The practice of issuance of switch bills of lading is considered - TopicsExpress

The practice of issuance of switch bills of lading is considered by many insurance companies, to be fraudulent depending upon the reasons why the switch bill of lading is required to be issued In order to protect themselves from any possible claims arising out of issuing switch bills of lading, the shipping line/agent have to ensure that : They are covered by their insurance for issuance of such switch bills of lading They should provide their insurance company with the exact reason for the issuance of the switch bill of lading They must have the written authority of the principal before issuing the switch bill of lading, if the issuing party is acting as agents for a shipping line or principal They must issue the switched bill only after collecting the first set of bills of lading as the dangers of two sets of original bills in circulation for the same cargo are many The switched set should not contain any information different to that of the original bill of lading, (like incorrect port of loading, or change in the condition and quantity of the cargo) If switch bills of lading contains misrepresentations, the carrier/agent will be at risk of claims from parties who have suffered a loss because of such misrepresentations If the agent has been asked by the principal to issue the switch bill of lading based on an indemnity from the customer, the agent should ensure to get the wording format from the principal and get the completed indemnity approved by the principal before issuing the switch bill of lading Origin: Shipping and Freight Contact Export Import Guru : exportimportguru@outlook

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