As far as exclusion clauses are concerned, the fact that the carriage of the cargo of the plaintiff was subcontracted to a third party introduces another dimension as far as the exemption clauses are concerned. The question of assignment of the contract of carriage was not fully argued. According to Halsbury's laws of England volume 9, 4th edition pages 257 at paragraph 382 a general rule is that if a third party is to be affected by the exclusion clause must either be a party to the contract containing the exclusion clause or to some other contract containing the same term. The general rule that the contract is binding between the parties would apply. Lord Denning considered the availability of an exemption clause to a defendant in the case of Morris vs C.W. Martin and Sons [1965] 2 ALL ER 725 at 734 Now comes the question: Can the defendants rely, as against the plaintiff, on the exempting conditions although there was no contract directly between them and her? There is much to be said on each side. On the one hand, it is hard on the plaintiff if her just claim is defeated by exempting conditions of which she knew nothing and to which she was not a party. On the other hand, it is hard on the defendants if they are held liable to a greater responsibility than they agreed to undertake. As long ago as 1601 Lord Coke advised a bailee to stipulate specially that he would not be responsible for theft; see Southcote’s Case, a case of theft by a servant. It would be strange if his stipulation was of no avail to him. The answer to the problem lies, I think, in this: the owner is bound by the conditions if he expressly or impliedly consented to the bailee making a sub bailment containing those conditions, but not otherwise. (Emphasis added) Whereas it is clear that the goods got lost while in the custody of the third party, what must first be appreciated is that the issue should be whether it was contractually proper to assign the contract to a third party. Notwithstanding this issue, there is no evidence that the plaintiff consented to a subcontract of the carriage of its cargo. The risk if any had passed on to a third party under terms to which it is not a party or privy. It is therefore sufficient for the plaintiff to prove that it had given custody of its goods to the defendant for safe conveyance to Vietnam. It is my finding that the defendant has not proved in evidence that it has exercised due diligence and care in the handling of the 31