Whether it’s a short form bill of lading, a long form one, a switch bill of lading, or any other variety, bills of lading are not only commonplace and standard in the transloading industry, they are in fact one of the most essential parts of the shipping and logistics process. Since it holds such a central place in the process, it’s important to understand the bill of lading.
Three Purposes of a Bill of Lading
Bills of Lading are vitally important documents in the shipping and receiving chain. They provide evidence of the contract, a document of title and information regarding the receipt of goods. In short, these bills are the document that provides proof of the entire contract for shipping and receiving. These documents, once established, are non-negotiable and/or non-transferable, the intent being to ensure that cargo is delivered into the proper hands.
Delivery Orders are of major importance in the cargo shipping chain, and are issued by the carrier to make sure that the cargo is released to the receiver as agreed upon in the bill of lading. They are documents that handle the separation of the cargo and the carrier, the all-important end point of the shipping process.
Documenting the separation of the cargo and the carrier