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Release Goods with Photocopy Bill of Lading

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Sun, 12/20/2015 - 18:53
gibsonlie
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Joined: 09/19/2011
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Dear Experts,

I'm handling a case whereby I'm the issuing bank of an LC and since the documents under LC was being lost in transit (in short, art 35 applied) from nego bank to me, then the photocopy documents were presented. Under this circumstances, applicant has accepted and paid the photocopy documents presented.

The concern now is more related on how applicant can release their goods by using the photocopy bill of lading.

Their shipping company said that since the consignee is issuing bank therefore issuing bank's endorsement on the photocopy documents is sufficent for them to release the goods. They don't even require any shipping guarantee from issuing bank.

Is it the right practice in handling lost in transit documents?

Can the goods be released only the consignee endorsing the photocopy bill of lading?

Appreciate your kind advises...

 

Regards,

Gibson

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Mon, 12/21/2015 - 22:42
#1
pan
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Joined: 09/13/2007
Read the conditions....

Hi Friends,

not all the bill of lading are bill of lading!

A part the consignee, many bills are claused "If required by the carrier one original bill of lading must be surrendered againt cargo or delivery order" or the like. So in certain Countries, by law, it is possible to take up the goods, if you are indicated in the conignee box, without presenting one original bill of lading. In your case, being the bank indicated as consignee, the carrier needs only an authorization to deliver the goods to another entity, this could be by simply endorsing a copy of bill of lading. (in Italy it is not possible, IMHO)

Ciao and Season's greetings to LCF posters and readers.

 

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Mon, 12/21/2015 - 03:58
#2
phill doran
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Joined: 02/10/2009
its all about the detail...

Hello Gibson

It depends on what type of transport document it is, and how it is claused.
For example, if it is a house ‘bill of lading’ that is endorsed ‘express’, then the copy will do (in fact, that might not even be required). Similarly, if it is a line’s waybill rather than a B/L.

Again, if it was a shipping line’s bill of lading but issued from a USA port the copy could be enough.

If, however, it was as shipping line’s bill of lading, from a non-USA port, I would be very surprised to find the goods released in the manner you mention.

So: what is it called, who issued it and does it contain any claused statements on the copy you have to hand?

The Devil Is In The Detail

Cheers

phill

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Mon, 12/21/2015 - 04:43
#3
gibsonlie
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Joined: 09/19/2011
Common Shipped on Board Bill of Lading

Dear Phill,

Thanks for your response.

In fact, this is being normal and common shipped on board bill of lading issued by a shipping line. No special clause and no special arrangement at all on the BL.

Regards,

Gibson

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Mon, 12/21/2015 - 05:09
#4
phill doran
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Joined: 02/10/2009
an odd job

Hello again

Thanks for the clarity.

Well, I am very surprised. Clearly it does not work against you – if fact the opposite, and it may well be that the receiving or releasing agent has a specific instruction from the carrier (who in turn has an indemnity for the shipper) to proceed.

But, if it is just a case of someone acting without authority and without a grasp of the situation, then clearly it is breach of contract (the terms of the contract of carriage) yet, as I say, it works for you: so perhaps just go with it...

I wish you well.

Cheers

phill

 

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