Does the failure to notify the value of the goods in advance to the warehouse lessor affect the right to claim compensation in the event of loss caused by the lessor

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Question:

Dear Lawyer, if my company does not notify the warehouse lessor of the value of the goods in advance, will we face any difficulties in claiming compensation for damages to the goods due to the lessor's fault? We kindly request your advice for our company.

Answer:

According to Articles 419 and 360 of the Civil Code 2015, the aggrieved party has the right to claim compensation for the benefits that they would have enjoyed under the contract and to be compensated for the entire damage unless otherwise agreed by the parties or provided by law. Accordingly, when a breach occurs, the party claiming compensation must prove the causal relationship between the breach of contract and the damage incurred, including the benefits derived from the contract and other costs incurred due to the non-performance of contractual obligations.

Therefore, not notifying the value of the goods in advance does not affect the aggrieved party's right to claim compensation when there is a breach of contract. In practice in Vietnam, when claiming compensation, the aggrieved party must submit a claim along with evidence proving the damage. If the parties cannot agree on the extent of the damage, an independent third party may be hired to assess the damage.

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