1. General Definition:
The Cooperation Risk Protection Service is a mechanism provided by JCtrans for creditor members to covercertain cooperation risks. Its purpose is, within the scope of this Contract, to safeguard creditor members for receivables arising from the provision of logistics services.
2. Coverage Limit
2.1 When JC Elite cooperates with JC Elite on general cargo, the annual coverage limit is USD 150,000. When JC Elite cooperates with JC Premium, JC Rising, JC Projects, JC Ecommerce, JC Railway, or JC Dangerous Goods on general cargo, the annual coverage limit is USD 100,000.
2.2 When JC Premium cooperates with JC Premium or JC Elite on general cargo, the annual coverage limit isUSD 100,000. When JC Premium cooperates with JC Rising, JC Projects, JC Ecommerce, JC Railway, or JC Dangerous Goods on general cargo, the annual coverage limit is USD 50,000.
2.3 When JC Rising cooperates with JC Rising or JC Elite on general cargo, the annual coverage limit is USD 100,000. When JC Rising cooperates with JC Premium, JC Projects, JC Ecommerce, JC Railway, or JC Dangerous Goods on general cargo, the annual coverage limit is USD 50,000.
2.4 When JC Projects cooperates with JC Projects on project cargo, the annual coverage limit is USD 100,000.
When JC Projects cooperates with JC Elite, JC Premium, JC Rising, JC Ecommerce, JC Railway, or JC Dangerous Goods on project cargo, the annual coverage limit is USD 50,000.
2.5 When JC Ecommerce cooperates with JC Ecommerce on e-commerce cargo, the annual coverage limit is USD 100,000. When JC Ecommerce cooperates with JC Elite, JC Premium, JC Rising, JC Projects, JC Railway, or JC Dangerous Goods on e-commerce cargo, the annual coverage limit is USD 50,000.
2.6 When JC Railway cooperates with JC Railway on railway cargo, the annual coverage limit is USD 100,000.
When JC Railway cooperates with JC Elite, JC Premium, JC Rising, JC Projects, JC Ecommerce, or JC Dangerous Goods on railway cargo, the annual coverage limit is USD 50,000.
2.7 When JC Dangerous Goods cooperates with JC Dangerous Goods on dangerous goods, the annual coverage limit is USD 100,000. When JC Dangerous Goods cooperates with JC Premium, JC Rising, JC Projects, JC Ecommerce, JC Railway, or JC Dangerous Goods on general cargo, the annual coverage limit is USD 50,000.
2.8 For general cargo members who additionally purchase specialty coverage, the annual coverage limit shall be the same as their member type limit.
2.9 The headquarters and all its branches and affiliated companies share the annual coverage limit.
3. Compensation Restrictions
3.1 The goods must have been actually delivered.
3.2 This Cooperation Risk Protection Service applies only to business cooperation between Party A and members of the JCtrans International Member Alliance, based on the issue date of the ocean bill of lading/air waybill as the commencement date of cooperation. On such date, both members must be listed in the JCtrans Company Directory and within valid membership service periods. The company names of Party A and the cooperative member must be displayed in the Shipper and Consignee columns of the bill of lading.
3.3 As the complainant, Party A must disclose to JCtrans all other organizations of the same type it or its affiliates have joined. Failure to provide or providing inaccurate information shall render the claim inadmissible.
3.4 Disputes arising between Party A and other members must be filed within 60–150 days from the issue date of the bill of lading/waybill. Claims filed earlier than 60 days or later than 150 days will not be accepted.
3.5 When extending credit cooperation, Party A may grant a settlement period not exceeding 60 days (inclusive) from the bill of lading issue date to the cooperating member.
3.6 Once Party A submits a written claim against a member, the claim materials and claimed amount cannot be altered or supplemented. No interest or penalties will be applied to the claim amount, regardless of the period or circumstance (including but not limited to delayed payment after claim submission, claim rejection, or other scenarios).
3.7 JCtrans will not assist Party A in obtaining evidence for claims. If Party A cannot provide the required documentation, the claim will not be accepted.
3.8 Where both parties belong to another alliance outside JCtrans, JCtrans will process only 50% of the total claim amount.
3.9 JCtrans will not assist Party A in handling any claim that does not comply with the provisions of this Contract.
3.10 If the debtor only repays part of the amount, such payment shall first be applied to satisfy the earliest due claim, unless the debtor explicitly designates the payment for a specific debt.
4. Claim Procedure
The prerequisite for filing a claim is that Party A and the cooperative member have fulfilled their responsibilities for actual shipment or delivery.
4.1 Party A (creditor) shall submit a claim online at https://my.jctrans.com/complaint.
Required claim materials include but are not limited to: agency contracts/agreements, credit term confirmation, booking confirmation, inquiry/quotation confirmation, MBL/HBL, air waybills, customs declarations, commercial invoices, packing lists, delivery receipts, payment vouchers, settlement statements, SOA, and related correspondence.
4.2 Compliance with Clause 3.5.2 of this Contract regarding “Credit Transaction Filing” and operation according to JCtrans' risk prevention advice is a prerequisite. JCtrans will confirm within 5 working days whether the claim falls within its acceptance scope.
4.3 Upon acceptance, JCtrans will coordinate and mediate between Party A and the debtor within a 60-day coordination period.
4.4 For complex cases, JCtrans may extend the handling period by an additional 30 days, requiring Party A to provide supplementary evidence. JCtrans' final ruling shall be binding on both Party A and the debtor, and both parties must comply unconditionally.
4.5 If necessary, JCtrans may submit the case to an external arbitration team (with consent of both parties), in accordance with the rules of the designated arbitration institution. Both parties shall sign a supplementary agreement and accept that the arbitral award shall be final and binding. JCtrans may disclose relevant case information within the membership community.
4.6 If Party A's evidence is sufficient, facts are clear, and the claimed costs are reasonable, JCtrans will assist in debt collection for a period of 30 days.
4.7 If the debtor fails to fulfill payment obligations within the 30-day collection period, JCtrans may immediately suspend the debtor's membership services without refund, and issue Risk Alerts to all members, including blacklisting and bad debt notifications.
4.8 Before JCtrans makes advance compensation, Party A (creditor) must sign a Debt Assignment Agreement transferring its claim to JCtrans, and issue a receipt for the compensation.
4.9 Upon receipt of the Debt Assignment Agreement and compensation receipt, JCtrans shall initiate Cooperation Risk Protection compensation within 15 days, paying in USD based on the exchange rate of the day. If Party A, acting as debtor, fails to fulfill repayment obligations, JCtrans may withhold Party A's unused balances across JCtrans products to offset the compensation.
4.10 If Party A, acting as debtor, fails to fulfill repayment obligations, and JCtrans has made advance compensation to the creditor under this Contract, JCtrans may deduct the corresponding amount from Party A's unused balances across all JCtrans products to offset the compensation paid.
4.11 Party A (creditor) shall bear all bank charges incurred by JCtrans in remitting the advance compensation.
4.12 JCtrans' total annual compensation payout for all members under the Cooperation Risk Protection is capped at USD 3,000,000. This cap is calculated per calendar year independently, resetting automatically at the end of each year without accumulation or carryover. If the total payout reaches the cap in a given calendar year, subsequent qualified claims shall automatically be carried over to the next year for compensation.
5. Exclusions
The following transactions, costs, or losses are excluded from Cooperation Risk Protection coverage:
5.1 Cargo value, loss due to cargo damage, shortage, destruction, container damage, or transport equipment issues.
5.2 Losses due to delivery without original bills of lading.
5.3 Losses caused by Party A's or its employees' negligence, errors, or improper risk management in performing agency contracts.
5.4 Transactions involving non-members, expired members, suspended members, blacklisted members or members who have been warned by JCtrans.
5.5 Losses caused by political events, economic issues, prohibitions, or other legal/policy restrictions.
5.6 Losses caused by seizure, confiscation, or destruction of cargo due to national, ethnic, religious, or legal factors.
5.7 Losses caused by Force Majeure, including war, riots, strikes, sanctions, epidemics, natural disasters, or cargo not reaching its destination.
5.8 All losses arising from new cooperation between Party A and a member while a dispute between them remains unresolved.
5.9 Losses arising from cooperation during the period when Party A's membership service is suspended.
5.10 Fees including but not limited to: demurrage, detention, storage, fines, taxes, deposits/guarantees/commissions, dead freight/cancellation fees, fees of agent collection and payment , other similar fees, and unquoted or unconfirmed fees.
5.11 Except for the coverage explicitly stated in clause 1.8 of this Contract, losses arising from: general cargoperishable goods, temperature-controlled goods, e-commerce goods, railway cargo, project cargo, dangerous goods, breakbulk, oversized cargo, courier goods, animals/plants, valuables, special containers, liquid goods, military supplies, aircraft leasing.
5.12 Losses arising from illegal/contraband cargo, smuggling, misdeclaration, or seizure/auction by authorities.
5.13 Losses arising from illegal contracts/agreements, invalid stamps or signatures, or breaches of signed agency contracts.
5.14 Litigation fees, attorney fees, court enforcement costs, or interest on compensation.
5.15 Where Party A grants a settlement period exceeding 60 days (from the bill of lading issue date), or where Party A continues to cooperate with a partner that has not settled overdue amounts as agreed.
5.16 Transactions between subsidiaries of the same company, or within the same corporate group.
5.17 Bank loans, related interest, penalties, fines, or currency fluctuation losses.
5.18 Losses arising from Party A's suspension or termination of this Contract by JCtrans.
5.19 Losses arising from discrepancies between company information on any business document and the information Party A submitted to JCtrans and displayed on the official website.
5.20 Losses due to hacking, telecom fraud, online fraud, or member fraud (including debtor incurring 5 payable cases within 2 months or causing losses to 3 creditors).
5.21 Losses caused by incorrect payment accounts, email errors, or third-party tampering with Party A's information.
5.22 Losses arising from transactions involving origins, transits, or destinations outside Party A's registered country.
5.23 Losses from transactions involving two or more members where the origin/destination party is not involved.
5.24 Losses arising from cooperation between members of the same country.
