Bill of Lading Types Explained: A Complete Guide (8 Types)

A bill of lading is the document a carrier issues for goods shipped by sea. It does three jobs. It is a receipt for the cargo, evidence of the contract of carriage and, in its negotiable form, a document of title. The type you use decides who can collect the goods and with what paper.

This guide explains bill of lading types by consignee, cargo condition and issuer. It also covers the three main release methods: original bills, sea waybills and telex release. It is written for exporters, importers and agents who deal with cargo moving to or from Iran.

What a bill of lading does

A bill of lading, often shortened to B/L, has three functions.

• Receipt: It confirms the carrier received the goods or loaded them on board.
• Evidence of contract: The conditions of carriage appear on the back or are incorporated by reference.
• Document of title: With a negotiable bill, whoever holds the original is entitled to the goods.

A typical B/L names the shipper, consignee, vessel, ports, cargo description, weight and number of packages. It also shows whether freight is prepaid or collect. That entry should match the delivery term in the sales contract. Our guide to Incoterms 2020 explains how terms split these costs.

Bill of lading types by consignee

The biggest difference lies in the consignee box.

• Straight bill: Goods go only to the named consignee. The bill cannot be endorsed to another party.
• Order bill: The holder can transfer title by endorsement. It is common in trade deals and letters of credit.
• Bearer bill: Whoever holds the original can claim the goods. It carries high risk and is rarely used.

Bill of lading types by cargo condition and loading status

A clean bill of lading says the carrier saw no damage or shortage on the cargo. A claused bill, sometimes called dirty, carries a remark about the goods or packing. Banks usually ask for a clean bill.

A shipped on board bill shows the goods were actually loaded. A received for shipment bill only records receipt, so loading is not yet certain. For sealed containers, carriers often add the phrase "said to contain", because they do not count the contents themselves.

Master, house and through bills of lading

The shipping line issues the master bill of lading. A forwarder or consolidator issues the house bill of lading to its own customer. In LCL, each shipper normally receives a house bill; our article on FCL vs LCL shipping shows how it differs from a full container. Not every customs authority accepts a house bill, so ask your broker which type is required.

A through bill of lading covers carriage beyond the port of discharge, up to an inland destination. In combined transport, a multimodal bill may be issued instead.

Original sets, sea waybills and telex release

A negotiable bill of lading is usually issued as a set of three originals. The consignee must present one original to the line or its agent to collect the cargo. If an original is lost or late, the cargo waits at the port.

A sea waybill is not a document of title. It needs no original for release, and the cargo goes to the named consignee. Many banks do not accept it under a letter of credit.

With a telex or express release, the shipper surrenders the original bills to the carrier at origin. Authority to release then reaches the destination electronically. Today this is usually done by email or through the carrier's system. Electronic bills of lading also exist, and the UNCITRAL model law on electronic transferable records supports them. Acceptance varies by country, bank and carrier, so confirm it before you rely on one.

Which boxes to check on the draft

Ask for a draft before the carrier issues the final set. Then check each box against the sales contract, the invoice and the letter of credit, if there is one.

• Shipper and consignee: Names and addresses must match the other documents exactly.
• Notify party: This is who the carrier informs on arrival. It is not always the owner of the goods.
• Vessel, voyage and ports: Loading and discharge ports must follow the contract.
• Cargo description, marks and numbers: Include container and seal numbers where they are shown.
• Weight and packages: They must agree with the packing list.
• Freight terms: Prepaid or collect must follow the delivery term.
• Number of originals: A line such as 3/3 shows how many originals were issued.

Send corrections in writing and keep a copy of each draft. If something is wrong, an early fix is cheaper than an amendment after the vessel sails.

Common bill of lading mistakes

• The consignee name or address differs from the letter of credit and the invoice.
• The cargo description, weight or quantity does not match the invoice and packing list.
• An order bill was not endorsed.
• The original set was sent late or lost.
• The draft B/L was not checked before issue.

Always compare the draft bill of lading with the sales contract and the credit terms before final issue. Corrections after issue cost time and money. Letters of credit follow rules published by the International Chamber of Commerce. For payment matters, and for current trade, banking and insurance restrictions, confirm with your bank or legal adviser.

Royan Logistic is a Tehran-based international freight and logistics company that coordinates sea freight together with customs coordination. See our sea freight and customs coordination pages. Rules change, so confirm current requirements with customs and the shipping line. For unfamiliar terms, use our freight glossary.

Frequently asked questions

Is a bill of lading the same as a CMR note?

No. A bill of lading covers carriage by sea and can be a document of title. A CMR note covers international road carriage and is not a document of title.

Can I collect cargo without the original bill of lading?

With a sea waybill or a telex release, yes, if the line and customs accept it. With a negotiable bill, you normally must present an original.

What is the difference between a straight and an order bill?

A straight bill delivers only to the named party. An order bill can be endorsed to transfer title and is more common with letters of credit.

Why does a clean bill of lading matter?

It shows the carrier received the cargo without visible defects. Banks usually require it under a letter of credit.

Plan your bill of lading with Royan Logistic

Tell us your route, cargo and delivery term, and we will help match the bill type to the shipment. Fill in the quote form to start.

Updated: October 11, 2026