Bill of lading

Sea transport is a component of world trade and has a history dating back to very ancient times. The bill of lading, one of the most important documents in this field, plays a critical role for both the carrier and the shipper during transportation operations. Although the bill of lading has been in use since the 14th century, it remains an essential transport document today. While the old Turkish Trade Code introduced certain regulations regarding the bill of lading, the Turkish Commercial Code No. 6102 (TCC) has established more comprehensive regulations in this area. Articles 1228 to 1245 of the TCC govern sea transport documents including the bill of lading.

Sea Transport Documents under the TCC

With the development of commercial activity, other sea transport documents besides the bill of lading have come into use. These include the sea waybill, ship’s delivery order, and electronic bill of lading like documents. Each document performs different functions during the transportation process.

• Sea Waybill: A document that emerged in the 19th century with the development of railway transport in the United States.

• Ship’s Delivery Order: A document that emerged in the 20th century, enabling goods to be sold to different consignees while still at sea.

• Electronic Transport Documents: These emerged as a result of the rapid advancement of electronic data exchange due to technological progress.

The TCC classifies these documents into two categories: the bill of lading and other sea transport documents. Article 1242 of the TCC states that documents issued by the carrier to confirm receipt of the goods for transport, other than the bill of lading, have the same evidentiary power. This provision acknowledges that the sea waybill is the most commonly used document and is known by different names in some countries.

Definition and Function of the Bill of Lading

Unlike the old Turkish Commercial Code, the TCC provides a formal definition of the bill of lading. According to this definition, “The bill of lading is a document that proves the existence of a contract of carriage, confirms that the goods have been received by the carrier or loaded onto the vessel, and obliges the carrier to deliver the goods only upon presentation of the document” (TCC Art. 1228). This definition aims to eliminate ambiguities regarding which transport documents qualify as bills of lading and which do not, particularly in international transport.

The fundamental functions of the bill of lading can be grouped under three headings:

• Evidence: The bill of lading serves as proof that a contract of carriage has been concluded.

• Receipt: It acts as a receipt confirming that the goods have been received by the carrier or loaded onto the vessel.

• Negotiable Instrument: The bill of lading is recognized as a negotiable instrument, meaning the carrier is obligated to deliver the goods only upon presentation of the document.

The TCC also specifies the methods of transfer of the bill of lading. It may be issued as named, to order, or to bearer. The most commonly used form is the bill of lading to order, which carries significant importance in the transfer of the contract of carriage and the associated rights.

Content of the Bill of Lading

Article 1229 of the TCC regulates the content of the bill of lading. In addition to the elements specified in the old Turkish Commercial Code, certain additional elements have been incorporated in accordance with Article 15 of the Hamburg Rules. The content of the bill of lading is of great importance for ensuring the accurate and complete execution of transport operations. In line with the Hamburg Rules, the content has been expanded to include additional entries relating to freight charges.

If the freight is to be paid by the shipper, the amount and method of payment must be stated in the bill of lading. Article 1229 of the TCC specifies that when the freight is payable by the shipper, this information must be clearly indicated. However, if the freight is not payable by the shipper, it must be paid by the carrier. This regulation contributes to greater transparency and clarity in transport contracts.