Which statement correctly distinguishes a bill of lading from a charterparty?

Which statement correctly distinguishes a bill of lading from a charterparty?

• A. A bill of lading evidences receipt of goods and is a contract of carriage, and often title; a charterparty is a contract between the shipowner and a charterer governing use of the vessel, including freight and laytime.
• B. A bill of lading evidences receipt of goods, but a charterparty is only an insurance agreement.
• C. A bill of lading evidences ship repairs; a charterparty evidences cargo ownership.
• D. A bill of lading governs use of the vessel; a charterparty proves cargo ownership.

Answer: (D)

In maritime law, the bill of lading and the charterparty serve different roles. A bill of lading records that the carrier has received the goods, sets the terms of their carriage, and often functions as a document of title to the cargo. A charterparty, on the other hand, is a contract between the shipowner and a charterer that governs how the vessel will be used—covering issues like freight and laytime, and other operational terms. It does not control the ship’s use under a bill of lading, nor does it prove cargo ownership. Cargo ownership is typically evidenced by the bill of lading (when used as a document of title), while the charterparty concerns the arrangement for the voyage itself.

In maritime law, the bill of lading and the charterparty serve different roles. A bill of lading records that the carrier has received the goods, sets the terms of their carriage, and often functions as a document of title to the cargo. A charterparty, on the other hand, is a contract between the shipowner and a charterer that governs how the vessel will be used—covering issues like freight and laytime, and other operational terms. It does not control the ship’s use under a bill of lading, nor does it prove cargo ownership. Cargo ownership is typically evidenced by the bill of lading (when used as a document of title), while the charterparty concerns the arrangement for the voyage itself.