Claused Bill Of Lading

AAA

DEFINITION of 'Claused Bill Of Lading'

A bill of lading that shows a shortfall or damage in the delivered goods. Typically, if the shipped products deviate from the delivery specifications or expected quality, the receiver may declare a claused bill of lading.

Also known as a "dirty bill of lading" or "foul bill of lading."

INVESTOPEDIA EXPLAINS 'Claused Bill Of Lading'

Being issued a claused bill of lading can be troublesome for most exporters. If the goods are deemed damaged or some quantity is missing, the exporter may have difficulty receiving payment. Because most banks will refuse to accept any claused bills of lading, purchasers relying on letters of credit to pay for the goods will be unable to receive funds if the bill is foul.

RELATED TERMS
  1. Uniform Bill Of Lading

    An agreement between an exporter and a carrier regarding property ...
  2. Export

    A function of international trade whereby goods produced in one ...
  3. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a ...
  4. Supply Chain

    The network created amongst different companies producing, handling ...
  5. Bill Of Lading

    A legal document between the shipper of a particular good and ...
  6. Clean Bill Of Lading

    A bill of lading issued by a carrier declaring that the goods ...
Related Articles
  1. What Is International Trade?
    Personal Finance

    What Is International Trade?

  2. Getting Into International Investing ...
    Mutual Funds & ETFs

    Getting Into International Investing ...

  3. Global Trade And The Currency Market
    Forex Education

    Global Trade And The Currency Market

  4. What Is An Emerging Market Economy?
    Economics

    What Is An Emerging Market Economy?

comments powered by Disqus
Hot Definitions
  1. Passive ETF

    One of two types of exchange-traded funds (ETFs) available for investors. Passive ETFs are index funds that track a specific ...
  2. Walras' Law

    An economics law that suggests that the existence of excess supply in one market must be matched by excess demand in another ...
  3. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will ...
  4. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following: ...
  5. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  6. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious ...
Trading Center