What is the function of a Bill of Lading?

The function of a Bill of Lading is to serve as a receipt of property for shipment as well as evidence of property title. When goods are handed over to a carrier, the Bill of Lading acts as an official document that confirms the carrier has received the specified items. This document indicates the types, quantities, and conditions of the goods being transported.

Additionally, it provides critical proof of ownership or title, which can be essential in various transactions. This means that the party designated in the Bill of Lading has the rights to claim the goods upon arrival at the destination, making it a vital document in the shipping and logistics industry.

While options dealing with insurance coverage, proof of payment, or future delivery contracts are relevant to shipping and logistics, they do not reflect the primary role of the Bill of Lading, which combines receipt and title evidence in one document.