NEWSLETTER-2019-metin

76 NEWSLETTER 2019 The Relation between Contract of Carriage by Sea and Bill of Lading* Att. Duygu Oner Introduction A contract of carriage may be defined as an agreement that is concluded between a carrier and a shipper for the carriage of goods by sea, in which a carrier, against the payment of freight, undertakes to deliver goods from one port to another. While concluding a contract of carriage, the negotiations are made by the shipper and the carrier, and the terms and conditions are established by the above-mentioned parties. In general, the contract of carriage is executed with the carrier by either the seller or the pur- chaser, depending on the terms of the sale agreement. However, in maritime trade, at times the contract of carriage provides a clause that the shipment shall be subject to the terms and conditions of the bill of lading, a document which is issued unilaterally at a later stage by the carrier. On the other hand, some bills of lading refer to the contract of carriage for the terms and conditions. Therefore, it is crucial to under- stand the relation between contracts of carriage and bills of lading, and the effects of these two documents on the parties to the carriage. Bill of Lading A bill of lading (“B/L”) is a bill, which is issued by the carrier, or by the captain, representing the carrier, setting forth details, type, quantity, and destination of the goods being carried. In maritime law, a B/L has three primary functions: It serves as a receipt of the cargo by the carrier; it proves the conclusion of a transport contract; and functions as a document of title. * Article of August 2019