NOTIFY PARTY; FREIGHT COLLECT AND FREIGHT PAYABLE AT DESTINATION; WHETHER A BOX, FIELD OR SPACE IS TO BE COMPLEDTED WITH A SIGNATURE

QUESTION

Dear Mr. Old Man,

LC requires:

FULL SET 3/3 ORGINAL CLEAN ON BOARD BILLS OF LADING MADE OUT TO ORDER AND BLANK ENDORESED, NOTIFY APPLICANT MARKED FREIGHT COLLECT.

Field 50 (Applicant):

ABC GMBH + CO.KG

DONAUWOERTHER STR.  3 – 5

866 RAIN AM LECH

DEUTSCHLAND

Bill of lading presented shows as follows:

1) Notify party shows the applicant’s name and address including telephone and fax numbers which is not required in the LC.

2) Freight payable at Hamburg i/o Freight collect

3) The box showing information about on board notation contains the wording “Signed for and on behalf of the Carrier”. However, it is not signed.

The issuing bank  raises the above discrepancies. Are the discrepancies valid?

Thank you.

TD

P/s: Please find attached the bill of lading

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ANSWER

Hi,

I don’t the discrepancies raised by the issuing bank are valid for refusal.

1) There is no discrepancy. I treat the telephone and fax numbers not required under the LC as additional information.

2) “Freight collect” is the same as “Freight payable at destination”. The bill of lading shows port of discharge and place of delivery as Hamburg. Therefore, the bill of lading that shows “Freight payable at Hamburg in this case is acceptable.

3) According to ISBP 745 paragraph A37,  the fact that a document has a box, field or space for a signature does not in itself mean that such box, field or space is to be completed with a signature.

The carrier or its agent is not required to sign in the box for on board information. The fact that the carrier has duly signed the bill of lading in the box “Place and date of issue” is sufficient.

Kind regards,

Mr. Old Man