BOL MEANS FOR FREIGHT SHIPPING
If you have ever shipped freight, you are likely familiar with the phrase “BOL.” Probably on your mind is the question, “What does BOL stand for?” “Bill of lading,” also known as “BOL,” is the name of an official document that is used for almost all freight shipments.
At FreightRun, we do more than just put customers in touch with reliable shippers. In order to give our clients a better shipping experience, we also want to educate them.
People will value a service more if they fully comprehend it. By properly educating you about freight shipping, we strive to equip you with the knowledge and resources you need to move your skids or crates as effectively as possible.
In light of this, we created this thorough guide to bill of lading formats. You’ll discover what they are, how they work, and how they can benefit you while shipping.
For all the information you require on this significant legal document, keep reading.
BOL – Definition of a Bill of Lading
We frequently get the question “what is a bill of lading?” alternatively, “What does BOL mean in shipping?” In essence, the paper gives a thorough list of the items being sent. Additionally, it is a legal contract between the shipper and the consignee. It contains all the information required for the carrier to handle your package and make sure it gets to you securely.
The shipper fills out a blank bill of lading to begin the process. A shipment may be released to the carrier for shipping once an original bill of lading has been issued.
A Bill of Lading Number’s definition
You will receive a BOL number in addition to your BOL. An example of a purchase order number is this. Your package has a specific identification number that is used to trace it throughout the shipping process. It doesn’t matter if you’re conveying anything significant or insignificant, urgent or not. Everyone wants their package to be able to be tracked. That is possible with this number.
Several variables can affect how a bill of lading’s number is formatted. On your form, the number should be easy to see.
What Distinguishes a BOL from a Freight Bill
This is a question that is frequently posed in relation to bills of lading and when transporting LTL cargo with common carriers. The freight bill is the invoice for the freight charges from the carrier or 3PL. However, a driver might ask a shipper, “And where are the bills?” after being shown the cargo they are shipping. By this, he means where is the bill of lading, not where is the freight invoice, as drivers typically never see a freight invoice. Others may use “freight bill“ interchangeably with “bill of lading” because a bill of lading is a document that lists the goods that are being transported, however this usage is largely an anachronism from the time when most goods were transported by railroad. The terms “freight bill” and “freight invoice” are now used interchangeably by drivers, their dispatchers, 3PLs, shippers, and receivers. “Bills of lading” can also be referred to as “bols.” “Freight bills” and “bols” may have been interchangeable when the railroad ruled, but they are no longer; to avoid confusion, never use the term “freight bill” when you really mean “bills of lading” or “bol.”
A BOL is still frequently referred to in the business as a freight bill, despite the fact that “bill of lading” is the more formal phrase.
What You Should Understand About a Bill of Lading
What do I need to know is the following question individuals ask after receiving an answer to “What does bill of lading mean?”
Numerous vital details about your package are included in your BOL. You can view the address from which the item was dispatched, the address to which it is intended to be delivered, the weight of the entire package, its freight class, and the kind of goods that are being shipped. There can also be some instructions about how the package should be delivered.
The form will typically also include the rules and regulations for the bill of lading that you and your carrier have agreed upon. The short form bill of lading that comes with some products, however, omits these terms and restrictions.
The DOT’s bill of lading regulations say that any shipment of any kind must have a BOL.
Utilizations of a Bill of Lading
Three key functions of the shipping bill of lading are carried out during the shipment procedure.
Shipping Agreement: Additionally, it serves as a binding contract between you and your carrier. The BOL can be used to ascertain the precise terms of both parties‘ agreement when you paid for your shipping in the event that there are any problems with the delivery of your goods or a dispute arises.
Who The Goods Belong To Is Defining:Providing information about the true owner of the products inside the package is another function of the BOL. This makes it more likely that your delivery will reach its destination and not fall into the wrong hands by accident.
What Person Issues the Bill of Lading?
The carrier (or the freight broker acting on the carrier’s behalf) issues the BOL for a package. The organization in charge of moving your package and making sure it arrives at your address promptly and safely is known as the carrier.
The shipper (the person sending the package) and the carrier (the person delivering the package) enter into a legal agreement when they both sign the bill of lading. The carrier will be held liable for any damage to the items being shipped if something goes wrong during transport.
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A bill of lading not only offers insurance to the sender of the goods but also to the carrier. Any objection from the sender of the package will be void if the carrier follows the instructions on the BOL form.
A bill of lading is advantageous for both parties as a result.
Bills of Lading Types
When it comes to bills of lading, there are numerous varieties. We’ve outlined the most prevalent BOL types in this article so you may review them.
Original Bill of Lading: This is the original document explaining the terms and conditions of your shipment that was signed by you (the shipper) and your carrier.
Straight Bill of Lading: This type of bill of lading is non-negotiable and calls for the delivery recipient to provide identity.
Bill of Lading “Order”: In many ways, this is the antithesis of a straight bill of lading. This document is negotiable, so as long as the BOL has been endorsed, the shipment may be delivered to whoever delivers it.
Express Bill of Lading: The shipping procedure is sped up by using this sort of BOL. A actual bill of lading is not generated when this is used, nor is one required to be shown upon delivery. This reduces costs and saves time.
To Assist You With Your Shipping Needs, Contact FreightRun
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