How to Resolve B/L and D/O Title Disputes
Interlink編集部How to Organize and Resolve B/L and D/O Name Discrepancies
Organizing and resolving B/L and D/O name discrepancies is a practical process to identify at which procedural step an issue occurs when the Consignee on the B/L, the D/O issuer, the importer declared in customs, the actual cargo claimant, and the delivery destination do not match during the delivery of imported cargo.
In import cargo handling, even if the cargo has arrived at the port, CY, CFS, or warehouse, the cargo may not be released if the B/L names or D/O issuance conditions are not aligned. It is important here not to view the situation simply as a “name discrepancy,” but to distinguish which name affects which process step and verify accordingly.
This article clarifies the order in which to check actions such as D/O exchange, customs clearance, cargo delivery, B/L correction, Release Order, electronic B/L, and Switch B/L when name discrepancies occur. It does not delve into liability for misdelivery or specific legal responsibility assessments, focusing instead on the initial practical steps for issue resolution.
Scope Covered in This Article
| Issues Addressed | Content Covered in This Article | Points to Note |
|---|---|---|
| Discrepancies in Consignee on B/L | Confirm the relationship between the consignee listed on the B/L and the importer, cargo pick-up party, and delivery destination. | The consignee may be central to cargo delivery authority. |
| Differences in D/O Issuance Party | Verify whether the company requested to exchange the D/O has the authority to receive the cargo. | It is important not to confuse mere requesters with parties holding the authority. |
| Differences in Importer in Customs Declaration | Confirm the relationship among the importer, buyer on the invoice, cargo owner, and delivery destination. | Explanation of customs declaration name and actual trading practice may be required. |
| Differences in Actual Cargo Pick-Up Party | Confirm under whose instructions the warehouse company, delivery company, or agent takes delivery. | The pick-up party is not always the cargo rights holder. |
| Verification by Type of B/L | Confirm the differences between Original B/L, Surrender B/L, Sea Waybill, Telex Release, and Electronic B/L. | The basis of authority to verify varies depending on the type of B/L. |
| Occurrence of Additional Charges | Confirm the date of occurrence for storage fees, demurrage, detention, correction fees, and others. | Cause analysis and confirmation of cost deadlines should proceed simultaneously. |
Positioning of This Article
This article addresses the "resolution methods" when there is a discrepancy in the B/L name, D/O exchange, cargo delivery authority, or importer’s name. It is not a detailed explanation of specific terms or liability judgments but serves as an initial guide for practitioners to check what should be confirmed first and to identify where procedures are stalled.
For example, the meaning of Notify Party, liability for wrongful delivery, D/O exchange documents, B/L correction procedures, and the validity of customs declaration names are separate issues. This article aims to outline the name-related matters and determine the order of verification before entering those detailed considerations.
Overall Picture to Confirm First
When dealing with B/L and D/O name disputes, start by listing all parties involved. Clarify who the seller is, who the buyer is, who appears as the Consignee on the B/L, who is listed as the Notify Party, who is the importer in the customs declaration, and who will actually pick up the cargo.
Without this clarification, contacting the shipping line, NVOCC, customs broker, cargo owner, and overseas agents individually can obscure the root cause. In name disputes, it is essential to first separate the “roles of the parties involved” from the “names used in procedures.”
Relevant Parties to Verify
| Party to Verify | Reason for Verification | Points to Note When Names Differ | Example Reference Documents |
|---|---|---|---|
| Shipper | Confirm the shipper named at the time of B/L issuance. | B/L corrections or Switch B/L may require approval from the shipper. | B/L, Booking Information, Correction Request |
| Consignee on B/L | Confirm the principal party authorized to receive cargo delivery. | Do not confuse with Notify Party or delivery destination. | B/L, Sea Waybill, Electronic B/L Screen |
| Notify Party | Confirm the party to be notified on cargo arrival. | Being the notify party does not necessarily mean having cargo delivery authority. | B/L, Arrival Notice |
| Importer on Customs Declaration | Confirm under whose name the import declaration is made. | If different from the consignee or invoice buyer, explanation of the transaction relationship may be required. | Import Declaration Documents, Invoice, Contract |
| Buyer on Invoice | Confirm the buyer in the sales transaction. | If the buyer differs from the importer, explanation of import agency, trading company involvement, or group company transactions may be necessary. | Commercial Invoice, Contract |
| Actual Cargo Owner | Confirm who economically owns the cargo. | The document name may not match the actual owner of the cargo. | Sales Contract, Purchase Order, Payment Records |
| D/O Requester | Confirm the company requesting issuance of the Delivery Order. | Verify that the requester is the consignee or a legitimate authorized agent. | D/O Request, Power of Attorney, Release Order |
| Actual Pickup Party | Confirm who will physically receive the cargo at CY, CFS, or warehouse. | Delivery companies or warehouse operators act as agents and are not necessarily cargo rights holders. | Pickup Instruction, Delivery Request, Power of Attorney |
| Delivery Destination | Confirm the final delivery location for the cargo. | The delivery destination may differ from the consignee or importer. | Delivery Instruction, Delivery Request |
| Party Bearing Costs | Confirm who will bear any additional charges. | If verifying names takes time, storage fees and container charges may become a concern. | Quotation, Billing Terms, Email Instructions |
Verify the Type of B/L
The next step is to identify the type of B/L related to the cargo. Depending on whether it is an Original B/L, Surrender B/L, Sea Waybill, Telex Release, Electronic B/L, or other forms, the points to check will differ when proceeding with cargo delivery.
| Type of B/L | Main Points to Check | Common Causes of Delay | Practical Notes |
|---|---|---|---|
| Original B/L | Verify the original document, endorsements, consignee name, and bank involvement. | Original not arrived, insufficient endorsements, transfer of authority not confirmed if still in bank’s name. | Confirm not only possession of the original but also the chain of endorsements. |
| To Order B/L | Confirm continuous endorsement by shipper, bank, buyer, etc. | Missed endorsements, bank release not obtained, payment conditions incomplete. | Do not misunderstand the "To Order" field as merely a company name field. |
| Surrender B/L | Confirm whether the original has been collected or surrender processing completed at origin. | Surrender not confirmed, notification not received at destination. | Confirmation should come from the carrier side, not only from the cargo owner’s "already surrendered" notice. |
| Telex Release | Check if release instructions have been transmitted from origin to destination. | Telex release not received, discrepancies between instruction details and names. | Verify the release instruction recipient, B/L number, and consignee. |
| Sea Waybill | Confirm the relationship between the consignee on the Sea Waybill and the actual recipient. | Differences between consignee and the actual importer or receiver. | Since originals are not presented, instructions from the consignee or release orders may cause issues. |
| Electronic B/L | Verify authorized parties, transfer of authority, and release operations on the e-B/L platform. | Incomplete electronic authority transfer, unapproved operations, unclear release authority. | Check operation history and authorization status on the platform rather than paper originals. |
What to Confirm with Electronic B/L
For electronic B/Ls, the procedure differs from that of paper Original B/Ls. You need to verify on the electronic B/L platform being used who is recognized as the legitimate holder or authorized party.
In actual logistics practice, platforms such as Bolero, essDOCS, and WAVE BL are often employed. Although the names and screen layouts vary by platform, the essential points to confirm are the history of authority transfers, the current authorized party, whether release approval has been granted, and who is in a position to instruct cargo delivery.
With electronic B/Ls, the key is not who physically holds the original paper document, but whether electronic authority transfer has been completed, release operations have been finalized, and whether the destination side can verify this status. Even if you receive an email stating "authority transferred," if this cannot be confirmed on the platform, the D/O exchange or cargo delivery may not proceed.
Verification of Original B/L and To Order B/L
For Original B/Ls, it is essential to verify the presentation of the original document and the endorsements. In particular, when the Consignee field states “To Order” or “To Order of XXX Bank,” the authority to release the cargo is confirmed through the chain of endorsements.
In such cases, possession of the original B/L alone is insufficient. It is necessary to confirm that endorsements from the Shipper, bank, buyer, and others have been properly completed in sequence. If endorsements are missing or if the authority transfer remains under the bank’s name without confirmation, the exchange of the D/O or cargo release may be halted.
When transactions involve letters of credit or bank settlements, confirmation of the original B/L, endorsements, bank release orders, and payment terms may be required.
When a Switch B/L is Involved
In transactions via trading companies or triangular trades, Switch B/Ls may be issued. A Switch B/L replaces the originally issued B/L, changing details such as the Shipper, Consignee, Notify Party, and cargo description to reflect the actual transaction.
When a Switch B/L is involved, it is essential to verify which B/L is effectively circulating, whether the original B/L has been collected or invalidated, and if the Consignee on the new B/L has authority to receive the cargo.
A situation where both the original and new B/L appear valid simultaneously increases the risk of misdelivery or duplicate delivery. This article addresses the initial checks when a Switch B/L is suspected, while liability for compensation and limitations of responsibility after misdelivery are discussed separately.
Distinguishing Which Party Name Differs
There is no single case of name discrepancies. It is necessary to identify whether the difference is between the B/L name and the importer name, confusion between the Consignee and Notify Party, a difference between the D/O requestor and the Consignee, or if the actual pick-up party is a third party.
| Parties with Name Discrepancy | Common Situations | Procedures Likely to Be Held Up | Documents / Instructions to Confirm |
|---|---|---|---|
| Consignee and Importer differ | Trade via trading companies, import agency arrangements, intra-group transactions. | Customs clearance, D/O exchange. | Invoice, contractual documents, reason for declaring the importer. |
| Consignee and D/O requestor differ | When agents, customs brokers, or freight forwarders request D/O exchange. | D/O exchange. | Power of attorney, pick-up instructions, release order. |
| Consignee and actual pick-up party differ | When delivery companies, warehouse operators, or designated receiving parties perform pick-up. | Cargo release at CY, CFS, or warehouse. | Pick-up instructions, delivery request form, power of attorney. |
| Notify Party is requesting pick-up | When the arrival notice contact acts as the practical liaison. | D/O exchange, cargo release. | Instructions from the Consignee, authorization verification documents. |
| Name remains as the bank | L/C transactions, bank settlements, collateral transactions. | D/O exchange, cargo release. | Bank release order, endorsement, payment confirmation. |
| House B/L and Master B/L names are mismatched | NVOCC, freight forwarder arrangements, consolidated cargo. | Obtaining D/O from NVOCC, release to the actual cargo owner. | House B/L, Master B/L, surrender confirmation, carrier’s D/O. |
Check Whether the Process Is Stalled at D/O Exchange
If cargo delivery is not progressing, first confirm whether it is stalled at the D/O exchange stage. Even if customs clearance has been granted, if the D/O has not been issued, the cargo may not be released from the CY or CFS.
Common reasons for delays at the D/O exchange stage include non-arrival of the original B/L, insufficient endorsement, unconfirmed surrender, unconfirmed Telex Release, discrepancies in the consignee on the Sea Waybill, unpaid charges, failure to submit the Release Order, or unclear authority of the party requesting D/O issuance.
Check Whether Customs Clearance Is Being Held Up
Name-related issues can arise not only at the time of D/O exchange but also during customs clearance. If the B/L name differs from the importer declared in the import filing, the customs broker may verify the transactional relationships.
When the buyer on the invoice, importer, actual cargo owner, and delivery destination differ, it is necessary to explain why that company is listed as the importer in the declaration. This is especially important in cases of import agency, transactions where the declared name differs from the actual situation, dealings via trading companies, or inter-group company transactions. In such cases, organizing the customs declaration name and the actual transactional details is crucial.
Confirm Whether Cargo Release Authorization Is Causing a Hold-Up
Even if the D/O exchange and customs clearance are progressing, cargo release may still be delayed. This typically happens when the company physically picking up the cargo does not match the Consignee or authorized party listed on the B/L.
For example, when a warehouse or delivery company is retrieving the cargo, that company may not be the rightful holder of the cargo title. It is necessary to confirm on whose behalf they are collecting the cargo and whether there is an instruction or authorization from the Consignee.
Do Not Misinterpret Notify Party
A common issue in B/L and D/O name disputes is misunderstanding the Notify Party as the party authorized to receive the cargo. The Notify Party is simply the party to be notified upon cargo arrival.
Even if the company listed as the Notify Party requests a D/O exchange or cargo pickup, this alone does not grant automatic authority to release the cargo. It is necessary to confirm the Consignee, Release Order, delivery instructions, power of attorney, or similar documentation.
This article addresses the initial steps for resolving name disputes involving the Notify Party. When clarifying the role of the Notify Party in the B/L context, it is crucial to clearly distinguish between the notification recipient and the party authorized to take delivery.
Confirm Whether a Release Order Is Required
A Release Order may be used as an instruction document authorizing the release of cargo. When the Consignee on the Sea Waybill is a bank, a Release Order from the bank may be required for the actual importer to take delivery of the cargo.
Additionally, in cases such as letter of credit transactions, Bills of Lading in the name of a bank, transactions under the name of a foreign head office or trading company, cargo pickup by a different company, or instructions to the carrier at CY gate-out, multiple Release Orders or powers of attorney may be needed depending on the situation.
When the names differ, it is important to distinguish who is authorized to instruct cargo delivery and which Release Order is required for each procedure. This article addresses whether a Release Order is necessary, while the formats and detailed issuance procedures are organized as separate points for individual confirmation.
Determining Whether B/L Correction Is Necessary
Even when there is a discrepancy in the name, B/L correction is not always required. If the Consignee on the B/L is correct and the actual pickup is by an agent, it may be handled with a power of attorney or pickup instruction.
On the other hand, if the Consignee on the B/L itself is incorrect or under a different legal entity’s name, B/L correction may be necessary. Since confirming with the Shipper, carrier, NVOCC, overseas agents, banks, etc., is often required for B/L correction, it can take time.
| Situation | Need for B/L Correction | Possible Alternative Actions | Points to Note |
|---|---|---|---|
| Consignee is correct, but the delivery company picks up | Usually not required. | May be handled with pickup instruction or power of attorney. | Avoid mistaking the delivery company for the cargo rights holder. |
| Obvious misspelling in Consignee name | Correction may be required. | Confirm with the carrier if minor spelling variations are acceptable. | Check differences in corporate status, branch name, and address. |
| Consignee is a different legal entity than the original buyer | Correction is often necessary. | Confirm if Release Order or transfer of authority suffices. | This may involve authority issues rather than simple typographical errors. |
| Name remains under the bank | Depends on trading terms. | May be handled with bank Release Order or endorsement. | Payment terms and L/C conditions should be confirmed. |
| After Switch B/L, the name is unclear | Correction or re-confirmation may be necessary. | Confirm invalidation of the old B/L and validity of the new B/L. | Avoid leaving a double issuance condition unattended. |
| Authorized party on electronic B/L remains under old name | Requires electronic transfer of authority, not paper correction. | Confirm approval and transfer operations on the platform. | Ensure consistency between screen authority status and email instructions. |
Separately Confirm House B/L and Master B/L
In shipments involving NVOCCs or freight forwarders, both House B/L and Master B/L may exist. In such cases, it is necessary to separately verify whether the ownership issue arises on the House B/L side or the Master B/L side.
Even if the consignee on the House B/L is correct, if the processing on the Master B/L side is incomplete, the NVOCC may not be able to obtain the D/O from the carrier. Conversely, if the Master B/L processing is completed but surrender confirmation or consignee verification of the House B/L is not done, delivery to the actual cargo owner will not proceed.
Common Practical Issues
| Case | Issue | Confirmation Sources | Initial Actions |
|---|---|---|---|
| The consignee is Company A, the importer is Company B | The B/L name and customs declaration name do not match. | Shipper, customs broker, NVOCC, overseas agent. | Confirm the business relationship between Company A and Company B, and the reason why Company B is the importer. |
| The Notify Party requests D/O exchange | The notify party might be mistaken as the person authorized to take delivery. | Consignee, D/O issuer, Notify Party. | Confirm instructions or a power of attorney from the consignee. |
| Endorsement on Original B/L is incomplete | Documentary evidence of authority transfer is missing. | Shipper, bank, buyer, carrier. | Check the endorsement chain, bank release, and payment terms. |
| Claimed to be surrendered but not confirmed at destination | Release information between origin and destination does not match. | Overseas agent, NVOCC, carrier. | Verify surrender completion records, Telex Release instructions, and B/L number. |
| Consignee on Sea Waybill is a bank | The actual importer is not able to pick up the cargo directly. | Bank, buyer, customs broker, carrier. | Confirm bank Release Order or delivery instructions. |
| Validity of B/L after Switch B/L is unclear | The relationship between the old B/L and new B/L has not been clarified. | Overseas agent, NVOCC, carrier, shipper. | Confirm old B/L retrieval and invalidation, conditions for issuing new B/L, and consignee details. |
| Authority transfer on electronic B/L incomplete | Instructions by email and the authority status on the electronic B/L do not match. | Electronic B/L user, NVOCC, carrier, platform administrator. | Check current authority holder, transfer history, and release operation completion status. |
| Delivery company arrives to pick up cargo | It is unclear whether the delivery company holds cargo rights or acts only as an agent. | Consignee, shipper, delivery company, warehouse. | Confirm pick-up instructions, delivery requests, and power of attorney. |
Scope of Freight Forwarder Involvement
| Scenario | What the Freight Forwarder Can Confirm | What the Freight Forwarder Cannot Decide Alone | Practical Response |
|---|---|---|---|
| Before D/O Exchange | Type of B/L, Consignee, surrender status, presence of unpaid charges. | Ownership of cargo or completion of payment for goods. | Confirm release conditions with the carrier, NVOCC, or overseas agent. |
| Before Customs Clearance | B/L name, invoice, discrepancies in importer name. | Final legal validity of importer name. | Coordinate with the customs broker and request documentation explaining the trade relationship from the shipper. |
| Before Cargo Delivery | Consistency of consignee, delivery destination, D/O, and delivery instructions. | Substantive judgment whether the consignee is the true entitled party to the cargo. | Verify instructions, power of attorney, and release order from the consignee. |
| When Amending B/L | Content of amendment request, confirmations with related parties, consistency of documents after amendment. | Commercial flow judgment on whether the amendment is permissible under the sales contract. | Confirm involvement of the shipper, shipping company, NVOCC, and bank. |
| Involvement with Switch B/L | Old and new B/L numbers, issuers, consignees, and collection status. | Commercial validity of issuing a switch B/L. | Clarify the valid B/L to avoid risk of double delivery. |
| When Using Electronic B/L | Authorized users on the platform, release status, request confirmation of operation history. | Final legal judgment on the effect of electronic rights transfer. | Prioritize verification of the electronic status rather than paper documents. |
Specific Case 1: When the Consignee and Importer Are Different
There are cases where the Consignee on the B/L is overseas parent company A, the importer declared in Japan is Japanese corporation B, and the delivery destination is domestic warehouse C. In this situation, since the names are divided into three parties, it cannot be assumed simply that “Company B, as the importer, can take delivery.”
First, confirm whether Company A has instructed Company B to take delivery of the cargo, whether Company B has a reason to declare as the importer, and whether Company C is Company B’s delivery destination or entrusted party. If instructions from A to B, delivery directions from B to C, and importer explanations to the customs broker are all in place, organizing the D/O exchange and cargo handover can proceed more smoothly.
Specific Example 2: When the Notify Party Requests the D/O Exchange
The company listed as the Notify Party on the B/L sometimes receives the Arrival Notice and directly requests the D/O exchange. However, the Notify Party is only the contact for arrival notification and does not automatically have the authority to take delivery of the cargo.
In this case, it is necessary to confirm who the Consignee named on the B/L is, whether the Notify Party is acting as the Consignee's agent, and if there is any power of attorney or delivery instruction from the Consignee. While it is not uncommon for the Notify Party to serve as the operational contact, the authority to release the cargo and the role as arrival notification contact should be treated separately.
Specific Example 3: When Endorsements on the Original B/L Are Incomplete
Even when presenting the Original B/L, if the Consignee field is marked "To Order" or shows a bank’s name, cargo delivery may be withheld unless the chain of endorsements can be verified.
In such cases, it is necessary to confirm not only possession of the original B/L but also that endorsements by the Shipper, bank, and buyer are properly linked. When bank settlement is involved, it is also important to check for payment completion and the presence of a bank Release Order. Proceeding with the D/O exchange without resolving endorsement deficiencies could later jeopardize the ability to prove delivery to the rightful party.
Example 4: Incomplete Authority Transfer for Electronic B/L
With electronic B/Ls, even if parties have communicated via email that the B/L is "released" or "transferred," the consignee at the destination may be unable to proceed with cargo release if the authority transfer has not been finalized on the electronic B/L platform.
In such cases, verify the current authorized party on the electronic B/L, the history of authority transfers, the completion status of release operations, and the status visible to the destination side. Unlike paper B/Ls, the focus is on the electronic authority status rather than the physical whereabouts of the original document.
Simultaneously Confirm the Deadline for Cost Accrual
In case of name-related disputes, it is essential to confirm the date when additional costs begin to accrue, alongside identifying the root cause. Storage fees and container-related charges may continue to incur while exchanging the D/O or delivering cargo is on hold.
- CFS storage charges
- Demurrage
- Detention
- Costs for rescheduling gate-out bookings
- Cancellation fees for delivery vehicles
- Costs for rescheduling warehouse bookings at delivery destination
- B/L amendment fees
- D/O reissuance fees
If the verification of the name takes time, who bears the additional costs could become a subsequent issue. Therefore, it is important to promptly confirm the start dates for free time and storage fees, and share this information with all relevant parties.
Common Misunderstandings
| Misunderstanding | Actual Consideration | What Should Be Confirmed |
|---|---|---|
| If the Notify Party is listed, cargo can be collected | The Notify Party is the contact for notification and does not necessarily have the authority to take delivery. | Confirm instructions from the Consignee, power of attorney, or Release Order. |
| If under the importer's name, the D/O can naturally be obtained | The customs clearance name and delivery authority on the B/L are separate. | Verify the relationship with the Consignee and the condition for issuing the D/O. |
| If a D/O is issued, customs clearance is also complete | Exchanging the D/O and obtaining customs import permission are separate procedures. | Check the status of D/O exchange and customs clearance separately. |
| If it has been surrendered, cargo can be released immediately | Surrender or release instructions must be confirmed at the destination side. | Confirm the carrier’s verification status, B/L number, and release instructions. |
| The cargo can be released once the delivery company arrives | The delivery company acts as an agent and is not necessarily the cargo rights holder. | Confirm on whose request the pickup is made and obtain picking-up instructions. |
| Electronic B/L can be confirmed in the same way as paper B/L | With electronic B/L, the authorization status on the platform must be checked. | Confirm the current rights holder, transfer history, and release operations. |
Checklist Used by Freight Forwarders
In practice, organizing the following items into a list makes it easier to identify the root causes.
| Item to Confirm | Details to Record | Source for Confirmation | Impact if Unconfirmed |
|---|---|---|---|
| B/L Number | Enter the B/L number for the relevant cargo. | Carrier, NVOCC, Shipper. | There may be confusion over which shipment to inquire about. |
| Vessel Name & Voyage Number | Record the vessel name and voyage number. | Arrival Notice, B/L. | Could be mistaken for a different sailing. |
| Type of B/L | Original, Surrender, Sea Waybill, Telex Release, Electronic B/L, etc. | B/L, Overseas Agent, NVOCC. | May lead to incorrect identification of required documents. |
| Shipper | Record the shipper as shown on the B/L. | B/L, Booking Information. | Source to confirm B/L corrections may be unclear. |
| Consignee | Enter the consignee named on the B/L. | B/L, Sea Waybill, Electronic B/L. | Unable to confirm cargo release authority. |
| Notify Party | Record the designated arrival notice recipient. | B/L, Arrival Notice. | May confuse notification recipient and authorized party. |
| Importer | Record the importer as declared for customs clearance. | Customs Broker, Invoice. | Explanation of customs declaration name cannot be provided. |
| D/O Requestor | Enter the company requesting the D/O exchange. | D/O Request Form, Email. | Authority of the requestor cannot be verified. |
| Actual Cargo Receiver | Record the company taking delivery at CY, CFS, or warehouse. | Delivery Instruction, Pickup Order. | The risk of incorrect cargo release increases. |
| Delivery Destination | Enter the final delivery address. | Delivery Instruction, Transportation Arrangement. | Relationship between receiver and delivery destination remains unclear. |
| Missing Documents | List originals, endorsements, Release Orders, powers of attorney, etc. | Shipper, Bank, Carrier. | Cannot explain which documents are still outstanding. |
| Pending Procedures | Note any delays in D/O exchange, customs clearance, cargo release, B/L correction, etc. | Involved Parties. | Possibility of contacting incorrect parties. |
| Date Additional Charges Occurred | Record start dates for storage fees, demurrage, detention charges. | Carrier, CFS, Warehouse, Transportation Company. | Increased likelihood of disputes over cost responsibility. |
Decision Checklist
| Verification Stage | Party to Confirm With | Items to Verify | Actions If Issues Are Found |
|---|---|---|---|
| Before Cargo Arrival | Shipper, overseas agent, NVOCC. | B/L type, Consignee, Notify Party, surrender plan. | Confirm any name corrections or release conditions before receiving the Arrival Notice. |
| At D/O Exchange | Carrier, NVOCC, D/O counter. | D/O issuance conditions, originals, endorsements, surrender, unpaid fees. | Inform the shipper specifically about missing documents and points of contact for confirmation. |
| At Customs Clearance | Customs broker, importer, shipper. | Relationship among importer, invoice buyer, and cargo owner. | Request documents that can explain the transaction relationship. |
| At Cargo Delivery | Warehouse, delivery company, Consignee, shipper. | Who is actually taking delivery and under whose instruction. | Verify delivery instruction letters, power of attorney, and Release Order. |
| When Correcting B/L | Shipper, carrier, NVOCC, overseas agent, bank. | Correction details, collection of old documents, involvement of bank. | Share approval status, costs, and required time with all relevant parties. |
| When Using Electronic B/L | Electronic B/L user, NVOCC, carrier. | Current authorized party, transfer history of authority, completion status of release operation. | Hold delivery until the status is verifiable on the platform. |
Order of Explanation to the Cargo Owner
When explaining to the cargo owner, avoid emotional statements like "The name is different, so it's being held." Instead, clearly specify which procedure is delayed and the exact reason behind it.
- Has the cargo arrived?
- Has the D/O exchange been completed?
- Is the cause of delay related to the original B/L, endorsement, surrender, Telex Release, name discrepancy, costs, or Release Order?
- Whose instructions or documents are required?
- From when will additional charges start to accrue?
- Is a B/L correction necessary, or is a pickup instruction sufficient?
- How will the confirmation record be documented?
Explaining in this order makes it easier for the cargo owner to identify whom to contact and which documents they need to prepare.
Keep Records of Confirmations
In cases of B/L or D/O name disputes, it is important to keep records of all confirmations. Relying solely on verbal confirmation when releasing cargo can make it difficult to justify authority verification later on.
In particular, when the consignee is different from the actual cargo receiver, when the notify party requests pickup, when a release order is required, when correcting the B/L, when a switch B/L is involved, or when confirming authority transfers on electronic B/Ls, it is necessary to save emails, instructions, powers of attorney, correction requests, and approval records.
Pre-Confirmation to Prevent Troubles
Issues with B/L or D/O consignee names often arise after cargo arrival, causing delays in response. Ideally, verification of the names involved should be done before shipment, or at the latest at the time of B/L issuance or upon receipt of the Arrival Notice.
This pre-confirmation is especially important for transactions where the importer differs from the consignee, transactions through trading companies, triangular trade, import agency, B/Ls or Sea Waybills issued in a bank’s name, transactions involving both House B/L and Master B/L, those involving Switch B/Ls, and those using electronic B/Ls. Correcting such issues after B/L issuance or cargo arrival often results in higher costs and longer delays.
Summary
When addressing disputes over B/L and D/O names, it is essential to first clarify the roles of the parties involved. List the Consignee and Notify Party on the B/L, the importer, the D/O requester, the actual cargo receiver, the delivery destination, and the party responsible for costs to identify where any disconnections occur.
Next, distinguish the type of B/L, endorsements, To Order B/L, Switch B/L, Telex Release, electronic B/L, D/O exchange status, customs declaration name, necessity of a Release Order, need for B/L correction, and timing of additional cost occurrence.
In freight forwarder operations, it is fundamental not to handle name discrepancies based on intuition. Instead, verify with documentation whose authority is recognized for cargo delivery and retain this in a form that can be explained later.
