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bill of lading is an important document commonly used in shipping an international trade it is issued by the carrier usually the ship owner or a charterer we will address the functions of a bill of lading and the common issues arising from the perspective of a contractual carrier a bill of lading has three functions firstly it is a receipt of the goods shipped on board secondly it is evidence of the contract of carriage and thirdly it is usually a document of title the first function seems quite self-explanatory the bill of lading is a receipt prepared by the ship and is a record of the cargo provided by the shipper under article 3 rule 3 of the hague bisbee rules the carrier or master must issue to the shipper a bill of lading accurately describing the quantity and apparent order and condition of the goods shipped parties often disagree with the proposed descriptions of cargo or the proposed amounts of cargo under a bill of lading why well because the seller will want to ensure that