Posted in Finance, Accounting and Economics Terms, Total Reads: 116
Definition: Clean Bill of Lading
Clean Bill Of Lading also called as Board Bill of lading is the certificate issued by the importer or recipient of goods supplied by the supplier, stating the condition, quantity of goods supplied is proper and defect free and after proper inspection of goods, the payment is released by the recipient.
Clean Bill of lading is one of the document required by the bank, if the mode of payment is letter of credit. On the contrary, if the product supplied is found to be defective then a foul Bill of Lading is issued by the recipient, stating the supply of goods is not as per the contract or agreement and payment cannot be released. Clean Bill of Lading is generally used in case of large shipment transported through ships.