A bill of lading is a document issued by a sea carrier that confirms receipt of cargo, evidences the contract of carriage and serves as a document of title, making it central to payment and ownership transfer in international sea freight.
In trade practice
For frozen cargo, the bill of lading should state the container number, seal number and the required carriage temperature so that any deviation can be traced to a specific leg of the journey. Banks handling documentary credit transactions require an original bill of lading before releasing payment, so errors in the shipper name, port details or cargo description can delay funds. Buyers should cross-check the bill of lading against the commercial invoice and packing list before accepting documents. A claused or dirty bill of lading, noting damage or shortage, gives the buyer grounds to dispute the consignment.
In a specification
Purchase contracts for sea shipments typically require a clean, on-board bill of lading showing the agreed carriage temperature and naming the notify party, with the original presented within a specified number of days of the vessel sailing date.