What are the purposes of an export bill of lading
The bill of lading is a document that is used by a shipper of goods to show that they are picked up and shipped to another location. The bill of lading carries information about the shipment, such as the items included, the origin and the destination. The bill of ladingis a type of binding contract that ensures the shipper takes care of the goods and gets them to the necessary location according to the terms of the agreement.
A bill of lading is a type of document that is used to acknowledge the receipt of a shipment of goods. A transportation company or carrier typically issues this document to a shipper. In addition to acknowledging the receipt of goods, the document indicates the particular vessel on which the goods have been placed, their intended destination and the terms for transporting the shipment to its final destination. It also includes a description of the goods that are being shipped, their weight and the other shipping details.
The bill of lading serves three basic purpose:
1. To acknowledge receipt by the carrier of the exporter’s goods.
2. To indicate the carrier’s contractual obligation to transport the goods to their destination in exchange for payment.
3. To record transfer of title (or ownership) from the seller to the buyer when payment for the goods takes place. Airlines use what is called an Air Waybill.
There are two basic types of bill of lading, the straight bill and the order bill.
1. A straight bill of lading:
A straight bill of lading is a non-negotiable document, made out to a specifically named consignee, from which the steamship company acknowledges receipt of the freight and agrees to move it to its destination.
2. An Order bill of lading:
An Order bill of lading is a document that is made out to the order of of the foreign importer or its bank, or the order of the export firm, its bank, or another designated party.