ICC Digital Library

International Standard Banking Practice

Non-negotiable Sea Waybill

Paragraph F1 to F25


Application of UCP 600 Article 21

F1) a. A requirement in a credit for the presentation of a non-negotiable sea waybill, covering a port-to-port shipment only, i.e., a credit that contains no reference to a place of receipt or taking in charge or place of final destination means that UCP 600 article 21 is to be applied in the examination of that document.

b. A non-negotiable sea waybill is not to contain any indication of a charter party as described in paragraphs G2) (a) and (b).

Issuance, carrier, identification of the carrier and signing of a non-negotiable sea waybill

F2) a. A non-negotiable sea waybill may be issued by any entity other than a carrier or master (captain) provided it meets the requirements of UCP 600 article 21.

b. When a credit indicates "Freight Forwarder's non-negotiable sea waybill is acceptable" or "House non-negotiable sea waybill is acceptable" or words of similar effect, a non-negotiable sea waybill may be signed by the issuing entity without it being necessary to indicate the capacity in which it has been signed or the name of the carrier.

F3) A stipulation in a credit that "Freight Forwarder's non-negotiable sea waybill is not acceptable" or "House non-negotiable sea waybill is not acceptable" or words of similar effect has no meaning in the context of the title, format, content or signing of a non-negotiable sea waybill unless the credit provides specific requirements detailing how the non-negotiable sea waybill is to be issued and signed. In the absence of these requirements, such a stipulation is to be disregarded, and the non-negotiable sea waybill presented is to be examined according to the requirements of UCP 600 article 21.

F4) a. A non-negotiable sea waybill is to be signed in the form described in UCP 600 sub-article 21 (a) (i) and to indicate the name of the carrier, identified as the carrier.

b. When a non-negotiable sea waybill is signed by a named branch of the carrier, the signature is considered to have been made by the carrier.

c. When an agent signs a non-negotiable sea waybill for [or on behalf of] the carrier, the agent is to be named and, in addition, to indicate that it is signing as "agent for (name), the carrier" or as "agent on behalf of (name), the carrier" or words of similar effect. When the carrier is identified elsewhere in the document as the "carrier", the named agent may sign, for example, as "agent for [or on behalf of] the carrier" without naming the carrier again.

d. When the master (captain) signs a non-negotiable sea waybill, the signature of the master (captain) is to be identified as the "master" ("captain"). The name of the master (captain) need not be stated.

e. When the master (captain) signs a non-negotiable sea waybill, the signature may be accompanied by a stamp that incorporates the name of the vessel. Even if the stamp also mentions the name of the owner, the non-negotiable sea waybill will be considered to have been signed by the master (captain). This stamp is often referred to as the ‘ship’s stamp’.

f. When an agent signs a non-negotiable sea waybill for [or on behalf of] the master (captain), the agent is to be named and, in addition, to indicate that it is signing as "agent for the master (or captain)", or as "agent on behalf of the master (or captain)" or words of similar effect. The name of the master (captain) need not be stated.

On board notation, date of shipment, pre-carriage, place of receipt and port of loading

F5) a. When a pre-printed "Shipped on board" non-negotiable sea waybill is presented, its issuance date will be deemed to be the date of shipment unless it bears a separate dated on board notation. In the latter event, such date will be deemed to be the date of shipment whether that date is before or after the issuance date of the non-negotiable sea waybill. The on board date may also be indicated in a designated field or box.

b. Notwithstanding that a credit may require a non-negotiable sea waybill to evidence a port-to-port shipment:

i. when a non-negotiable sea waybill indicates a place of receipt that is the same as the port of loading, for example, place of receipt Rotterdam CY and the port of loading Rotterdam, and there is no indication of a means of pre-carriage (either in the pre-carriage field or the place of receipt field); or

ii. when a non-negotiable sea waybill indicates a place of receipt different from the port of loading, for example, place of receipt Amsterdam and port of loading Rotterdam, and there is no indication of a means of pre-carriage (either in the pre-carriage field or the place of receipt field), then:

(a) when a non-negotiable sea waybill is pre-printed "shipped on board", the date of issue will be deemed to be the date of shipment, and no further on board notation is required.

(b) when a non-negotiable sea waybill is pre-printed "received for shipment", a dated on board notation is required, and the date appearing in the notation will be deemed to be the date of shipment. The on board date may also be indicated in a designated field or box.

c. Notwithstanding that a credit may require a non-negotiable sea waybill to evidence a port-to-port shipment, when a non-negotiable sea waybill:

i. indicates a place of receipt different from the port of loading, for example, place of receipt Amsterdam and port of loading Rotterdam, and there is an indication of a means of pre-carriage (either in the pre-carriage field or the place of receipt field), regardless of whether it is pre-printed "shipped on board" or "received for shipment", it is to bear a dated on board notation which also indicates the name of the vessel and the port of loading stated in the credit. Such notation may also appear in a designated field or box. The date appearing in the on board notation or designated field or box will be deemed to be the date of shipment.

ii. indicates a means of pre-carriage (either in the pre-carriage field or the place of receipt field), no matter if no place of receipt is stated or whether it is pre-printed "shipped on board" or "received for shipment", it is to bear a dated on board notation which also indicates the name of the vessel and the port of loading stated in the credit. Such notation may also appear in a designated field or box. The date appearing in the on board notation or designated field or box will be deemed to be the date of shipment.

d. When a non-negotiable sea waybill indicates wording such as "When the place of receipt box has been completed, any notation on this non-negotiable sea waybill of "on board", "loaded on board" or words of similar effect shall be deemed to be on board the means of transportation performing the carriage from the place of receipt to the port of loading" or words of similar effect, and if, in addition, the place of receipt box is completed, a non-negotiable sea waybill is to bear a dated on board notation. The dated on board notation is also to indicate the name of the vessel and the port of loading stated in the credit. Such notation may also appear in a designated field or box. The date appearing in the on board notation or designated field or box will be deemed to be the date of shipment.

e. The named port of loading, as required by the credit, should appear in the port of loading field on a non-negotiable sea waybill. 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.

f. A non-negotiable sea waybill is to indicate the port of loading stated in the credit. When a credit indicates the port of loading by also stating the country in which the port is located, the name of the country need not be stated.

g. When a credit indicates a geographical area or range of ports of loading (for example, "Any European Port" or "Hamburg, Rotterdam, Antwerp Port"), a non-negotiable sea waybill is to indicate the actual port of loading, which is to be within that geographical area or range of ports. A non-negotiable sea waybill need not indicate the geographical area.

h. When a non-negotiable sea waybill indicates more than one port of loading, it is to evidence an on board notation with the relevant on board date for each port of loading, regardless of whether it is pre-printed "received for shipment" or "shipped on board". For example, when a non-negotiable sea waybill indicates that shipment has been effected from Brisbane and Adelaide, a dated on board notation is required for both Brisbane and Adelaide.

F6) Terms such as "Shipped in apparent good order", "Laden on board", "Clean on board" or other phrases that incorporate "shipped" or "on board" have the same effect as the words "Shipped on board".

Port of discharge

F7) a. The named port of discharge, as required by the credit, should appear in the port of discharge field within a non-negotiable sea waybill.

b. However, the named port of discharge may be stated in the field headed "Place of final destination" or words of similar effect provided there is a notation evidencing that the port of discharge is that stated under "Place of final destination" or words of similar effect. For example, when a credit requires shipment to be effected to Felixstowe, but Felixstowe is shown as the place of final destination instead of the port of discharge, this may be evidenced by a notation stating "Port of discharge Felixstowe".

F8) A non-negotiable sea waybill is to indicate the port of discharge stated in the credit. When a credit indicates the port of discharge by also stating the country in which the port is located, the name of the country need not be stated.

F9) When a credit indicates a geographical area or range of ports of discharge (for example "Any European Port" or "Hamburg, Rotterdam, Antwerp Port"), a non-negotiable sea waybill is to indicate the actual port of discharge, which is to be within that geographical area or range of ports. A non-negotiable sea waybill need not indicate the geographical area.

Original non-negotiable sea waybill

F10) a. A non-negotiable sea waybill is to indicate the number of originals that have been issued.

b. Non-negotiable sea waybills marked "First Original", "Second Original", "Third Original", or "Original", "Duplicate", "Triplicate" or similar expressions are all originals.

Consignee, order party, shipper, and notify party

F11) a. When a credit requires a non-negotiable sea waybill to evidence that goods are consigned to a named entity, for example, "consigned to (named entity)", it is not to contain the expressions "to order" or "to order of" preceding the named entity, or the expression "or order" following the named entity, whether typed or pre-printed.

b. When a credit requires a non-negotiable sea waybill 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".

c. When a credit requires a non-negotiable sea waybill 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 to either the issuing bank or the applicant, without the need to mention the words "to order".

F12) a. When a credit stipulates the details of one or more notify parties, a non-negotiable sea waybill 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 non-negotiable sea waybill may indicate the details of any notify party and in any manner (except as stated in paragraph F12) (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 non-negotiable sea waybill, and these details include the applicant's address and contact details, they are not to conflict with those stated in the credit.

F13) When a credit requires a non-negotiable sea waybill to evidence goods consigned to "issuing bank" or "applicant" or notify "applicant" or "issuing bank", a non-negotiable sea waybill 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.

F14) 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 sets of non-negotiable sea waybills are presented

F15) Transhipment is the unloading and reloading of goods from one vessel to another during the carriage of those goods from the port of loading to the port of discharge stated in the credit. When a non-negotiable sea waybill does not indicate unloading and reloading between these two ports, it is not transhipment in the context of the credit and UCP 600 sub-articles 21 (b) and (c).

F16) Shipment on more than one vessel is a partial shipment, even if each vessel leaves on the same day for the same destination.

F17) a. When a credit prohibits partial shipment, and more than one set of original non-negotiable sea waybills are presented covering shipment from one or more ports of loading (as specifically allowed, or within a geographical area or range of ports stated in the credit), each set is to indicate that it covers the shipment of goods on the same vessel and same journey and that the goods are destined for the same port of discharge.

b. When a credit prohibits partial shipment, and more than one set of original non-negotiable sea waybills are presented in accordance with paragraph F17) (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 set of original non-negotiable sea waybills are presented as part of a single presentation made under one covering schedule or letter and incorporate different dates of shipment, on different vessels or the same vessel 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 non-negotiable sea waybill

F18) A non-negotiable sea waybill 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 non-negotiable sea waybill such as "packaging is not sufficient for the sea 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 non-negotiable sea waybill such as "packaging may not be sufficient for the sea journey" or words of similar effect does not expressly declare a defective condition of the packaging.

F19) a. It is not necessary for the word "clean" to appear on a non-negotiable sea waybill even when the credit requires a non-negotiable sea waybill to be marked "clean on board" or "clean".

b. Deletion of the word "clean" on a non-negotiable sea waybill does not expressly declare a defective condition of the goods or their packaging.

Goods description

F20) A goods description indicated on a non-negotiable sea waybill may be in general terms not in conflict with the goods description in the credit.

Indication of name and address of delivery agent at port of discharge

F21) When a credit requires a non-negotiable sea waybill to indicate the name, address and contact details of a delivery agent or words of similar effect, at or for the port of discharge, the address need not be one that is located at the port of discharge or within the same country as that of the port of discharge.

Corrections and alterations ("corrections")

F22) Any correction of data on a non-negotiable sea waybill is to be authenticated. Such authentication is to appear to have been made by the carrier, master (captain) or any one of their named agents, who may be different from the agent that may have issued or signed a non-negotiable sea waybill, provided they are identified as an agent of the carrier or the master (captain).

F23) Copies of a non-negotiable sea waybill need not include authentication of any corrections that may have been made on the original.

Freight and additional costs

F24) A statement appearing on a non-negotiable sea waybill 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 non-negotiable sea waybill to be marked "freight payable at destination", it may be marked "freight collect".

F25) a. When a credit states that costs additional to freight are not acceptable, a non-negotiable sea waybill is not to indicate that costs additional to the freight have been or will be incurred.

b. An indication of costs additional to freight may be made by express reference to additional costs or by the use of trade terms which refer to costs associated with the loading or unloading of goods, such as, but not limited to, Free In (FI), Free Out (FO), Free In and Out (FIO) and Free In and Out Stowed (FIOS).

c. Reference in a non-negotiable sea waybill to costs which may be levied, for example, as a result of a delay in unloading the goods, or after the goods have been unloaded (demurrage costs) or costs covering the late return of containers (detention costs) is not an indication of costs additional to freight.