WATERMAN, Circuit Judge.
On October 8, 1951 the Lloyd Brasileiro, an ocean carrier owned by the Republic of Brazil, received at its dock in New York twenty-two skids of silicon steel sheets for shipment to the consignee, Empresa Central Mercantil de Representacoes, Ltda., a Brazilian corporation, in Rio de Janeiro. Lloyd acknowledged receipt of these skids by issuing two dock receipts stating "Wrappers torn sheets badly rusted" and "Outside containers badly rusted...
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