- ACT NO. 9 OF 1856 11th April, 1856 An Act to amend the Law relating to
Bills of Lading.
Preamble.-- Whereas by the custom of merchants a bill of lading of goods
being transferable by endorsement, the property in the goods may thereby
pass to the endorsee, but nevertheless all rights in respect of the
contract contained in the bill of lading continue in the original shipper
or owner, and it is expedient that such rights should pass with the
property; and whereas it frequently happens that the goods in respect of
which bills of lading purport to be signed have has been laden on board,
and it is proper that such bills of lading in the hands of a bona fide
holder for value should not be questioned by the master or other person
signing the same, on the ground of the goods not having been laden as
aforesaid: It is enacted is follows:-
1. Rights under bills of lading to vest in consignee of endorsee.-- Every
consignee of goods named in a bill of lading, and every endorsee of a bill
of lading to whom the property in the goods therein mentioned shall pass,
upon or by reason of such consignment or endorsement shall have
transferred to and vested in him all rights of suit, and be subject to the
same liabilities in respect of such goods as if the contract contained in
the bill of lading had been made with himself.
- 2. Not to affect right of stoppage in transitu of claims for
freight.-- Nothing herein contained shall prejudice or affect any right of
stoppage in transitu, 2[ or any right to claim freight against the
original shipper or owner, or any liability of the consignee or endorsee
by reason or in consequence of his being such consignee or endorsee, or of
his receipt of the goods by reason or in consequence of such consignment
or endorsement.
- 3. Bill of lading in hands of consignee, etc., conclusive evidence of
the shipment as against master, etc.-- Every bill of lading in the hands
of a consignee or endorsee for valuable consideration, representing goods
to have been shipped on board a vessel, shall be conclusive evidence of
such shipment as against the master or other person signing the same,
notwithstanding that such goods or some part thereof may not have been so
shipped, unless such holder of the bill of lading shall have had actual
notice at the time of receiving the same that the goods had not in fact
been laden on board: Provided that the master or other person so signing
may exonerate himself in respect of such misrepresentation, by showing
that it was caused without any default on his part, and wholly by the
fraud of the shipper, or of the holder, or some person under whom the
holder claims.
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- 1. Short title given by the Indian Short Titles Act, 1897 (14 of 1897
), s. 2 and Sch. This Act is based on the Bills of Landing Act, 1855 (18
and 19 Vict., c. 111). It has been declared to be in force in the whole of
India except Part B States and the Scheduled Districts, by the Laws Local
Extent Act, 1874 (15 of 1874 ), s. 3 Extended to former Part B States by
Act 18 of 1949, s. 4. Extended to Union territory of Pondicherry be Act 26
of 1968, s. 3 and Sch. It has been declared, by notification under s. 3
(a) of the Scheduled Districts Act, 1874 (14 of 1874 ), to be in force in
the following Scheduled Districts, namely:- West Jalpaiguri, see Gazette
of India, 1881, Pt. I p. 74. The Districts of Hazaribagh, Lohardaga (now
the Ranchi district, see Calcutta Gazette, 1899, Pt. I, p. 44), and
Manbhum, and Pargana Dalbhum and the Kolhan in the District of Singhbhum,
See Gazette of India, 1881, Pt. I, p. 504. Assam (except the North Lushai
Hills), see Gazette of India, 1897, Pt. I, p. 299.
- 2. As to stoppage in transit, see the Indian Contract Act, 1872 (9 of
1872 ), ss. 99- 106.
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- BCAS: 7103-1001
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