as security for the maritime claim. The complaint identifies OJ Commerce, LLC, a business with offices in this district, as a garnishee that owes a substantial sum of money to HYC Logistics following a separate legal judgment. Hecny Shipping is asking the court to attach these funds, totaling over eight hundred thousand dollars, to ensure that assets are available to satisfy a potential judgment in this breach of contract case.

Contact an Experienced Maritime Contract and Cargo Dispute Lawyer for International Shipping Claims

International shipping disputes and breaches of maritime agency agreements require sophisticated legal intervention to protect the interests of carriers and logistics providers. When agents fail to follow strict protocols regarding bills of lading, the resulting chain of liability can span multiple continents and lead to the freezing of corporate assets. If your company is facing losses due to the unauthorized release of cargo or a breach of a maritime contract, it is essential to consult with legal professionals who understand the complexities of admiralty law and Supplemental Rule B attachments.

Contact us now to speak with a maritime attorney regarding your shipping or logistics dispute.


Disclaimer: Our firm does not represent the plaintiff in this case and is not involved in the litigation. The information provided is a summary of allegations based on publicly available court filings. We make no representations about the truth of these allegations, are not commenting on the merits of the case, and are not predicting any outcome.

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