What is the purpose of a Bill of Lading?
A Bill of Lading serves several important purposes in sea freight and inland waterway transport.
First, it provides evidence that the carrier has taken the goods in charge as described in the document. It also forms part of the contractual framework for the carriage and sets out the conditions that apply to the transport.
When a Bill of Lading is issued "to order", it can also function as a document of title. In that case, the holder may be entitled to receive the goods or transfer the rights to them.
What information is included in a Bill of Lading?
A Bill of Lading contains information about the goods, the parties involved and the transport itself.
This can include details such as:
- the description of the goods
- weight, quantity and measurements
- marks and numbers
- the container or other shipping unit
- the place of receipt
- the port of loading and port of discharge
- the place of delivery
- the shipper and consignee
The information describing the goods is supplied by the shipper. This can include details such as the description, weight, quantity, condition, marks and numbers of the goods.
Who are the parties involved in a Bill of Lading?
Several parties can be involved in a Bill of Lading, each with a different role in the transport and delivery of the goods. The following parties are often involved:
Carrier
The carrier is the party that undertakes or performs the carriage of the goods. The carriage can include the operations and services carried out by or on behalf of the carrier in relation to the goods.
Shipper
The shipper is the party that provides the goods for transport and supplies the relevant shipment information. This can include details such as the description, weight, quantity, condition, marks and numbers of the goods.
Consignee
The consignee is the party to whom the goods are intended to be delivered. The consignee is named in the transport documentation as one of the parties involved in the shipment.
Holder of the Bill of Lading
The holder of the Bill of Lading is the person in possession of the document. When the Bill of Lading is made out "to order", it can be negotiable and the holder can be entitled to receive or transfer the goods described in it.
Is a Bill of Lading negotiable?
A Bill of Lading is not automatically negotiable.
It becomes negotiable when it is made out "to order". In that case, the Bill of Lading can constitute title to the goods and the holder can be entitled to receive or transfer the goods described in the document.
When it is not made out "to order", the Bill of Lading is non-negotiable.
How is a Bill of Lading used in port-to-port and combined transport?
A Bill of Lading can be used for both port-to-port shipments and combined transport that includes a sea leg.
In a port-to-port shipment, the carriage covered by the Bill of Lading relates primarily to the transport between the port of loading and the port of discharge. The carrier's responsibility for this part of the journey generally relates to the period during which the goods are carried by sea.
In combined transport, the Bill of Lading can cover a broader transport chain in which sea transport is combined with other modes of transport. This can include stages before or after the sea journey, depending on the terms under which the Bill of Lading is issued.
Why is a Bill of Lading important in international transport?
A Bill of Lading plays an important role in international sea freight because it brings together key information about the goods, the transport and the parties involved.
It also helps define the rights, responsibilities and liabilities that apply during the carriage. Because it can act as evidence that the goods have been taken in charge, form part of the contract of carriage and, in some cases, function as a document of title, the Bill of Lading is a key document in international shipping.
Bill of Lading at Van den Bosch
Unless otherwise agreed in writing, Van den Bosch DMCC (JLT) carries out its activities in the capacity of forwarder.
When Van den Bosch issues a Van den Bosch House Bill of Lading or a Van den Bosch Sea Waybill, Van den Bosch acts as a carrier. In that case, the applicable Terms and Conditions of the Van den Bosch House Bill of Lading or Van den Bosch Sea Waybill apply.
