QUESTION REGARDING ON BOARD NOTATION AND ISBP 745 E6

QUESTION

Hypothetical Case

LC requires marine bill of lading for port to port shipment with shipment to be effected from Central port, Mars and Different sets of bills of lading presented with below observations:-

Case 1:
PcV :
PoR : Central Port, Mars
V’l : MV-100
PoL: Central Port, Mars
TOB: Received for Shipment

Case 2:
PcV :
PoR : Central Port, Mars
V’l : MV-100
PoL : Outer port, Mars
TOB: Received for Shipment

Case 3:
PcV : FW-100
PoR :
V’l : MV-100
PoL: Central Port, Mars
TOB: Received for Shipment

Case 4:
PcV :
PoR : Insider Port, Mars
V’l : MV-100
PoL: Central Port, Mars
TOB: Received for Shipment

Case 5:
PcV : FW-100
PoR : Insider Port, Mars
V’l : MV-100
PoL: Central Port, Mars
TOB: Received for Shipment

Case 6:
PcV :
PoR : Insider Port, Mars
V’l : MV-100
PoL: Central Port, Mars
TOB: Pre-printed shipped on board but Text of BL shows that On board Stamp relates to shipment from PoR to PoL only.

N.B:
PoR: Place of Receipt/Place of taking In charge
V’L: Vessl Name
Pol: Port of Loading
PcV: Pre-carriage Vessel name
SoB: Shipped on board or similar impressions per E7 of ISBP

Our Understanding
For no. 1 and 4 simple dated on board notation will be acceptable
For no. 2, 3, 5 and 6, Dated on board notation must contain Name of port of loading and name of vessel (Not pre-carriage).

We seek expert opinion and advise in correct interpretation of ISBP Section E6.
(Posted by: Tauseef Abidi)
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ANSWER

Hi,

Paragraph E6 ISBP 745 is created based on “Recommendation of the Banking Commission in respect of the requirements for an On Board Notation” (Document No. 470/1128rev final – 22 April 2010).

Here below are 6 key principles I have summarized from Document No. 470/1128rev final:

1) Where a bill of lading is pre-printed “received for shipment” with or without a place of receipt and NO indication of a means of pre-carriage, a dated on board notation is required.

2) Where a bill of lading is pre-printed “received for shipment” with a place of receipt and AND an indication of a means of pre-carriage OR with an indication of a means of pre-carriage only, a dated on board notation is required with the name of the vessel and the port of loading.

3) Where a bill of lading is pre-printed “shipped on board” with an additional on board notation or completion of a box labeled “shipped on board date” with or without a place of receipt and NO indication of a means of pre-carriage, the date of on board notation is considered to be the date of shipment.

4) Where a bill of lading is pre-printed “shipped on board” with an additional on board notation or completion of a box labeled “shipped on board date” with a place of receipt and AND an indication of a means of pre-carriage OR with an indication of a means of pre-carriage only, the dated on board notation (the date of which will be considered to be the date of shipment) requires the addition of the name of the vessel and the port of loading.

5) Where a bill of lading is pre-printed “shipped on board” with or without a place of receipt and NO indication of a means of pre-carriage, the date of issue is considered to be the date of shipment.

6) Where a bill of lading is pre-printed “shipped on board” with a place of receipt and AND an indication of a means of pre-carriage OR with an indication of a means of pre-carriage only, a dated on board notation is required with the name of the vessel and the port of loading.
.
In view of the above, here is my answer to your question:
.
Case 1 requires a dated on board notation (see Principle 1 above).

Case 2 requires a dated on board notation with the name of the vessel and the port of loading stated in the credit, i.e., Central Port, Mars (that appears in the field “place of receipt”).

The above answer is based on ISBP 745 paragraph E5 (e), which says: “The named port of loading, as required by the credit, should appear in the port of loading field on a bill of lading. However, it may also be stated in the field headed “Place of receipt” or words of similar effect, provided there is a dated on board notation evidencing that the goods were shipped on board a named vessel at the port stated under “Place of receipt” or words of similar effect”.

Case 3 requires a dated on board notation with the name of vessel (that leaves the port of loading, i.e., MV-100) and the port of lading, i.e., Central Port, Mars (see Principle 2 above).

Case 4 requires a dated on board notation (see Principle 1 above).

Case 5 requires a dated on board notation with the name of vessel (that leaves the port of loading) and the port of lading, i.e., MV-100) and the port of lading, i.e., Central Port, Mars (see Principle 2 above).

For case 6, adding an additional separate dated on board notation with the name of the vessel and the port of loading seems superfluous but could help avoid dispute.

Kind regards,
N.H.Duc
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P/S: The above Q&A is quoted from DCPro Discussion Forum of 20 February, 2014