Bill Of Lading
The fourth and the last issue in this case is the bill of lading. Bill of lading is one of the most important documents in a contract of carriage. It is formed between the shipper (seller or buyer) and the carrier (transport company). The contractual terms and conditions of transport contracts are generally found in transport document known as a bill of lading. Many shipments are made under bills of lading, issued by the carrier to the shipper upon delivery of the goods for shipment. The shipper is entitled to demand insurance of a bill of lading, unless his right is excluded by the contract of carriage. The bill of lading is, in the first place, an acknowledgment by a carrier that he has received the goods for shipment. Secondly, the bill of lading is either a contract of carriage or evidence of a contract of carriage. Thirdly, if the bill of lading is negotiable, as usually happens in carriage by sea, it controls possession of the goods and is one of the indispensable documents in financing the movement of commodities and merchandise throughout the world. Now that we have are well aware on what is a bill of lading, let’s relate it with our case. “Lloyds & Sons Co. delivered second shipment in July in accordance with all the requirements and descriptions in the contract except delivery order was issued instead of bill of lading. Kirisan Co. refused to accept the delivery order as substitution of bill of lading.” Here, it’s obvious that Kirisan Co. refused to accept the shipment because no bill of lading was issued to him. Therefore, it can be regarded as a breach of contract where Lloyds & Sons Co. failed to follow. We can include the case of Sanders Bros v Mclean & Co (1883) where the CIF buyers refused to accept the bill of lading on the basis that the contract anticipated was supposed to be a set of three instead of two. Bowen argues that the shipper prefer to retain one of them for their own protection against loss. Therefore,...
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