Bill of Lading: What It Is, Different Types, How-to and More

What is a bill of lading? If you’re new to the world of shipping, this may be a question you have. A bill of lading, or BoL, is a document that outlines the details of a shipment.

It includes essential information such as the shipper and receiver’s name and contact information, the goods being shipped, and their weight and dimensions. There are different types of bill of ladings, each with specific uses.

In this blog post, we’ll discuss what a bill of lading is, different types, why you need one, what to look for when filling one out and how to complete it correctly.

Bill of Lading Explained: The Complete Beginner’s Guide

The Bill of Lading is arguably the most used document to execute transport transactions by sea, air, and roadway in the commercial sector.

The importance, purpose, and types of bill of lading in shipping

A bill of lading is a legal document required to ship goods. It is a contract between the shipper and the carrier and outlines the shipment’s terms.

The bill of lading also serves as a receipt for the goods, and the carrier must sign it to be valid.

There are different types of bill of lading, including clean, dirty, or claused. A clean bill of lading means that the goods were received in good condition and that there are no damages or defects. A claused or dirty bill of lading means that there are some damages or defects.

The function of a bill of lading

A bill of lading is a document that lists the items being shipped, the quantity of each item, the destination, and the sender. Its main purpose is to serve as a receipt for goods that have been shipped.

Why is a bill of lading important?

The bill of lading can be used as a contract between the shipper and the carrier, outlining the responsibilities of each party. If any damage or loss occurs during transport, the bill of lading can be used as evidence to resolve the dispute. As such, the bill of lading is essential in ensuring smooth and successful shipments.

Is there a bill of lading without a consignee?

A bill of lading can be issued without a consignee, but it is not advisable to do so. Without a consignee, the bill of lading becomes an open contract, meaning anyone who presents the bill of lading to the carrier can claim the goods. This could lead to confusion and delays in receiving your shipment.

It is always best to include the consignee on the bill of lading to avoid any issues.

How to fill out a bill of lading

When filling out a bill of lading, there are a few critical pieces of information that you’ll need to include:

– The name and contact information for the shipper and receiver

– The goods being shipped and their weight and dimensions

– The date of shipment

– The mode of transport (sea, air, truck, etc.)

If you’re using a bill of lading template, fill in the required information. If you are creating your own bill of lading, include all of the necessary information and format it in a clear and easy-to-read way.

Signatures on a bill of lading

Once the bill of lading has been completed, it must be signed by both the shipper and the carrier. The carrier’s signature signifies that they have received the goods and that they are in good condition. The shipper’s signature indicates that they agree to the terms of the shipment.

It is important to note that an authorized representative of the carrier must sign the bill of lading in order for it to be valid.

What happens if the bill of lading is not signed?

If the carrier does not sign the bill of lading, it is not a valid document. This could cause delays in receiving your shipment or even result in losing your goods.

If you are unsure whether or not the bill of lading has been signed, you should contact the carrier and ask for confirmation.

Electronic bill of lading

An electronic bill of lading (eBL) is a bill of lading that is created and stored electronically. eBLs have many benefits over paper bill of ladings, including increased efficiency and accuracy, reduced costs, and improved security.

Accuracy is crucial

Regardless of using a traditional BoL or eBL, accuracy is key when filling out the bill of lading. Incorrect information could result in delays, confusion, and even loss of goods. It’s important to take the time to double-check all of the information on the bill of lading before signing it. This will help to ensure a smooth and successful shipment.

Who uses a bill of lading?

A bill of lading is used by the shipper, receiver, and carrier. The shipper uses the bill of lading to list the items being shipped, the quantity of each item, and the destination. The receiver uses the bill of lading to track the shipment and confirm that all items have been received. The carrier uses the bill of lading to transport the goods and track the shipment.

A bill of lading is an essential document in the shipping process, so it is important that all parties involved are familiar with its purpose and how to use it.

Who receives a bill of lading?

The bill of lading is most commonly used in international trade. When goods are shipped overseas, the bill of lading serves as a receipt for the shipper. It indicates that the carrier has received the goods and lists the type and quantity of goods being shipped.

Who issues a bill of lading?

The shipping company or carrier typically issues a bill of lading. In some cases, the freight forwarder may issue the bill of lading on behalf of the carrier. The bill of lading must list the name of the shipper, consignee (the party receiving the shipment), and notify party (if applicable).

How Many Types of Bill of Lading Are There – And When Is the Bill of Lading Required?

The Bill of Lading is a document that documents the transfer of goods from a ship to another. It’s given out after a cargo container – which comprises the items you’re shipping – has been loaded onto a vessel and travels abroad. There are various types of Bill of Ladings, depending on the goal, commodities, and necessity.

In some cases, the bill of lading may be used as a form of payment for the goods being shipped. If this is the case, it is known as a negotiable bill of lading.

If you’re shipping goods by multiple modes of transport, you’ll need to use a multimodal bill of lading. This type of bill lists all of the different stages of transport, from loading onto the initial mode of transport to unloading from the final mode of transport.

Whether you’re shipping by sea, air, or land, it is important to ensure that you have a bill of lading in order to avoid delays in delivery.

Different types of bills of lading

There are three common types of bill of lading: Straight, Order, and Negotiable.

straight bill of lading can only be issued to the consignee that is indicated on the bill.

An order bill of lading can be issued to either the consignee or the shipper, depending on who pays for the shipment.

negotiable bill of lading can be transferred from one party to another, making it more like a contract.

Each type of bill of lading has its advantages and disadvantages, so it’s essential to choose the right one for your needs. When shipping goods, ensure that you have a bill of lading to protect your interests.

Types of bill of lading

  • Blank endorsed bill of lading
  • Inland bill of lading
  • On board bill of lading
  • Master bill of lading
  • Multimodal or through bill of lading
  • Release bill of lading
  • Short Form Bill of Lading
  • Straight Bill of Lading
  • Switch bill of lading

What is the difference between a negotiable or non-negotiable bill of lading?

A bill of lading can be either negotiable or non-negotiable. A negotiable bill of lading can be transferred from one party to another, and the title to the goods is passed along with the bill of lading.

Negotiable bill of ladings provides clear instructions to deliver to any person who possesses the original copy of a bill stating ownership of the freight and control of the freight. In such types of bills, the buyer/receiver or the agent must obtain & present an original copy of a bill of sale. The cargo cannot be released if there is no documentation on this document.

non-negotiable bill of lading cannot be transferred, and the title to the goods remains with the shipper. A bill of lading is typically used when goods are being shipped by sea, but it can also be used for other modes of transportation.

A non-negotiable bill: This type of delivery invoice specifies the consignee and the recipient to send and deliver the merchandise for shipment. Nevertheless, this cannot actually give the owner ownership over the goods.


A bill of lading is an important document in the shipping process. It serves as a contract between the shipper and carrier and outlines the terms of the shipment. There are many types of bills of lading, but accuracy is key when issuing one. 

If you need assistance with your intermodal shipping needs from or to Canada, contact Railgateway for a rail quote. We’re here to help make your shipping process as smooth as possible.