Bills Of Lading: Nature And Functions

Introduction

A bill of lading is one of the most important types of shipping document. It is a document signed by a carrier (eg, a shipowner, master or charterer) which states that certain goods have been:

• transported from one place to another on board a particular ship; and
• delivered to a particular party named in the bill of lading.

The legislation of some jurisdictions also expressly stipulates that a carriage contract is evidenced by a bill of lading, which is issued by the carrier or its representative at the shipper's request. In addition, the bill of lading is a document of title giving the consignee or endorsee of the bill the right to sell the applicable goods while they are in transit.