Glossary

Bill of lading (BOL)

The bill of lading is the core shipping document. Issued when a carrier takes possession of freight, it does three jobs at once: it is a receipt confirming what was picked up and in what condition, it evidences the contract of carriage between shipper and carrier, and in its negotiable form it can serve as a document of title to the goods.

What it records

A bill of lading identifies the shipper, the consignee, the carrier, the origin and destination, and a description of the freight, including piece count, weight, and any special handling. Notations on it at pickup, such as a shortage or visible damage, become the anchor for any later cargo claim. A clean bill of lading at pickup and a signed proof of delivery at the other end bracket the carrier's custody of the load.

Straight and negotiable forms

A straight bill of lading is non-negotiable and consigns the goods to a named party. A negotiable, or order, bill of lading can transfer title and is used when payment is tied to the document changing hands. Which form applies affects who can claim the freight at destination. The bill of lading is a commercial document between the parties to the shipment; it is separate from the federal registration and safety records used to vet the carrier that signs it.

A concrete case

A pallet arrives at the dock visibly crushed. If the delivery receipt is signed clean, with no note of the damage, the later cargo claim is harder to support; if the driver and receiver note the damage on the bill of lading and the delivery copy, the record of when the loss occurred is preserved. The document's value shows up precisely when something goes wrong, which is why the notations at pickup and delivery, and the piece and weight counts, are worth getting right. The bill of lading governs the shipment between shipper, carrier, and consignee; it is separate from the carrier's federal safety and authority record.

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