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Sourcing glossary

Bill of lading

Also known as: B/L, BOL, Ocean bill of lading

A document issued by an ocean carrier or its agent that acts as a receipt for the goods, evidence of the contract of carriage and, in its original negotiable form, a document of title needed to collect the cargo.

Whoever holds the original negotiable bill of lading controls the goods at the destination port. That is why many buyers pay the Chinese supplier's balance against a copy of the B/L: once paid, the supplier releases the originals, or asks the carrier for a telex release or issues a sea waybill so you can collect the cargo without paper originals.

Check the draft B/L before it is issued: shipper, consignee, notify party, port of loading and discharge, number of packages, weight and volume must match the commercial invoice and packing list. A forwarder's house B/L (HBL) and the shipping line's master B/L (MBL) are different documents; know which one you are receiving. See how to pay Chinese suppliers.

Related terms

Guides that use this term

Part of Shipping & Logistics.

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