OceanX has established a payment security guarantee plan (FailSAFE) for the benefit of its members .The enrolment to the FailSAFE plan, is mandatory for all air partners and associate members .The FailSAFE plan works in conjunction with the OceanX Credit alert system.

The FailSAFE plan is-funded mainly by OceanX AG and to a small degree, is also self-funded by the members with a fee of USD 500 per annum.
Although originally established to cover only issues of bankruptcy/insolvency, the FailSAFE plan has been expanded to protect OceanX members against bad/delinquent debts from other OceanX members arising after that date, and can be used at the discretion of the OceanX FailSAFE plan committee for other situations and to guarantee up to USD 20,000 for each year of membership with a maximum of USD 100,000 per year for members that have been members of OceanX for 5 years or more.

• The maximum amount that will be paid out in any single incident is an aggregate amount of USD 20,000 per year, for each year of membership to maximum of 100,000 USD to a member with over 5 years of membership. Example: a member that belongs 2 years to OceanX will be subject to a 40,000 Maximum paid out, a member with one year 20,000 USD, and a member with 6 years a maximum of 100.0000 USD pay out.
• The FailSAFE plan will not cover any single invoice over 15,000 USD such a transaction is considered a “special project “and can be subject to a special agreement, conditions, deadlines, and possible disputes.
• The FailSAFE plan however will pay out the total amount of multiple invoices to a maximum from 20,000 to 100,000 USD as per above ,excluding single invoices that are over 15,000 USD and are considered a “ special project” based on above special condition .
• In order for a member to receive payment from the FailSAFE plan, the recipient must agree to sign any future recoveries of the debt over to the OceanX management (OceanX AG) and to fully cooperate with OceanX management in instituting collection and/or legal recovery of such debt.
• In order to receive payment from the FailSAFE plan, the recipient must report its receivables not before 60 days and not after 90 days thru the Credit alert tool. Failure to do so will result possibly to a payment failure(will not be covered).
• The FailSAFE plan will pay out members taken into consideration that a credit limit from member to member is in place between members of maximum 30.000 USD credit limit.
• The annual SAFE plan fee of USD 500 and the aggregate amount of coverage as well the condition is subject to change.
• Claims will only be considered if the Credit Alert procedure has been followed. The non-reporting of delinquent debts will make them ineligible for recovery under the FailSAFE plan.
• Claims will only be considered when invoiced under the company name that was signed on the initial OceanX Membership registration agreement at the time of membership. Further, only invoices relating to the offices/cities that are registered will be eligible to participate in this fund (i.e. if a company only registers its New York office but has several other offices in USA, only invoices covering freight originating and routed from their New York office will be considered as eligible.). Those members who have offices not registered can become eligible for future
  access to the FailSAFE plan by paying USD 200 for each office and be part of the fund process. The documents that will be taken into consideration will be the email correspondence, Invoice, and Bill of Ladings. When a Bill of Lading is being consigned to a branch of a member that is not enrolled into the FailSAFE plan but the invoice is billed to the HQ it might not be considered after investigating all the circumstances of a possible fraud.
• Claims will only be considered if incurred when invoiced while the claimant is an OceanX member i.e. from date of enrolment (funds received by OceanX) on a “goforward” basis until termination of membership. If any of the claiming members are also member of another network with a financial security guarantee plan, or they have an external private insurance that covers all or part of the debts , the claim against the FailSAFE plan will be reviewed after payments made by the other network or the insurance company . Failure to report enrolment to other network’s financial security guarantee plans or an active private bad debt insurance can be considered a possible fraud and members will not be covered by the FailSAFE plan.
• Claims will only be considered if an invoice is issued no more than 7 working days of shipment’s departure or shipments arrival.
• It must be fully understood that the FailSAFE plan is only for bad debts rather than operational errors and valid for transportation of general cargo. Claims will not be accepted – unless approved by the OceanX Management – to cover nonconformance with service levels, shipments of personnel effects, time critical, deadline arrivals , temperature control, VAL , live animals ,events and exhibitions, dangerous goods ,shippers/consignees connected with Internet mail services such as E-Bay, lost or damaged cargo, invoices covered by a member’s Errors and Omissions Insurance or other insurance coverage, 3rd party damages, currency exchange fluctuations, goodwill payments, illegal transactions, legal fees, interest, etc.
• If all above conditions are met, FailSAFE plan is obliged to pay out the recipient at a maximum of 120 days from the date of claim.
• FailSAFE plan adopts Force Majeure policy that frees us from liability or obligation when an extraordinary event or circumstance beyond our control, such as war, sanctions, strikes, riot, crime, pandemic or an event described by the legal term “Act of God” (such as hurricanes, flooding, earthquakes, volcanic eruption). Force Majeure is NOT intended to excuse negligence – as where non-performance is caused by usual and natural consequences of external forces.
• Disputes are investigated and are due to an evaluation and mediation procedure during the annual OceanX general conference only two OceanX members chosen by both parties and chosen by the OceanX management are entitled to act as mediators. Mediators and OceanX management will carry one vote each (total three votes) in order to take a decision on a specific dispute, unless a settlement has been successfully agreed among the two parties during the evaluation and mediation procedure. Disputes have to be reported no later than 60 days and not before 90 days in order for member to be legible to an investigation, evaluation and mediation process.
• Payments into the FailSAFE plan are not refundable to participants upon leaving the network.
• The Scheme is governed by Swiss law and members agree to submit themselves to the exclusive jurisdiction of the Swiss court.