(a) What is a bill of lading?
(b) State six contents of a bill of lading
(c) Distinguish between a clean bill of lading a foul bill of lading
Explanation
(a) A bill of lading is a contract of carriage of goods between an exporter and the shipping company. It is issued out by the shipping company’s office as a receipt for the goods shipped and at the same time undertakes to carry the goods to the port of destination. A bill of lading is a document of title.
(b) A bill of lading drawn up contains the following information:
(i) The name of the ship carrying the goods.
(ii) Description of the goods such as the quantity, type, weight etc.
(iii) The shipper’s name
(iv) The names of the consignor and consignee
(v) Addresses of both consignor and consignee
(vi) The e. port of embarkation/port of loading
(vii) Conditions of carriage, e.g. who pays the freight charges
(viii) The port of disembarkation/port of unloading
(ix) Location of the goods in the ship
(x) The expected time of arrival
(c) The difference between a clean bill of lading and a foul bill of lading are:
A clean bill of lading is one signed by the transporter. It shows that the goods are in good order or are free from irregularities or damage while a foul bill of lading indicates some deficiencies, irregularities or damages on the goods.