International Standard Banking Practice

Road, Rail or Inland Waterway Transport Documents

Paragraph J1 to J20

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Application of UCP 600 article 24

J1) A requirement in a credit for the presentation of a transport document covering movement of goods by either road or rail or inland waterway means that UCP 600 article 24 is to be applied in the examination of that document.

Carrier, identification of the carrier and signing of a road, rail or inland waterway transport document

J2) a. A road, rail or inland waterway transport document is to be signed in the form described in UCP 600 sub-article 24 (a) (i) and to indicate the name of the carrier, identified as the carrier (except as stated in paragraph J4) (b)).

b. When a road, rail or inland waterway transport document is signed by a named branch of the carrier, the signature is considered to have been made by the carrier.

c. The term "carrier" includes terms such as "issuing carrier", "actual carrier", "succeeding carrier" and "contracting carrier".

J3) Any signature, stamp or notation of receipt of the goods is to appear to indicate that it has been made by:

a. the carrier, identified as the carrier; or

b. a named agent acting or signing for [or on behalf of] the carrier and indicating the name of the carrier, identified as the carrier, on whose behalf that agent is acting or signing; or

c. a railway company or railway station of departure.

J4) a. The term "carrier" need not appear on the signature line provided the transport document appears to be signed by the carrier or a named agent for [or on behalf of] the carrier, and the carrier is otherwise identified elsewhere in the transport document as the "carrier".

b. A rail transport document may bear a date stamp by the railway company or railway station of departure without indicating the name of the carrier or a named agent signing for [or on behalf of] the carrier.

Place of shipment and place of destination

J5) A road, rail or inland waterway transport document is to indicate the place of shipment and place of destination stated in the credit. When a credit indicates either of these places by also stating the country in which the place is located, the name of the country need not be stated.

J6) When a credit indicates a geographical area or range of places of shipment or destination (for example, "China" or "Shanghai, Beijing or Guangzhou"), a road, rail or inland waterway transport document is to indicate the actual place of shipment or destination, which is to be within that geographical area or range of places. A road, rail or inland waterway transport document need not indicate the geographical area.

Original and duplicate of a road, rail or inland waterway transport document

J7) a. A rail or inland waterway transport document is to be considered as an original whether or not it is so marked.

b. A road transport document is to indicate that it is the original for consignor or shipper (copy for sender) or bear no marking indicating for whom the document has been prepared.

c. Presentation of the original for consignor or shipper (copy for sender) of a road transport document or duplicate rail transport document shall suffice even when the credit requires presentation of a full set of the relevant transport documents.

d. A duplicate (often a carbon copy) of a rail transport document, authenticated by the signature or stamp of the railway company or the railway station of departure, is considered to be an original.

Consignee, order party and notify party

J8) a. When a credit requires a road or rail transport document to evidence that goods are consigned "to order of (named entity)", it may indicate that the goods are consigned to that entity, without mentioning "to order of".

b. When a credit requires a road or rail transport document to evidence that goods are consigned "to order" without naming the entity to whose order the goods are to be consigned, it is to indicate that the goods are consigned either to the issuing bank or the applicant, without the need to mention the words "to order".

c. When a credit requires an inland waterway transport document, paragraphs J8) (a) and (b) will apply except when the document is issued in the form of a bill of lading. In such event, the consignee field is to be completed according to the requirements of the credit.

J9) a. When a credit stipulates the details of one or more notify parties, a road, rail or inland waterway transport document may also indicate the details of one or more additional notify parties.

b. i. When a credit does not stipulate the details of a notify party, a road, rail or inland waterway transport document may indicate the details of any notify party and in any manner (except as stated in paragraph J9) (b) (ii)).

ii. When a credit does not stipulate the details of a notify party, but the details of the applicant appear as notify party on a road, rail or inland waterway transport document, and these details include the applicant's address and contact details, they are not to conflict with those stated in the credit.

J10) When a credit requires a road, rail or inland waterway transport document to evidence goods consigned to or to the order of "issuing bank" or "applicant" or notify "applicant" or "issuing bank", a road, rail or inland waterway transport document is to indicate the name of the issuing bank or applicant, as applicable, but need not indicate their respective addresses or any contact details that may be stated in the credit. A road or rail transport document need not also indicate "to order of", as stated in paragraph J8) (a).

J11) When the address and contact details of the applicant appear as part of the consignee or notify party details, they are not to conflict with those stated in the credit.

Transhipment, partial shipment and determining the presentation period when multiple road, rail or inland waterway transport documents are presented

J12) Transhipment is the unloading and reloading of goods from one means of conveyance to another within the same mode of transport (truck [lorry], train, barge, etc.,) during the carriage of those goods from the place of shipment, dispatch or carriage to the place of destination stated in the credit. When a road, rail or inland waterway transport document does not indicate unloading and reloading between these two places, it is not transhipment in the context of the credit and UCP 600 sub-articles 24 (d) and (e).

J13) Shipment on more than one means of conveyance (more than one truck [lorry], train, barge, etc.,) is a partial shipment, even when such means of conveyance leaves on the same day for the same destination.

J14) a. When a credit prohibits partial shipment, and more than one road, rail or inland waterway transport documents are presented covering shipment from one or more places of shipment, dispatch or carriage (as specifically allowed, or within a geographical area or range of places stated in the credit), each road, rail or inland waterway transport document is to indicate that it covers the shipment, dispatch or carriage of goods on the same means of conveyance and same journey and that the goods are destined for the same place of destination.

b. When a credit prohibits partial shipment, and more than one road, rail or inland waterway transport documents are presented in accordance with paragraph J14) (a) and incorporate different dates of shipment, the latest of these dates is to be used for the calculation of any presentation period, and must fall on or before the latest shipment date stated in the credit.

c. When partial shipment is allowed, and more than one road, rail or inland waterway transport documents are presented as part of a single presentation made under one covering schedule or letter and incorporate different dates of shipment, on different means of conveyance or the same means of conveyance for a different journey, the earliest of these dates is to be used for the calculation of any presentation period and each of these dates must fall on or before the latest shipment date stated in the credit.

Clean road, rail or inland waterway transport document

J15) A road, rail or inland waterway transport document is not to include a clause or clauses that expressly declare a defective condition of the goods or their packaging.

For example:

a. A clause on a road, rail or inland waterway transport document such as "packaging is not sufficient for the journey" or words of similar effect is an example of a clause expressly declaring a defective condition of the packaging.

b. A clause on a road, rail or inland waterway transport document such as "packaging may not be sufficient for the journey" or words of similar effect does not expressly declare a defective condition of the packaging.

J16) a. It is not necessary for the word "clean" to appear on a road, rail or inland waterway transport document even when the credit requires a road, rail or inland waterway transport document to be marked "clean" or "clean on board".

b. Deletion of the word "clean" on a road, rail or inland waterway transport document does not expressly declare a defective condition of the goods or their packaging.

Goods description

J17) A goods description indicated on a road, rail or inland waterway transport document may be in general terms not in conflict with the goods description in the credit.

Corrections and alterations ("corrections")

J18) Any correction of data on a road, rail or inland waterway transport document is to be authenticated. Such authentication is to appear to have been made by the carrier or any one of its named agents, who may be different from the agent that may have issued or signed the transport document, provided they are identified as an agent of the carrier.

J19) Copies of a road, rail or inland waterway transport document need not include any authentication of any corrections that may have been made on the original.

Freight

J20) a. A statement appearing on a road, rail or inland waterway transport document indicating the payment of freight need not be identical to that stated in the credit, but is not to conflict with data in that document, any other stipulated document or the credit. For example, when a credit requires a road, rail or inland waterway transport document to be marked "freight collect", it may be marked "freight payable at destination".

b. When a credit requires a road, rail or inland waterway transport document to indicate that freight has been prepaid or freight is to be collected at destination, this will also be fulfilled by the completion of boxes marked "Franco" (freight prepaid) or "Non-Franco" (freight to be collected).