Uniform Bill of Lading Act

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The Uniform Bills of Lading Act was adopted in 1909 and passed by the U.S. Uniform Law Commission. The act addressed the judicial and legislative treatment of issues such as the extent of the carrier's liability to the consignee of the goods or to the buyer of the bill of lading based upon the carrier's issuance of the bill. [1] It governed the relationship between persons with interest in the goods, and carriers who transported those goods. [2] It set / described how a carrier could limit its liability.

Contents

Background

A bill of lading is a legal document used in the transportation industry between a shipper of a particular good and a carrier detailing the type, quantity and destination of the good being transported. This document must accompany the shipped goods and be signed by an authorized representative from the carrier and the shipper. The bill of lading can serve as a Proof of Delivery when the goods are delivered to the destination and signed for by the consignee. [3] These statements reflect either the shipper's representations to the carrier or the carrier's notations from its own inspection of the goods. If the bill of lading specifically notes the defective condition of the goods or their packaging, it is "claused" or "fouled." If no defects are noted, it is called a "clean" bill of lading. [4]

Bill of Lading description

The Bill of Lading designates that a carrier shall assume all risk of loss, damage, delay and liability in the transportation of any goods for shippers from the time of carrier's receipt of such goods and from a shipper until proper delivery has been made. Carriers are responsible for full actual loss. If the consignee of goods finds the freight damaged or unacceptable the bill of lading also serves as a legal instrument to dispute the delivery of goods in accordance to the provisions of Title 49 of the Code of Federal Regulations Section 1005, [5] Section 14706 (the Carmack Amendment), [6] and applicable state law to rectify any losses that happened due to the carrier.

Related Research Articles

A waybill is a document issued by a carrier giving details and instructions relating to the shipment of a consignment of cargo. Typically it will show the names of the consignor and consignee, the point of origin of the consignment, its destination, and route. Most freight forwarders and trucking companies use an in-house waybill called a house bill. These typically contain "conditions of contract of carriage" terms on the back of the form that cover limits to liability and other terms and conditions.

<span class="mw-page-title-main">FOB (shipping)</span> International Chamber of Commerce term referring to transfer of liability from seller to buyer

FOB is a term in international commercial law specifying at what point respective obligations, costs, and risk involved in the delivery of goods shift from the seller to the buyer under the Incoterms standard published by the International Chamber of Commerce. FOB is only used in non-containerized sea freight or inland waterway transport. As with all Incoterms, FOB does not define the point at which ownership of the goods is transferred.

In a contract of carriage, the consignee is the entity who is financially responsible for the receipt of a shipment. Generally, but not always, the consignee is the same as the receiver.

<span class="mw-page-title-main">Freight rate</span> Cost of transporting goods

A freight rate is a price at which a certain cargo is delivered from one point to another. The price depends on the form of the cargo, the mode of transport, the weight of the cargo, and the distance to the delivery destination. Many shipping services, especially air carriers, use dimensional weight for calculating the price, which takes into account both weight and volume of the cargo.

A freight forwarder or forwarding agent is a person or a company who co-ordinates and organizes the movement of shipments on behalf of a shipper by liaising with carriers. The carriers may use a variety of shipping modes, including ships, airplanes, trucks, and railroads, and often use multiple modes for a single shipment. A freight forwarder does not move the goods but acts as an agent in the logistics network and will carry out freight consolidation, rate negotiations, shipment tracking, customs and other documentation, among other tasks. FIATA describes a freight forwarder as the "Architect of transport".

A charterparty is a maritime contract between a shipowner and a "charterer" for the hire of either a ship for the carriage of passengers or cargo, or a yacht for leisure.

A Himalaya clause is a contractual provision expressed to be for the benefit of a third party who is not a party to the contract. Although theoretically applicable to any form of contract, most of the jurisprudence relating to Himalaya clauses relate to maritime matters, and exclusion clauses in bills of lading for the benefit of employees, crew, and agents, stevedores in particular.

An air waybill (AWB) or air consignment note is a receipt issued by an international airline for goods and an evidence of the contract of carriage. It is not a document of title to the goods. The air waybill is non-negotiable.

<i>NZ Shipping Co Ltd v A M Satterthwaite & Co Ltd</i> 1974 decision of the Judicial Committee of the Privy Council

New Zealand Shipping Co. Ltd. v. A. M. Satterthwaite & Co. Ltd., or The Eurymedon is a leading case on contract law by the Judicial Committee of the Privy Council. This 1974 case establishes the conditions when a third party may seek the protection of an exclusion clause in a contract between two parties.

A delivery order is a document from a consignee, or an owner or his agent of freight carrier which orders the release of the transportation of cargo to another party. Usually the written order permits the direct delivery of goods to a warehouseman, carrier or other person who in the course of their ordinary business issues warehouse receipts or bills of lading.

The Hague–Visby Rules is a set of international rules for the international carriage of goods by sea. They are a slightly updated version of the original Hague Rules which were drafted in Brussels in 1924.

The Hague Rules of 1924 is an international convention to impose minimum standards upon commercial carriers of goods by sea. Previously, only the common law provided protection to cargo-owners; but the Hague Rules should not be seen as a "consumers' charter" for shippers because the 1924 Convention actually favoured carriers and reduced their obligations to shippers.

<i>Georgia, Florida, & Alabama Railway Co. v. Blish Milling Co.</i> 1916 United States Supreme Court case

Georgia, Florida, & Alabama Railway Co. v. Blish Milling Co., 241 U.S. 190 (1916), was a case decided by the Supreme Court of the United States.

Affreightment is a legal term relating to shipping.

<span class="mw-page-title-main">Deviation (law)</span>

The doctrine of deviation is a particular aspect of contracts of carriage of goods by sea. A deviation is a departure from the "agreed route" or the "usual route", and it can amount to a serious breach of contract.

<span class="mw-page-title-main">Carriage of Goods By Sea Act 1992</span> United Kingdom legislation

The Carriage of Goods By Sea Act 1992 is a UK Statute regarding bills for the lading of goods onto ships. It repealed the Bills of Lading Act 1855 and made new provisions.

<span class="mw-page-title-main">Bill of lading</span> Document issued by a carrier (or their agent) to acknowledge receipt of cargo for shipment

A bill of lading is a document issued by a carrier to acknowledge receipt of cargo for shipment. Although the term is historically related only to carriage by sea, a bill of lading may today be used for any type of carriage of goods. Bills of lading are one of three crucial documents used in international trade to ensure that exporters receive payment and importers receive the merchandise. The other two documents are a policy of insurance and an invoice. Whereas a bill of lading is negotiable, both a policy and an invoice are assignable. In international trade outside the United States, bills of lading are distinct from waybills in that the latter are not transferable and do not confer title. Nevertheless, the UK Carriage of Goods by Sea Act 1992 grants "all rights of suit under the contract of carriage" to the lawful holder of a bill of lading, or to the consignee under a sea waybill or a ship's delivery order.

Norfolk Southern Ry. v. James N. Kirby, Pty Ltd., 543 U.S. 14 (2004), was a United States Supreme Court case that dealt with the extent to which maritime bills of lading cover non-maritime portions of a shipment, together with connected clauses for exclusion of liability.

A freight claim or cargo claim is a legal demand by a shipper or consignee against a carrier in respect of damage to a shipment, or loss thereof.

The law of carriage of goods by sea is a body of law that governs the rights and duties of shippers, carriers and consignees of marine cargo.

References

  1. Murray, Daniel E. (1982–1983). "History and Development of the Bill of Lading". University of Miami Law Review (37 U. Miami L. Rev.): 699–704.
  2. Yiannopoulos, A.N. (1995). Ocean Bills of Lading : Traditional Forms, Substitutes, and EDI Systems (1st ed.). New York, NY: Springer. pp. 268–272. ISBN   9780792333616.
  3. University of North Carolina Wilmington. "Federal Bill of Lading Act" (PDF). University of North Carolina Wilmington. University of North Carolina Wilmington. Retrieved 23 April 2015.
  4. Murray, Daniel E. (1982–1983). "History and Development of the Bill of Lading". University of Miami Law Review (37 U. Miami L. Rev.): 690.
  5. University, Cornell. "49 CFR 1005.2 - Filing of claims". Cornell University Legal Information Institute. Cornell University Law School. Retrieved 22 April 2015.
  6. Printing Office, U.S. Government. "Title 49 Transportation" (PDF). U.S. Government Printing Office. U.S. Government Publishing Office. Retrieved 21 April 2015.