David L.

Mazaroli
Attorney for Plaintiff
250 Park Avenue 7
th
Floor
New York, NY 10177
Tel. (212)267-8480
Fax. (212)732-7352
e-mail: dlm@mazarolilaw.com
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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
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INDEMNITY INSURANCE COMPANY OF
NORTH AMERICA a/s/o Perrigo Company and
Perrigo LLC

Plaintiff,

- against -

LUFTHANSA CARGO AG; LUFTHANSA
AG; AMIT LTD.; PANALPINA INC.;
PANALPINA WORLD TRANSPORT
(HOLDING) LTD.;

Defendants.
:

:

:

:

:

:

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ECF CASE


14 Civ. 4695 (AKH)

COMPLAINT
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Plaintiff, through its undersigned attorney, alleges as follows for its complaint
against defendants upon information and belief:
1. Plaintiff Indemnity Insurance Company of North America (IINA) is a
corporation organized under the laws of, and with its principal place of business in, the
State of Pennsylvania, and has an office within this district at 1133 Avenue of the
Americas, New York, NY 10036. Plaintiff sues herein as subrogated insurer of the
shipments described in the annexed Schedules A and B, having paid the insurance claims
of Perrigo Company and Perrigo LLC, who were at all material times, the purchasers,
owners, and consignees of the shipments.
Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 1 of 10
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2. Defendant Amit Ltd. (hereinafter Amit), also doing business as Amit
Ltd. Customs Clearers & Transporters, is believed to be a corporation organized under
the laws of, and with its principal place of business in, Israel.
3. Defendants Lufthansa Cargo Aktiengesellschaft and Lufthansa A.G.
(hereinafter jointly Lufthansa) are believed to be corporations organized under the
laws of, and with their principal places of business in, the Federal Republic of Germany.
Lufthansa has a designated agent for service of process at 1640 Hempstead Turnpike,
East Meadow, New York 11554.
4. Defendant Panalpina Inc. is believed to be a New York corporation with
its principal place of business in Morristown, New J ersey. Defendant Panalpina World
Transport (Holding) Ltd. is believed to be a corporation organized under the laws of, and
with its principal place of business in, Switzerland, and upon information and belief was
at all material times a joint venturer, partner and/or principal of Amit. The Panalpina
defendants (jointly referred to herein as Panalpina) have a registered agent at 80 State
Street, Albany, New York 12207-2543.
5. This Court has in personam jurisdiction over defendants, who conduct
business in the State of New York and the United States as a whole as common carriers,
forwarders, bailees, and/or warehousemen-for-hire, and as providers of services related
thereto, including services pertaining to shipments to, from and through the State of New
York.
6. This Court has federal question subject matter jurisdiction pursuant to 28
U.S.C.A. 1331 as the claims in suit arise under federal law, including federal common
Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 2 of 10
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law, and/or are supplemental claims within the meaning of 28 U.S.C. 1367 to certain of
the foregoing claims.
7. Concurrently there is diversity subject matter jurisdiction pursuant to 28
U.S.C.A. 1332 as the citizenship of the parties is diverse and the amount in controversy,
exclusive of interest and costs, exceeds $75,000.00.
8. This action involves damage and loss to the three shipments of
pharmaceutical products (Fexofenadine) which were intended for human consumption
and which are described in the annexed Schedules A and B, which are incorporated
herein by reference.
9. The pharmaceutical products required temperature-controlled care during
all phases of transportation, handling, and storage.
10. Defendants contracted to provide transportation, handling, and storage for
the shipments and to provide said temperature-controlled care during all of said periods
of custody and control.
11. The shipments moved from Tel Aviv, Israel, to Detroit, Michigan, by way
of Chicago, as described more fully in Lufthansa air waybills 020-55360200, 020-
55360325 and 020-55360745 and Amit air waybills AMT-00234500, AMT-00234504,
and AMT-00235002, and others.
12. Each shipment was in good order and condition when received into the
custody of defendants or entities acting on their behalf at or near Tel Aviv.
13. During the course of transportation, handling, and storage by defendants
from Tel Aviv to Detroit, each shipment sustained damage which rendered the
pharmaceutical products unfit for intended sale, distribution and usage.
Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 3 of 10
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14. As a result of the damage to the pharmaceuticals plaintiff, and those on
whose behalf it sues, sustained damages in the amount of $376,506.38 for the Schedule A
shipments and $190,720.83 for the Schedule B shipment, for a total of $567,227.21, no
part of which has been paid although duly demanded.
15. Plaintiffs sue herein on their own behalf and as agents and trustees for and
on behalf of anyone else who may now have or hereafter acquire an interest in this action.
FIRST CAUSE OF ACTION
(Breach of Contract and Montreal Convention)
`16. Plaintiff repeats and realleges the allegations in paragraphs 1 through 15
of this complaint.
17. This cause of action is governed by a treaty of the United States,
specifically the the Convention for Unification of Certain Rules for International Carriage
by Air, Done at Montreal on 28 May 1999, reprinted in S. Treaty Doc. No 106-45, 1999
WL 33292734 (2000) (entered into force Nov. 4, 2003) (Montreal Convention).
Alternatively, this cause of action arises under the Convention for the Unification of
Certain Rules Relating to International Transportation by Air, 49 Stat. 3000, T.S. No. 876
(1934), reprinted in note following 49 U.S.C. Sec. 1502 (the "Warsaw Convention"), and
certain amendments, protocols, and successor treaties thereto in effect in the country of
origin and destination at the time of shipment.
18. For agreed consideration consisting of enhanced freight fees and charges,
defendants contracted to provide temperature-controlled care for each shipment during all
periods of custody and carriage, and to transport the shipments from the place of receipt
in Israel to the place of delivery in the United States.
Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 4 of 10
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19. The Lufthansa and Amit air waybills described the nature of the cargo and
further disclosed inter alia that each shipment was to be kept at 15-25 degrees Celsisus
and MUST FLY AS BOOKED.
20. Defendants breached their duties and obligations under the specialized
carriage contract and under the applicable international air treaty, by failing to provided
the requisite temperature-controlled care during the transit from Tel Aviv to final
destination.
21. As a proximate result of the non-conforming temperatures to which the
shipments were exposed, the pharmaceuticals sustained damage and could not be
distributed, sold, or otherwise used for intended human consumption.
22. By reason of the aforesaid plaintiff, and those on whose behalf it sues,
have sustained damages in the amount of $567,227.21, no part of which has been paid
although duly demanded.
SECOND CAUSE OF ACTION
(Breach of Bailment Obligations)
23. Plaintiff repeats and realleges the allegations set forth in paragraphs 1
through 15 of this complaint.
24. At the time the aforementioned cargo damage occurred defendants were
acting as a bailees of the shipments and in their own capacities, or through their
contractors, agents, servants or sub-bailees, had a duty to safely and properly keep, care
for and deliver the shipments in the same good order and condition as when entrusted to
them at the respective place of receipt at or near Tel Aviv.
Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 5 of 10
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25. Defendants also had a duty to ensure that the services provided for the
shipments were performed with reasonable care and in a non-negligent and workmanlike
manner.
26. Defendants and/or entities acting on their behalf, breached the aforesaid
duties and obligations and negligently redelivered the pharmaceutical shipments in
damaged condition at destination.
27. As proximate result of the foregoing plaintiff and those on whose behalf it
sues has sustained damages in the amount of $567,227.21, no part of which has been
paid although duly demanded.
THIRD CAUSE OF ACTION
(Negligence and/or Recklessness, and/or Willful Misconduct)
28. Plaintiff repeats and realleges the allegations set forth in paragraphs 1
through 15 of this complaint.
29. At all material times defendants had a duty in relation to the shipments to
properly handle, carry, refrigerate, monitor, protect, store and care for the cargo in
question.
30. The damage to the shipments was caused by defendants negligence,
recklessness, wanton neglect, and willful misconduct in that it, and its agents, servants,
sub-carriers, participating carriers, subcontractors, terminal operators, truck drivers,
warehousemen and employees failed to properly handle, carry, refrigerate, monitor,
protect, store and care for the cargo in question.
31. As proximate result of the foregoing plaintiff and those on whose behalf it
sues has sustained damages in the amount of $567,227.21, no part of which has been
paid, although duly demanded.



Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 6 of 10
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FOURTH CAUSE OF ACTION
(Material Deviation/Fundamental Breach)
32. Plaintiff repeats and realleges the allegations in paragraphs 1 through 15
of this complaint.

33. At all material times defendants were aware of the nature of the cargo and
the fact that it was temperature-sensitive and required special care during all periods of
transportation, handling and storage.
34. At all material times defendants held themselves out to be specialized in
the care and carriage of temperature-sensitive goods, including pharmaceutical products.
35. At all material times defendants charged supplemental and/or enhanced
fees and freight rates for providing accessorial services such as temperature-controlled
care, handling and storage.
36. In addition to services relating to air carriage of the cargo from Israel to
the United States, for agreed consideration, including supplemental and enhanced fees,
defendants contracted to provide such specialized temperature-controlled care, storage
and handling for the shipments in suit.
37. The damage to the shipments in suit was proximately caused in whole or
in part by defendants fundamental breaches of, and material deviations from, the terms
of the subject contracts and their reckless failure to provide the agreed accessorial
services relating to specialized temperature-controlled care, handling, and storage.
38. As proximate result of the foregoing plaintiff and those on whose behalf it
sues has sustained damages in the amount of $567,227.21, no part of which has been
paid, although duly demanded.
Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 7 of 10
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WHEREFORE, plaintiff respectfully demands judgment against each of the
defendants, jointly and severally, and without limitation of any kind:
(a) for the sum of $567,227.21;
(b) for prejudgment interest at the rate of 9% per annum;

(c) for the costs and disbursements of this action;

(d) for such other and further relief as this Honorable Court deems
proper and just, including an award of reasonable attorneys fees.

Dated: New York, New York
J une 26, 2014
LAW OFFICES,
DAVID L. MAZAROLI

s/David L.Mazaroli
_____________________________
David L. Mazaroli
Attorney for Plaintiff
250 Park Avenue 7
th
Floor
New York, NY 10177
Tel.: (212)267-8480
Fax.: (212)732-7352
E-mail: dlm@mazarolilaw.com



















Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 8 of 10
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SCHEDULE A

Subrogated Insurer: Indemnity Insurance Company of North America
Subrogor/Consignee: Perrigo Company, Perrigo LLC
Shipper: Teva Pharmaceutical Industries Ltd.
Lufthansa Air Waybill No.: 020-55360200
020-55360325
Dated on or about: J une 15, 2013
AMIT Ltd. Air Waybill No.: AMT-00234500
AMT 00234504
Dated on or about: J une 15, 2013
Origin: Tel Aviv, Israel
Destination: Detroit Michigan
Commodity: Pharmaceutical products (Fexofenadine)
Claim Amount $376,506.38
Lot Nos. 26F823 & 26F824
Invoice Nos. 41021057 and 41021060
Panalpina Inc. Refs: CUST20131400 and CUST20131401
IINA Ref.: J Y13J 046297-9
DLM File: 4G-2312

























Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 9 of 10
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SCHEDULE B

Subrogated Insurer: Indemnity Insurance Company of North America
Subrogor/Consignee: Perrigo Company, Perrigo LLC
Shipper: Teva Pharmaceutical Industries Ltd.
Lufthansa Air Waybill No.: 020-5536 0745
Dated on or about: J uly 13, 2013
Amit Ltd. Air Waybill No.: AMT-00235002
Dated on or about: J uly 13, 2013
Origin: Tel Aviv, Israel
Destination: Detroit Michigan
Commodity: Pharmaceutical Products (Fexofenadine)
Claim Amount $190,720.83
Invoice No.: 41021375
Lot No.: 26F839
Panalpina Inc. Ref.: CUST20131394
IINA File J Y13J 0457479
DLM File: 4G-2314

Case 1:14-cv-04695-AKH Document 1 Filed 06/26/14 Page 10 of 10