Shipping freight can be a complicated process, with many steps and details to keep track of. However, one of the most critical aspects is the Bill of Lading or BOL. The BOL is a legal document that outlines the details of the shipment, including the type of cargo, the shipping method, and sometimes even the terms of the agreement between the shipper and the carrier. In this article, we’ll explore the importance of signing a BOL at pick-up and delivery to ensure the safe and successful transport of your goods.
The BOL serves as a critical document for both shippers and carriers alike. Here are a few reasons why:
- Legal Protection: When signing the BOL, at the moment of pick up, it must include all the items that are being transported on that trailer, and the conditions of the load must also be included, for this can serve in the future if a claim to the insurance agency must be placed. Always make sure to keep a copy of your signed BOL after pickup.
- Proof of Delivery: The BOL proves that the shipment was delivered in good condition, allowing you to confirm that your cargo arrived at its destination intact. If that is not the case, and you find damage to your load, then you must describe the damage in the BOL before signing it. Sometimes, when loads are damaged, some people may think not signing the BOL is the way to go, when in reality, signing with the proper description of the damages is the way to go. Always make sure to keep a copy of your signed BOL after delivery.
- Payment Verification: The BOL provides a record of the agreed-upon price and payment terms for the shipment, ensuring that the carrier receives the correct payment for your services. This is particularly important when paying in cash for transportation services. If you pay for your shipment in cash, you must make sure that it is reflected on the BOL or that you at least get a “paid invoice” from the carrier. This is unnecessary when working through a Freight Brokerage if the brokerage is billing you for the shipment.
Expert Reference: According to logistics expert Robert J. Bowman, from https://www.supplychainbrain.com/ “Proper documentation is essential in any shipping transaction. Without it, there can be confusion, delays, and even financial loss. The BOL is a critical part of that documentation and should never be overlooked.”
The BOL is a vital document in any shipping transaction, providing legal protection, proof of delivery, and payment verification. By ensuring that the BOL is properly signed and documented at both pick-up and delivery, you can protect your cargo and your business from unnecessary risk and financial loss.
What steps do you take to ensure that your shipping documentation is complete and accurate?