UNIT ELEVEN

TYPES OF BILLS OF LADING

There are several types of bills of lading and these include the following:
1. Shipped bill of lading: Under the Carriage of Goods by Sea Act 19!" the shipper can
de#and that the shipowner supplies bills of lading proving that the goods have been actually
shipped. $or this reason #ost bill of lading for#s are already printed as shipped bills and
co##ence with the wording: %Shipped in apparent good order and condition%. &t confir#s that
the goods are actually on board the vessel.
This is the #ost satisfactory type of receipt" and the shipper prefers such a bill as there is no
doubt about the goods being on board and conse'uent dispute on this point will not arise with
the ban(ers or consignee" thereby facilitating earliest financial settle#ent of the e)port sale.
. Receied bill of lading: This arises where the word %shipped% does not appear on the bill of
lading. &t #erely confir#s that the goods have been handed over to the shipowner and are in
his custody. The cargo #ay be in his doc( warehouse*transit shed or even inland. The bill has
therefore not the sa#e #eaning as a %shipped% bill and the buyer under a C.&.$. contract need
not accept such a bill for ulti#ate financial settle#ent through the ban( unless provision has
been #ade in the contract. $orwarding agents will invariably avoid handling %received bills%
for their clients unless special circu#stances obtain.
+. Th!o"gh bill# of lading: &n #any cases it is necessary to e#ploy two or" #ore carriers to get
the goods to their final destination. The on,carriage #ay be either by a second vessel -e.g. to
the Seychelles &slands via .o#bassa or /o#bay0 or by a different for# of transport -e.g. to
destinations in the interior of Canada0. &n such cases it would be very co#plicated and #ore
e)pensive if the shipper had to arrange on,carriage hi#self by e#ploying an agent at the point
of tranship#ent.
!. G!o"page Bill of Lading: $orwarding agents are per#itted to %group% together particular
co#patible consign#ents fro# individual consignors to various consignees" situated usually in
the sa#e destination country*area" and despatch the# as one consign#ent. The shipowner will
issue a groupage bill of lading" whilst the forwarding agent" who cannot hand to his principals
the shipowners1 bill of lading" will issue to the individual shippers a Certificate of Ship#ent
so#eti#es called %house bills of lading%. At the destination" another agent wor(ing in close
liaison with the agent forwarding the cargo will brea( bul( the consign#ent and distribute the
goods to the various consignees. This practice is on the increase" usually involving the use of
containers and particularly evident in the continental trade and deep sea container services. &t
will doubtless increase with containerisation develop#ent and is ideal to the shipper who has
s#all 'uantities of goods available for e)port. Advantages of groupage include less pac(ing:
lower insurance pre#iu#s2 usually 'uic(er transits2 less ris( of da#age and pilferage2 and
lower rates when co#pared with such cargo being despatched as an individual
parcel*consign#ent.
3. T!an#hip$en% Bill of Lading: This type is issued usually by shipping co#panies when there
is no direct service between two ports" but when the shipowner is prepared to tranship the
cargo at an inter#ediate port at his e)pense.
4. &lean Bill# o Lading: 5ach bill of lading states %in apparent good order and condition%" which
of course refers to the cargo. &f this state#ent is not #odified by the shipowner" the bill of
lading is regarded as %clean% or %unclaused%. /y issuing clean bills of lading the shipowner
ad#its his full liability of the cargo described in the bill under the law and his contract. This
type is #uch favoured by ban(s for financial settle#ent purposes.
6. &la"#ed Bill# of Lading: &f the shipowner does not agree with any of the state#ents #ade in
the bill of lading he will add a clause to this effect" thereby causing the bill of lading to be
ter#ed as %unclean%" %foul%" or %claused%. There are #any recurring types of such clauses
including: inade'uate pac(aging2 %unprotected #achinery72 %second,hand cases72 8wet or
stained cartons%2 %da#aged crates%2 %two cartons #issing%2 etc. The clause %shipped on dec(
at owner1s ris(% #ay thus be considered to be a clause under this heading. This type of bill of
lading is usually unacceptable to a ban(.
Undoubtedly" to the shipper" the #ost useful type of bill of lading is the clean" negotiable
%through bill% as it enables the goods to be forwarded to the point of destination under one
docu#ent" although #uch international trade is based on free on board -$.9./.0 or cost"
insurance" freight -C.&.$.0 contracts and" with regard to the latter" the seller has no further interest
in the #ove#ent of the goods once they reach their port of destination.
/oth $.9./. and C.&.$. are two widely used types of contract of sale. $.9./. #eans that
the price 'uoted by the vendor includes the price of the goods and all e)penses up to and
including the cost of loading the goods on to the vessel. &t does not include the cost of sea
freight. &n the case of C.&.$." the price 'uoted includes the cost of the goods" the cost of insuring
the goods to destination" and the freight or cost of transport.
'UESTIONS
l. :hat does the %Shipped /ill of ;ading% confir#<
. :hy is this type of /*; #ost satisfactory<
+. =ow does the %>eceived /*; differ fro# the %Shipped /*;%<
!. :hen is the %Through /*;% used<
3. :here is this type of /*; particularly applied and why<
4. 5)plain the %Groupage /*;% and its function" in particular with containers.
6. 5)plain the #eaning of the abbreviations $C; and ;C; in connection with Groupage /*;
-see Unit l0.
?. &n what does a %clean /*;% differ fro# a %claused /*;%<
9. Give so#e other ter#s for a %claused /*;%.
1@. :hy is the clean" negotiable %through /ill of ;ading% the #ost useful type of /*; to the
shipper<
11. 5)plain and discuss the trade clauses abbreviated by $.9./. and C.&.$.

E(ER&ISES
I &O)PRE*ENSION AND VO&ABULARY
1. State which type of /*; is described in each of the following state#ents:
-a0 /*; issued to a shipper when he delivers the goods into the custody of the shipowner
or his agent -e.g. wharfinger or doc( authority0 before the ship has arrived or before
the ship is ready to receive the goods2
-b0 /*; covering the carriage of goods to its destination partly by sea and partly overland"
or where sea transport occurs by two or #ore ships2
-c0 /*; containing clauses that the goods or the pac(aging are not satisfactory" or that the
contents" weight" #easure#ent" 'uality" or technical specification of the goods are not
(nown to the carrier2
-d0 /*; issued after the goods have actually been loaded into the ship2
-e0 /*; bearing no clauses or endorse#ent as to the defective condition of the goods or
pac(aging" etc.2
-f0 /*; referring to the goods for a nu#ber of receivers" but the goods is despatched and
carried as one consign#ent only. $or various shippers*receivers under the sa#e /*;
separate Certificates of Ship#ent are issued. Specially suitable for the ship#ent of
containers. 9pposite to Straight or 9rder /*;:
-g0 /*; issued when the goods are carried by two or #ore ships2
-h0 /*; bearing the words %or his or their assigns%" also referred to as an %order /*;%.
. Co#plete the #issing words -nouns and adAectives or adverbs0: -nouns: $>5&G=T"
BA;U5" /9A>C" D>9B&S&9ES" C9EC&T&9E" C&SC=A>G52 adAective*adverbs:
A$9>5SA&C" A$;9AT" G99C" ADDA>5ET" SA$5;F0
Shipped on " in good order and condition" weight" #easure2 #ar(s"
nu#bers" 'uality" contents and of the goods un(nown" for carriage to the port of
" or so near thereunto as the vessel #ay get and lie always " to be
delivered in the li(e order and condition at the port unto Consignees or
their Assigns" they paying as per note on the #argin plus other charges incurred
in accordance with the contained in this /ill of ;ading.

II GRA))AR
1. Collocations. The following verbs have been used in the te)t ta(ing the noun /&;; 9$
;AC&EG as obAect:
B5>/ E9UE -as obAect0
accept
endorse /ill of ;ading
issue
B5>/ E9UE -as obAect0
#a(e out
pass
present /ill of ;ading
supply
transfer
The following verb ta(e the nouns G99CS and CA>G9 as their obAects:
e.g.:
deliver
forward
despatch
hand over
ta(e over the goods*cargo
insure
receive
ship
transfer
$ind the instances of such collocations in the te)t and write down the sentences where
the sa#e appear" e.g.:
The shipper can de#and that the shipowner supplies bills of lading proving that the goods
have actually been snipped.
. Condition &&&. Consider the following e)a#ple :
&t would be very co#plicated and #ore e)pensive if the shipper had to arrange the
on,carriage by hi#self.
/ilo bi veo#a (o#plicirano i s(upo da (rcatelA #ora sa# organiGirati dalAnAi priAevoG.
... ..." (ad bi (rcatelA #orao sa# organiGirati dalAnAi priAevoG.
Supply the right for# of the verbs in brac(ets -present conditional or preterite0 as
re'uired and translate the sentences into Croatian:
1. The buyer -not accept0 such a bill of lading if a special provision -#a(e0 in the
contract.
. &f the shipper -not agree0 with the state#ent" he -not ship0 the goods.
+. The ship -not leave0 the port if the cargo -not stow0 properly.
!. &f we -can0" we -receive0 the cargo for ship#ent.
+. :ord for#ation: So#e of the endings to for# nouns are listed in the table. Try to find so#e
#ore e)a#ples in the previous Units.
Suffi) 5)a#ple .eaning
,ance i#portance state
, er*,or shipper" operator a person * thing which
,ation*,tion destination the act of
,ing shipping activity
,#ent ship#ent state" action
,ity 'uality state" 'uality
,is# inter#odalisa# condition * state
,ship friendship condition * state
III TRANSLATION
1. %U(rcaA" is(rcaA" i isporu(u*predaAu robe organiGirat He -arrange0 voGarov agent" u(oli(o
niAe dogovoreno -agree0 drugaIiAe. &s(rcaA" us(ladiJtenAe i isporu(a ide na teret -at e)pense0
naruIitelAa -.erchant0. EaruIitelA -trgovac0 ili nAegov opuno#oHeni( -Assign0 ponudit He
-tender0 robu (ada brod bude spre#an Ga u(rcaA i ona(o brGo -as fast as0 (a(o Ae brod
#oKe pri#iti" te" sa#o a(o BoGar to GatraKi" ta(oLer van redovnog radnog vre#ena" ne
(rJeHi -notwithstanding0 obiIaAe -uGance0 lu(e -custo#0.%
. 1. Ca #ogu" predao bih ti sva robna do(u#enta -shipping docu#ents0.
. Ca se (rcatelA i brodar sloKe" #ogli bis#o u(rcati robu od#ah.
+. Dredali bis#o va# poJilA(u (ad biste na# predoIili originalni pri#Aera( teretnice.