old customer make a lc:surrendered bl
how do you think about this term???
Surrender Bill of Lading (B/L) in LC
-
eel520
- Posts: 1
- Joined: Wed Sep 01, 2010 8:59 am
- First Name: timy
- Last Name: yang
- Organization: GEM
- Filter: Two Plus Two =: 4
-
ucp800
- Posts: 140
- Joined: Tue Aug 11, 2009 8:56 pm
- First Name: LEUNG
- Last Name: KING SANG
- Organization: WACHOVIA BANK N.A.
- Filter: Two Plus Two =: 4
surrender B/L
Hi,
The below question and answer from NH Duc may solve your enquiry :
quote
Surrender BL is commonly used where the voyage is short and the original BL may not get to the consignee in time.
To avoid demurrage possibly arising from the late arrival of the original BL, the consignee would arrange with the shipper to surrender the original BL to the shipping company at the port of lading, the shipping company will send a message (or fax the BLs that have been stamped “SURRENDERED”) to its agent at the port of discharge instructing its agent to effect deliver of the cargo to the consignee without production of the original BLs (as the shipper has surrendered the original BLs).
That explains why you sometimes come across LCs allowing surrendered BLs to be acceptable.
A surrender BL is normally issued to the order of the shipper. The shipper reserves the right to disposal of the cargo until he surrenders the duly endorsed BL to the shipping company and ask the shipping company to instruct its agent to deliver the cargo to the consignee indicated by the shipper.
full sets of original B/L, stamped as "surrender" however its "number of original" field is stated with "zero". How do we deal with that, in your opinion is it acceptable ?
Except for the stamped word “SURRENDERED” which is acceptable as per LC conditions, I think surrender BLs are still examined under appropriate transport articles of UCP 600. That a full set of surrendered BLs presented fails to indicate number of originals that have been issued or just indicates as “zero” is not complying with ISBP para 70 and para 93.
a surrendered BL not signed and stamped by the carrier are accepted by the customs authorities, at least in Vietnam, for clearance of the cargo as it is a normal practice that the surrendered BL and telex release may not be signed by the carrier.
It is also a normal practice that the shipping company may collect the original BL and return to the shipper only copies of surrendered BLs.
Notwithstanding with such a practice, I think whereas neither UCP 600 nor ICC opinions deal with this type of BL, a prudent bank would choose to be on the safe side to reject the
original surrendered BL that indicates the number of originals as zero .
unquote
The below question and answer from NH Duc may solve your enquiry :
quote
Surrender BL is commonly used where the voyage is short and the original BL may not get to the consignee in time.
To avoid demurrage possibly arising from the late arrival of the original BL, the consignee would arrange with the shipper to surrender the original BL to the shipping company at the port of lading, the shipping company will send a message (or fax the BLs that have been stamped “SURRENDERED”) to its agent at the port of discharge instructing its agent to effect deliver of the cargo to the consignee without production of the original BLs (as the shipper has surrendered the original BLs).
That explains why you sometimes come across LCs allowing surrendered BLs to be acceptable.
A surrender BL is normally issued to the order of the shipper. The shipper reserves the right to disposal of the cargo until he surrenders the duly endorsed BL to the shipping company and ask the shipping company to instruct its agent to deliver the cargo to the consignee indicated by the shipper.
full sets of original B/L, stamped as "surrender" however its "number of original" field is stated with "zero". How do we deal with that, in your opinion is it acceptable ?
Except for the stamped word “SURRENDERED” which is acceptable as per LC conditions, I think surrender BLs are still examined under appropriate transport articles of UCP 600. That a full set of surrendered BLs presented fails to indicate number of originals that have been issued or just indicates as “zero” is not complying with ISBP para 70 and para 93.
a surrendered BL not signed and stamped by the carrier are accepted by the customs authorities, at least in Vietnam, for clearance of the cargo as it is a normal practice that the surrendered BL and telex release may not be signed by the carrier.
It is also a normal practice that the shipping company may collect the original BL and return to the shipper only copies of surrendered BLs.
Notwithstanding with such a practice, I think whereas neither UCP 600 nor ICC opinions deal with this type of BL, a prudent bank would choose to be on the safe side to reject the
original surrendered BL that indicates the number of originals as zero .
unquote
-
ofei
- Posts: 93
- Joined: Tue Oct 28, 2008 8:51 am
actual practice
Hi,
I would say surrender BL should only appear in those payment by T/T(either open account or advanced payment). For LC transaction, it is unreasonable to require SUCH BL. The reason is very obvious, B/L is a key document in LC. Without presentation of orginal BLs, how will beneficiary be protected and asured that he will get paid?
I would say surrender BL should only appear in those payment by T/T(either open account or advanced payment). For LC transaction, it is unreasonable to require SUCH BL. The reason is very obvious, B/L is a key document in LC. Without presentation of orginal BLs, how will beneficiary be protected and asured that he will get paid?
-
SKP
- Posts: 3
- Joined: Wed Jan 10, 2018 3:06 pm
- First Name: sandeep
- Last Name: patil
- Organization: taiyo
- Filter: Two Plus Two =: 4
- Location: india
BL SURRENDER -TO ORDER
Namaste !
BL ISSUED SHOWING CONSIGNEE AS "TO ORDER" and importer name in notify col.
NOW, consignee want us to surrender all 3 OBL to carrier at origin port.
accordingly we approached to carrier but the denied to accept 3 OBL, stated reason is surprising me i.e. bl is consigned " TO ORDER"
Payment term : DA ( 50 days from the bl date)
Is carrier correct? please advice, how do i deal with it.
regards ,
sandeep patil
BL ISSUED SHOWING CONSIGNEE AS "TO ORDER" and importer name in notify col.
NOW, consignee want us to surrender all 3 OBL to carrier at origin port.
accordingly we approached to carrier but the denied to accept 3 OBL, stated reason is surprising me i.e. bl is consigned " TO ORDER"
Payment term : DA ( 50 days from the bl date)
Is carrier correct? please advice, how do i deal with it.
regards ,
sandeep patil
-
picant
- Posts: 2026
- Joined: Wed Aug 20, 2008 1:49 pm
IMHO....
Hi Pals,
I think that in this case consignee is not authorized, "to order" means to order of the shipper, so or the consignee is the shipper too or the shipper has endorsed the bill of lading in favour of the consignee.
In my experience, carrier will not issue b/l, but only gives a receipt to the shipper, then, when the shipper receives the payment, it authorizes its correpondent at Port of discharge to deliver the goods to the buyer.
by telex release or email release-
I will revert after having contact the carrier!
Ciao
I think that in this case consignee is not authorized, "to order" means to order of the shipper, so or the consignee is the shipper too or the shipper has endorsed the bill of lading in favour of the consignee.
In my experience, carrier will not issue b/l, but only gives a receipt to the shipper, then, when the shipper receives the payment, it authorizes its correpondent at Port of discharge to deliver the goods to the buyer.
by telex release or email release-
I will revert after having contact the carrier!
Ciao