Affreightment - Bills of Lading

Bills of Lading

The document signed by the master or agent for the shipowner, by which are acknowledged the shipment of a parcel of goods and the terms upon which it is to be carried, is called a bill of lading. The document still used today, initially appeared some centuries ago as a bill (account) presented to shippers for all the charges incurred with his cargo until properly secured and stowed on board. Since in the era of sailing ships it was not uncommon for cargo and ship to become lost, and therefore this bill was not only proof that cargo expenses were paid, but became mainly a proof that the cargo was really on board and thus become a negotiable property title. Under this type of carriage, the bill of lading assumes two main tasks, as cargo receipt and property title. In liner shipping it assumes a triple identity: property title, cargo receipt and carriage contract. In tramp shipping, object of this wiki entry, the carriage contract is the charter party.