It is an internationally accepted that the cargo should be delivered against the production of the original bill of lading, which is also the legal obligation of the carrier. In principle, the carrier should in all the circumstances deliver the cargo against the production of the original B/Ls. However, in practical point of view, strict adherence to the above said principle may lead to situations where the consignee could not take delivery of the cargo or take such delivery in time. In order to ensure the cargo could be delivered in time and to protect CSCL’s interests, the below regulation is drafted to serve as the guidance that the agents could refer to in dealing with the application from the cargo interests who wish to take delivery of the cargo without the production of original B/Ls.
When original Bills of Lading are lost or arrive late and the cargo interests apply for reissue of a new set of original Bs/L or delivery cargo against the letter of indemnity without production of the original Bills of Lading, the following requirements should be met before the cargo could be released.
Dear Tony
Pls guide the loading port agent's operation.(Pls note that it is prohibited to reissue the B/L without meeting the requirements of our agency operation manual.)
1) To declare the lost original Bs/L null and void in the main local mass media, and get the attestation in writing from the cargo interests;
2) Applicants shall provide formal written application;
3) Applicants shall provide the customs declaration letter and commercial invoice, as the evidence of the cargo value;
4) Both the shipper and consignee shall provide company Letter of Indemnity in CSCL’s form and the applicant shall provide first class bank’s Letter of Indemnity in CSCL’s form or cash deposit, with the amount no less than 200 percent of the invoice value (Please find the form for Letter of Indemnity in the attachments 1 to 2) . For cash guarantee, the blank for the amount in item 7 of the company L/G form must be filled in.
If the applicant request to reissue the full set of original bills of lading, the form of the attachment one should be applied; If the applicant request to deliver the cargo to the designated consignee with the Letter of Indemnity, the form of the attachment two should be applied;
5) In some circumstances where the cargo owners who have long cooperative relationship with CSCL and boast sound credit standing and respectability make the application to release the cargo without production of original B/Ls, after CSCL’s Business Support Divison’s making the evaluation of the risks involved and confirmation, the cargo could be released with the cargo interests’ Letter of Indemnity.
6) In any circumstances above mentioned, the agents of discharging port should be responsible for checking the identity of the final consignee, to make sure that the cargoes should be delivered to right party.
For any query related to implementation of the above said regulations, please contact with the Business Support Divison of CSCL.
Unquote
Since the requirements of the abovementioned have not been met, the cargo could not be released.