Damaged Goods Found in a Bonded Warehouse: Who Bears the Customs Liability? (2026 Updated Guide)

Goods are damaged while stored in a bonded warehouse in Turkey. Learn whether the importer, warehouse operator, carrier or insurer may be responsible and how customs duties, evidence, compensation and disposal should be handled.

Imported goods placed in a bonded warehouse remain subject to customs supervision until the relevant customs procedure is properly completed. If those goods are later discovered damaged, contaminated, broken, wet, burned, spoiled or otherwise commercially unusable, the dispute can involve much more than an ordinary warehouse compensation claim. The parties may need to determine what happened to the goods, whether their quantity or customs status changed, whether customs duties remain payable, whether the warehouse operator breached its obligations and whether the importer can recover the resulting commercial loss. Fırat Fesih Kaya Law Office approaches such cases by separating customs liability from contractual, warehouse, transport and insurance liability because the party responsible for customs obligations is not necessarily the same party that ultimately bears the economic loss.

Why Does Damage Inside a Bonded Warehouse Create a Customs Problem?

Goods stored under the customs warehousing procedure have not simply entered an ordinary commercial storage facility. They remain under customs supervision. Their identity, quantity and status therefore matter to the customs administration.

If the goods deteriorate or disappear partially or completely, Customs may investigate whether the event represents genuine accidental damage, normal deterioration, force majeure, unauthorized removal, substitution, loss or another event affecting customs obligations.

The First Question Is: When Did the Damage Occur?

Determining when the damage occurred is fundamental.

The goods may have been damaged before arrival in Turkey, during international carriage, during unloading, while entering the warehouse, during internal handling or while stored inside the bonded warehouse.

Liability can change substantially depending on the answer.

Inspect the Goods Immediately

Once damage is discovered, the parties should avoid disturbing the evidence unnecessarily. The condition of the goods, packaging, pallets, containers, seals and warehouse area should be documented immediately.

Photographs and video records should show both the damaged goods and their surrounding storage conditions.

Notify Customs Where Required

Because the goods remain under customs supervision, significant damage should not be treated solely as a private matter between the importer and warehouse operator.

The appropriate customs procedure should be followed before goods are removed, destroyed, repaired, repacked or otherwise altered.

Do Not Destroy Damaged Goods Informally

Commercially worthless goods may still have customs significance.

The importer or warehouse operator should not simply dispose of damaged goods because they have no resale value. Unauthorized destruction or disappearance can create a much more serious customs problem.

Does Damage Automatically Eliminate Customs Duties?

No. Physical damage does not automatically mean that customs duties disappear.

The customs consequences depend on the circumstances of the loss or deterioration, the applicable customs procedure and whether legally recognized conditions concerning destruction, irretrievable loss, force majeure or other circumstances are satisfied.

Complete Destruction and Partial Damage Are Different

Goods completely destroyed may present a different customs question from goods that remain physically present but have lost part of their commercial value.

For example, machinery with damaged packaging may still be usable, while food contaminated by flooding may be commercially and legally unusable.

The exact condition of the goods should therefore be established.

Natural Deterioration Must Be Distinguished From Negligence

Certain products may naturally lose weight, moisture or quality during storage. Other deterioration may result from improper temperature, humidity, handling or warehouse conditions.

The cause should be established technically rather than assumed.

Who Is Responsible for Customs Obligations?

The answer depends on the applicable customs procedure, the event that occurred and the legal position of the parties.

The importer, holder of the customs procedure, warehouse operator or other persons may have different responsibilities. Customs-law liability should therefore be determined separately from private-law compensation liability.

Can the Bonded Warehouse Operator Be Liable?

Potentially. A warehouse operator may face responsibility where damage results from inadequate storage, improper handling, unauthorized access, failure to maintain required conditions or another breach attributable to warehouse operations.

The relevant warehouse records and contractual arrangements should be reviewed carefully.

Warehouse Temperature Records Can Be Critical

For food, pharmaceuticals, chemicals and other temperature-sensitive goods, temperature-monitoring records may become decisive evidence.

If the warehouse was required to maintain a specified temperature range, obtain the complete monitoring history rather than a single reading taken after the damage was discovered.

Humidity and Water Damage Should Be Investigated

Water intrusion, roof leaks, flooding, condensation and excessive humidity can damage textiles, machinery, electronics, food and industrial materials.

Maintenance records, weather-related records, CCTV footage and incident reports may help establish responsibility.

CCTV Footage Should Be Preserved Immediately

Warehouse video systems may overwrite footage automatically after a limited period.

A preservation request should therefore be made immediately where handling, collision, unauthorized access, theft or another physical incident may have caused the damage.

Review the Warehouse Entry Record

Determine the documented condition of the goods when they entered the bonded warehouse.

If an entry inspection, tally report, damage report or photograph shows that the goods were intact upon arrival, this may become important evidence against a later allegation that damage occurred before warehousing.

Container Condition Can Be Important

If goods arrived in a container, inspect the container number, seal, doors, floor, roof and evidence of water penetration or impact.

Container records may help distinguish transport damage from warehouse damage.

Customs Seals Must Be Examined

Where customs seals were used, record their condition.

A broken, altered or missing seal can raise additional questions concerning unauthorized access and should be reported and investigated promptly.

Quantity Differences Create Additional Risk

Damage cases sometimes reveal that part of the shipment is missing.

A shortage should not automatically be treated as physical damage. Missing goods may raise separate customs liability questions and, depending on the circumstances, potentially more serious administrative or criminal concerns.

Prepare an Independent Survey

For high-value goods, an independent surveyor or technical expert can document the nature, extent and probable cause of the damage.

This may later become important in customs proceedings, insurance claims and compensation litigation.

Determine the Salvage Value

Damaged goods may still possess some commercial value.

The parties should document whether the goods can be repaired, reconditioned, sold as damaged goods, returned to the supplier or used for another lawful purpose.

Can Damaged Goods Be Repaired in the Warehouse?

Potentially, depending on the customs status of the goods and applicable authorization.

No repair, repacking or modification should be undertaken merely because it is commercially convenient. The customs implications should be reviewed first.

Can Goods Be Repacked?

Damaged packaging may sometimes be replaceable without changing the goods themselves. However, goods under customs supervision should not be repacked informally where customs authorization or supervision is required.

Document the original packaging before corrective action.

Can Damaged Goods Be Re-Exported?

Potentially, depending on their customs status and applicable procedure.

If the foreign supplier accepts return of the goods, re-export may be commercially preferable to domestic clearance, but the appropriate customs process must be completed.

Can the Goods Be Destroyed Under Customs Supervision?

Where the goods are genuinely unusable, lawful destruction may potentially be considered under the applicable customs procedure.

The importer should obtain the necessary administrative approval rather than arranging private disposal first and attempting to explain it afterward.

Who Pays Destruction Costs?

Customs treatment and economic responsibility should again be separated.

Even where destruction is permitted, costs for transport, handling, supervision and disposal may need to be allocated between the importer, warehouse operator, supplier or insurer according to the relevant legal and contractual relationships.

What If the Warehouse Operator Caused the Damage?

The importer should preserve evidence and review the warehousing agreement.

Potential recoverable losses may include the value of damaged goods, survey expenses, storage costs, disposal expenses and other losses that can be legally established and causally connected to the breach.

What If the Carrier Caused the Damage Before Warehousing?

The carrier or logistics provider may be the relevant target if evidence shows the damage occurred during transportation.

Transport documents, delivery reservations, container records and survey reports become particularly important.

Reservations at Delivery Matter

If visible damage existed when the goods reached the warehouse, it should ordinarily be documented immediately.

Accepting visibly damaged goods without recording their condition can make later allocation of responsibility more difficult.

What If the Foreign Supplier Sent Defective Goods?

Damage and manufacturing defects should not be confused.

Goods may appear damaged because of inadequate export packaging, defective production, insufficient moisture protection or other problems attributable to the supplier.

The supply agreement should therefore be reviewed.

Incoterms Do Not Answer Every Liability Question

Delivery terms can affect risk allocation between buyer and seller, but they do not automatically determine every customs, carrier, warehouse or insurance issue.

The complete contractual and factual chain should be analyzed.

Insurance Notification Should Be Made Promptly

Where cargo, warehouse or other relevant insurance may respond, notification requirements should be checked immediately.

Do not wait for the customs dispute to finish before informing the insurer if the policy requires prompt notice.

Avoid Admissions Before the Cause Is Known

The importer, warehouse operator and carrier should avoid premature statements accepting responsibility before technical evidence is collected.

Early correspondence can later become important in litigation or insurance disputes.

Can Customs Impose a Penalty?

Potentially, depending on what occurred and whether customs obligations were violated.

A genuine accidental deterioration case should be distinguished from unauthorized removal, unexplained shortage, improper disposal or other conduct that may trigger separate customs consequences.

A Customs Penalty Should Be Reviewed Separately

If Customs issues a penalty or additional assessment, obtain the formal decision and identify the precise legal basis.

The company should not assume that liability for damaged goods automatically proves liability for every associated penalty.

Could the Matter Become Criminal?

Ordinary accidental warehouse damage is not automatically a criminal customs offense. However, circumstances involving intentional removal, concealment, falsified records, substitution of goods or other suspicious conduct can raise more serious issues.

If a criminal investigation begins, the defense should be coordinated separately from the commercial compensation dispute.

Warehouse Records Must Be Preserved

Relevant evidence may include inventory records, entry and exit records, employee logs, CCTV footage, temperature data, access records, customs records, internal incident reports and handling instructions.

Preservation should begin immediately.

Customs Records and Commercial Records Should Be Compared

Compare the customs declaration and warehouse records with invoices, packing lists and physical inventory.

Quantity, weight, package numbers and product descriptions should reconcile.

What If Customs Values the Damaged Goods at Their Original Value?

If the physical condition of the goods is relevant to a customs valuation or duty dispute, obtain technical evidence establishing when the damage occurred and its effect on the goods.

The timing of damage can be legally significant.

Keep Evidence of Every Expense

Preserve invoices for storage, handling, surveyors, testing, transport, destruction, repair and replacement goods.

Without documentary evidence, recovering secondary losses can become substantially more difficult.

Business Interruption Losses Require Strong Proof

If damaged goods stop a production line or cause a customer contract to fail, preserve purchase orders, production schedules, customer communications and financial records.

Claims for consequential commercial losses usually require particularly careful proof of causation.

Review Contractual Limitation Clauses

Warehouse and logistics contracts may contain limitations of liability, notice requirements or claim periods.

These provisions should be reviewed immediately rather than after the dispute has matured.

Foreign Companies Should Identify the Correct Defendant

A foreign owner of the goods may initially blame the warehouse operator, but the evidence may ultimately point to the carrier, supplier, subcontractor or another party.

Lawyer Fırat Fesih Kaya recommends reconstructing the entire custody chain before deciding how a compensation claim should be framed.

Immediate Action Plan

When damaged goods are discovered in a Turkish bonded warehouse, the parties should immediately preserve the goods and packaging, photograph the damage, notify the relevant parties, protect CCTV and monitoring records, determine when the damage occurred, review customs status before altering or destroying the goods, obtain an independent survey where appropriate, notify insurers, examine warehouse and transport contracts, calculate the loss and respond separately to any customs assessment or penalty.

Frequently Asked Questions

Does damage in a bonded warehouse automatically cancel customs duties?

No. The customs consequences depend on the circumstances, customs status of the goods and applicable legal procedure.

Can damaged goods simply be thrown away?

No such assumption should be made. Goods under customs supervision should be handled through the legally appropriate procedure.

Can the warehouse operator be responsible?

Potentially, particularly where the damage resulted from inadequate storage, handling, security or another breach attributable to warehouse operations.

What if the goods were already damaged when they arrived?

Entry records, delivery reservations, photographs, container records and survey evidence should be examined to determine when the damage occurred.

Can damaged goods be re-exported?

Potentially, depending on the customs procedure and condition of the goods.

Can damaged goods be destroyed?

Potentially, but destruction of goods under customs supervision should follow the applicable authorized procedure.

What if part of the shipment is missing?

A shortage should be investigated separately. Missing goods can create customs issues beyond an ordinary physical-damage claim.

Can the insurer pay for the loss?

Potentially, depending on the policy, insured risk, cause of damage, exclusions and compliance with notification requirements.

Can Customs impose a penalty on the warehouse operator?

Potentially, where the facts establish a breach of customs obligations. The precise legal basis of any penalty should be examined separately.

What is the most important evidence?

Evidence showing the condition of the goods when they entered the warehouse and the exact circumstances in which the damage occurred is usually critical. Photographs, warehouse records, CCTV, temperature data, customs records and an independent survey should therefore be preserved immediately.

Client-Focused Legal Support for Bonded Warehouse Damage and Customs Disputes

Damage to goods stored in a Turkish bonded warehouse can simultaneously create customs liability, warehouse compensation claims, carrier disputes, insurance claims, destruction or re-export procedures and potential administrative penalties. Fırat Fesih Kaya Law Office assists foreign manufacturers, international traders, investors and Turkish importers in determining responsibility and protecting their rights when goods are damaged while under customs supervision. Lawyer Fırat Fesih Kaya provides legal assistance in customs proceedings, evidence preservation, warehouse and transport liability disputes, insurance claims, compensation proceedings and challenges against customs assessments or penalties.

Phone:
+90 312 434 22 22

Mobile:
+90 532 769 22 22

Email:
info@firatfesihkaya.av.tr

Address:
Mevlana Boulevard No:221, Yıldırım Tower, Office No:148, 06520 Balgat, Çankaya, Ankara, Turkey