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Shipments cannot be executed without a Bill of Lading. BoLs must be issued for goods to travel from Point A to Point B. They are legally binding documents, and they often serve as proof of ownership over the goods being carried. A bill of lading also covers its role as the title to goods.
In the absence of bill of lading, if a person wishes to take delivery of the goods, then he has to prove that he is entitled to the possession of the goods and there is a reasonable explanation for such absence.
This document must accompany the shipped products, no matter the form of transportation, and must be signed by an authorized representative from the carrier, shipper, and receiver.
The carrier is not justified in delivering the goods to a cargo unless the bill of lading is produced, even if the carrier knows that he is the owner of the goods. Besides legal reasons, there can be practical reasons for this rule.
In order for the consignee or the receiver to gain the release of the shipment upon reaching the destination, at least one of the original bills must be signed by the importer or their agent. This document must be surrendered to the carrier.
Though not yet universally used, a telex release sent via email can replace the need to obtain the original BL to release shipped goods to the recipient. A telex release allows the carrier's agent to release the cargo at one port even though the original bill of lading may be at a different port.
The receiver can refuse a shipment if there is no clean bill of lading or a claused bill, which outlines damage to or missing quantities of goods in a shipment. Banks can refuse to advance funds if shipments come with a claused bill of lading.