Bills of Lading & LC Numbers – A Hidden Trap for Seafarers and Owners

 📜 Bills of Lading & LC Numbers – A Hidden Trap for Seafarers and Owners

🌊 Introduction

In shipping, even a small line on a document can decide the fate of a claim worth millions. One such “hidden trap” is the practice of inserting LC (Letter of Credit) numbers on Bills of Lading in Bangladesh.

At first glance, it looks harmless — just another number to help consignees clear their cargo. But in law, even that number can create assumptions about the cargo’s value, exposing shipowners and carriers to heavy liabilities. Let’s break this down in simple terms and see what lessons we, as a fraternity, must remember. ⚓✨

 

1. 📦 The LC Number Puzzle – Why It Matters

Imagine you’re a Master in Chittagong. The charterer insists: “Captain, please put the LC number on the Bill of Lading — otherwise the consignee will struggle with customs clearance.”

Seems like a harmless request, right? But here’s the catch: if the LC number appears, courts may later presume that the carrier knew the value of the cargo. And once that door is open, claims could pierce through your protection under package limitation rules.

💡 Lesson for Seafarers & Owners: A single number can shift millions in liability. Never underestimate the power of paperwork.

📌 Action: If forced to insert LC numbers, protect yourself with a clear clause (see below).

📌 Hashtags: #BillOfLading #CargoClaims #ShippingRisk

 

2. ⚖️ The Protective Clause – Your Legal Lifeline

So, what can we do if the consignee or bank insists on LC numbers being included? The good news is: there’s a safeguard.

A practical clause can be added on the face of the Bill of Lading:

"The invoice (L/C) number is said to be as inserted in the Bills of Lading as part of requirement for clearing the cargo at port of destination by the consignee and the carrier has no knowledge of same and furthermore the contents and the details including the commercial value of the cargoes are unknown to the carrier and the reference of the number will not prejudice any of the carrier's rights including but not limited to the right of package/weight limitation."

Yes, it’s a mouthful, but this single paragraph can protect owners, Masters, and managers from years of headaches.

💡 Lesson: Clauses are not just legal jargon — they’re shields that guard our rights.

📌 Hashtags: #MaritimeLaw #ShippingProtection #SmartShipping

 

3. 🚢 Practical Wisdom for Stakeholders

Let’s face it — paperwork is never fun. But every stakeholder has a role to play here:

👨‍✈️ Masters & Crew: Never sign blindly. If LC numbers are requested, ask managers for guidance before stamping.
🏢 Owners/Managers: Issue standing instructions to your vessels and align with charterers.
📑 Charterers & Traders: Understand that inserting LC numbers without protection increases exposure for all. Cooperate with clarity.
⚓ P&I Clubs & Lawyers: Always be on standby to provide templates and legal backing in tricky ports.

💡 Lesson: Shipping is teamwork. Protecting rights requires awareness at every level.

📌 Hashtags: #ShipOpsInsights #MaritimeTeamwork #ShippingLeadership

 

⚓ Final Anchor Note – Small Words, Big Impact

Friends, in shipping, storms don’t always come from the sea — they often come from paper. 🌊📜

An LC number on a Bill of Lading may look small, but it can decide the difference between protection and exposure. Always question, always clarify, and always protect your rights.

👉 Remember: Information is our compass, and clauses are our anchors.

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