What is the main purpose of a bill of lading?

The bill of lading serves an essential role in the transportation of goods by acting as a formal written document that outlines the terms and conditions under which the goods are being transported. Its primary purpose is to serve as evidence of the contract between the shipper and the carrier, detailing items such as the kind and quantity of goods, the destination, and the responsibilities of all parties involved in the shipment.

By providing a clear record of the transaction, the bill of lading assists in the logistics of shipping and ensures that all parties understand their obligations. It is crucial for resolving disputes that may arise during transportation and serves as a receipt for the goods, confirming that the carrier has received them in the described condition.

This role is distinct from vehicle ownership registration, which pertains to legal ownership of a vehicle; recording maintenance activities, which is related to the upkeep of a vehicle; and applying for a driver's license, which involves proving one's capability to operate a vehicle legally. Each of these functions serves different purposes outside the context of transporting goods, underscoring the specific and critical nature of the bill of lading in commercial transportation.