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Lloyd's Maritime and Commercial Law Quarterly

ELECTRONIC BILLS OF LADING

Diana Faber*

Many shipping documents can be replaced by electronic messages without difficulty. However, electronic bills of lading give rise to legal and technological problems. This paper tackles the legal issues, leaving the technology to computer experts. The first part covers the inception of electronic communication in the maritime transport industry and indicates some of the alternative procedures that could be adopted for electronic bills of lading. Secondly, there is an outline of the preliminary requirements for communication by electronic data interchange. The third part reviews some of the practical and legal obstacles to the use of electronic bills. Lastly, the paper considers solutions to the problems to which such bills give rise. This is done first by reference to published proposals and secondly by reviewing solutions which are either unpublished or, if published, are not widely available.

I. ADVANCES IN TECHNOLOGY: EFFECT ON SHIPPING

At the same time as radical advances in computer technology are taking place, the transport industry has itself been making great strides technologically.1 It was the development of containerization that led to the introduction of electronic data interchange into the world of shipping documentation. Computers provide the most accurate methods of record-keeping and communication of information in respect of very large numbers of containers. Containerized goods are rarely sold at sea. They are often carried from one sister company to another. Thus, there is no need for a document of title to be issued for them. Such voyages are often very short so that the use of bills of lading, which have to be sent to and presented at the discharge port, leads to delay in delivery. A sea waybill is the best form of documentation for such a trade as it does not have to be produced before delivery of the goods is effected. In these circumstances the use of computerized waybills has become widespread. The initial booking information is given to the carrier by the shipper’s computer. The sea waybill is issued by the carrier’s computer and need never take the form of a piece of paper. Delivery instructions are given by computer. These developments have increased the speed at which business can be done and the accuracy of the information passing between those involved. Sea waybills are the most popular form of transport document in the modem shipping world in part because their absence

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