King Ocean Services Sues Green BBQ for $12,350 in Unpaid Ocean Freight Charges
King Ocean Services, Ltd., a vessel operating common carrier, has filed a maritime breach of contract lawsuit in the U.S. District Court for the Southern District of Florida against Green BBQ, LLC, a Fort Lauderdale–based restaurant. The lawsuit seeks to recover $12,350 in unpaid ocean freight and related charges for shipments transported between January and May 2025 from ports in Colombia and the Dominican Republic to Port Everglades, Florida.
Ocean Carrier Alleges Green BBQ Failed to Pay Freight Charges for Imported Goods
According to the complaint, King Ocean transported goods for Green BBQ under multiple ocean bills of lading, delivering the shipments to Port Everglades as agreed. The cargo consisted of items ordered and accepted by Green BBQ as consignee. Despite repeated demands for payment, King Ocean alleges that the restaurant failed and refused to pay the invoiced transportation charges.
Bills of Lading Include Terms Making Consignees Liable for Payment
The lawsuit cites bill of lading KOSLBAQPEV47833 as a representative shipment, noting that all bills of lading contained standard “Terms and Conditions” binding the consignee as a “Merchant” responsible for payment of freight, demurrage, and other charges. Paragraph 15 of these terms allegedly makes the consignee jointly and severally liable for such payments, including court costs and attorney’s fees incurred in collection efforts.
King Ocean Claims Full Performance of Its Contractual Obligations
King Ocean asserts that it fully performed its obligations by transporting the goods and delivering them to Green BBQ or its agents. The complaint alleges that Green BBQ’s nonpayment constitutes a material breach of the transportation contracts. The carrier is seeking not only the $12,350 in unpaid freight charges, but also reasonable attorney’s fees, interest, and costs as allowed under the bills of lading.
Plaintiff Seeks Judgment for Damages, Legal Fees, and Costs
The lawsuit demands judgment against Green BBQ for the unpaid charges, attorney’s fees pursuant to the bill of lading terms, and any other relief deemed appropriate by the court. King Ocean’s claim is brought under the court’s admiralty jurisdiction pursuant to 28 U.S.C. § 1333, as the dispute involves the enforcement of maritime contracts.
Understanding Bill of Lading Payment Obligations for Consignees in Maritime Shipping
A bill of lading is a fundamental maritime contract that serves as both a receipt for cargo and a binding agreement between the carrier and the “merchant,” which typically includes the shipper, consignee, and any party entitled to possession of the goods. In most commercial shipping transactions, consignees are contractually obligated to pay freight charges, even if the underlying purchase contract assigns that responsibility to another party.
How Consignees Become Liable Under Bill of Lading Terms
Many standard bills of lading—such as those issued by vessel operating common carriers like King Ocean—define “Merchant” broadly to include consignees. These terms often make all Merchants jointly and severally liable for payment of:
- Freight charges
- Demurrage and detention fees
- General average contributions
- Legal fees and court costs incurred in collection
In this framework, if the shipper fails to pay freight charges, the carrier can pursue the consignee directly, regardless of the consignee’s private agreement with the seller.
Why Payment Liability Matters for Importers
Importers and consignees should carefully review bill of lading terms before accepting delivery of goods. Taking possession of the cargo generally confirms acceptance of the bill’s terms and conditions. If a carrier is not paid, they may withhold future shipments, seek to arrest the cargo, or file a lawsuit in federal admiralty court to enforce payment.
Legal Remedies for Carriers
Under U.S. maritime law, carriers can enforce freight payment obligations through breach of contract claims in admiralty jurisdiction. If the bill of lading includes an attorney’s fee provision—like in the King Ocean v. Green BBQ case—the consignee may also be liable for the carrier’s legal costs, making disputes potentially expensive.
Best Practices to Avoid Payment Disputes
For businesses receiving imported goods, the following steps can help prevent costly litigation:
- Confirm payment arrangements in writing with the seller or freight forwarder.
- Review all bills of lading before the cargo ships.
- Communicate promptly with carriers about any billing discrepancies.
- Pay freight charges directly if contractual obligations make you liable.
By understanding bill of lading obligations, consignees can better manage their financial risk and avoid disputes like the one currently in litigation between King Ocean Services and Green BBQ.
Contact a Maritime Contract Dispute Lawyer If You Are Owed Freight Charges
Maritime carriers have legal remedies to enforce payment obligations under bills of lading and other shipping agreements. When consignees fail to pay freight charges, carriers can recover damages, legal fees, and interest through federal court litigation under maritime law. If your company is facing a similar payment dispute, our experienced maritime attorneys can help protect your contractual rights.
Contact us now to speak with a maritime contract dispute lawyer.
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.
