• Korea Trade Review
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• v.46 no.6
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• pp.93-107
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• 2021

The bill of lading serves to link imports and exports. It is the last document issued in the export process and is the most important document before import and export as it is the first document required for importers to take over goods. Transfer the right to the goods to be transported to another person through endorsement. The role and importance of the bill of lading has already been suggested in many previous studies and the trading partners are fully aware of it. In addition, all countries and international organizations recognized the importance and enacted various laws and systems in relation to possible legal problems and they have become customary in practice. However, trade fraud that exploits the characteristics of the bill of lading may occur. In order to solve this problem, various attempts related to the electronic rights transfer of the bill of lading began to be carried out, and many institutions and companies are still trying to develop a new system. As a result of these efforts, electronic bills of lading, such as bolero, appeared, and electronic bills of lading, which can transfer rights in an electronic way, appeared. Therefore, this study intends to present the feasibility of the introduction of smart bills of lading after examining the current status of electronic bills of lading and the introduction of block chain technology-based bills of lading.

• Korea Trade Review
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• v.48 no.4
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• pp.149-168
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• 2023

Through an examination and analysis of straight bills of lading and sea waybills in the context of English, U.S.A and Korean law, and relevant international conventions on maritime transport, the following results were obtained: Prior to the enactment of U.K.'s the Carriage of Goods by Sea Act in 1992, straight bills of lading had functional differences between countries. However, after the enactment of this law, negotiable bills of lading obtained the same legal status and functionality in both Korea and the United States, as well as in the UK. As for sea waybills, all three countries treated them with the same contractual and legal status. In other words, they serve as receipts for the transported goods and act as evidence of the maritime transportation contract. Nevertheless, they are non-negotiable, and the delivery of goods can be made to the consignee or their agent based on their identity. However, the transfer of ownership rights over the goods or acquisition of legal rights against the carrier cannot be achieved through the transfer or endorsement of Sea Waybills.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.12
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• pp.377-401
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• 1999

This study is focused on the privity of the contract of carriage of goods by sea, so to speak, privity between B/L holder and carrier by transfer of bill of lading, privity by attornment to delivery order and conflict between bills of lading and charterparty terms. Under a CIF contract, possession of the bill of lading is equivalent to possession of the goods, and delivery of the bill of lading to the buyer or to a third party may be effective to pass the property in the goods to such person. The bill of lading is a document of title enabling the holder to obtain credit from banks before the arrival of the goods, for the transfer of the bill of lading can operate as a pledge of the goods themselves. In addition, it is by virtue of the bill of lading that the buyer or his assignee can obtain redress against the carrier for any breach of its terms and of the contract of carriage that it evidences. In other words the bill of lading creates a privity between its holder and the carrier as if the contract was made between them. The use of delivery orders in overseas sales is commen where bulk cargoes are split into more parcels than there are bills of lading, and this practice gives rise to considerable difficulties. For example, where the holder of a bill of lading transferred one of the delivery orders to the buyer who presented it to the carrier and paid the freight of the goods to which the order related, it was held that there was a contract between the buyer and the carrier under which the carrier could be made liable in repect of damage to the goods. The contract was on the same terms as that evidenced by, or contained in, the bill of lading, which was expressly incorporated by reference in the delivery order. If the transferee of the delivery order presents it and claims the goods, he may also be taken to have offered to enter into an implied contract incorporating some of the terms of the contract of carriage ; and he will, on the carrier's acceptance of that offer, not only acquire rights, but also incur liabilities under that contract. Where the terms of the charterparties conflict with those of the bills of lading, it is interpreted as below. First, goods may be shipped in a ship chartered by the shipper directly from the shipowner. In that case any bill of lading issued by the shipowner operates, as between shipowner and charterer, as a mere receipt. But if the bill of lading has been indorsed to a third party, between that third party and carrier, the bill of lading will normally be the contract of carriage. Secondly, goods may be shipped by a seller on a ship chartered by the buyer for taking delivery of the goods under the contract of sale. If the seller takes a bill of lading in his own name and to his own order, the terms of that bill of lading would govern the contractual relations between seller and carrier. Thirdly, a ship may be chartered by her owner to a charterer and then subchartered by the chaterer to a shipper, to whom a bill of lading may later be issued by the shipowner. In such a case, the bill of lading is regarded as evidencing a contract of carriage between the shipowner and cargo-owners.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.43
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• pp.297-336
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• 2009

In modern industrial society carriage of dangerous goods by sea becomes more increasing than ever before. Dangerous goods are required for special care and handling in that shipment of dangerous goods could affect safety of the vessel and other cargoes. It is also true that dangerous goods could be used as a means of terrorism. his article investigates allocation of risk and liabilities between parties involved in the carriage of dangerous goods by sea. More specifically, this study examines principles of strict liability of the shipper in shipment of dangerous goods with some limitations based upon recent cases. Furthermore this article investigates the issues on identity of shipper who bears strict liability to the carrier where there exist actual or documentary shipper other than the contractual shipper. Lastly, whether it is reasonable that the transfer of strict liability to the transferee, who does not have opportunity to verify dangerous nature of the goods before shipment, by endorsing bills of lading will be discussed critically.

• Korea Trade Review
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• v.47 no.3
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• pp.191-209
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• 2022

Whether or not insurance policies are securities has been debated for nearly a century. The position of claiming that an insurance policy has securities properties is premised on the concomitant nature of the maritime cargo insurance policy to the bill of lading. However, in reality today, marine cargo insurance policies are transferred between parties involved in international trade as an integral part of the bill of lading, and the two securities go through the same distribution process. The issue of recognizing the securities properties of an insurance policy is particularly debated when the insurance policy is issued in a order or bearer form. In a normal insurance policy, the name of the right holder, such as the claimant, is written on the insurance policy, and it is not usually transferred by endorsement. In principle, insurance policies are interpreted as neither securities nor negotiable securities. Sometimes, research is being done on legal reform to respond to digitalization of securities, and bills of lading are the subject of research. If marine cargo insurance policies, which are sometimes premised on distribution, have securities properties, the status of the regulations on digitization of bills of lading currently being studied may be helpful for digitization of marine cargo insurance policies. Under these circumstances, the securities of marine cargo insurance policies are reviewed based on recent practices.

• Korea Trade Review
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• v.48 no.4
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• pp.303-320
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• 2023

Recently, import and export companies have been using T/T remittance and Surrender B/L more frequently than L/C when selecting the process and method of trade payment settlement. The new trade and logistics environment is thriving in the era of the Fourth Industrial Revolution (4IR). Document-based trade transactions are undergoing a digitalization as bills of lading or smart contracts are being developed. The purpose of this study is to verify whether exporters choose export payment types based on negotiating factors. In addition, we would like to discuss the application of the characteristics of the new trade and logistics environment. Data for analysis was collected through surveys. The collection method consisted of direct visits to the company, e-mail, fax, and online surveys. The survey distribution period is from February 1, 2023, to April 30, 2023. The questionnaire was distributed in 2,000 copies, and 447 copies were collected. The final 336 copies were used for analysis, excluding 111 copies that were deemed inappropriate for the purpose of this study. The results of the study are shown below. First, among the negotiating factors, the product differentiation of exporters did not significantly affect the selection of export payment types. Second, among the negotiating factors, the greater the purchasing advantage recognized by exporters, the higher the possibility of using the post-transfer method. In addition to analyzing the results, this study suggests that exporters should consider adopting new payment methods, such as blockchain technology-based bills of lading and trade finance platforms, to adapt to the characteristics of the evolving trade and logistics environment. Therefore, exporters should continue to show interest in initiatives aimed at digitizing trade documents as a response to the challenges posed by bills of lading. In future studies, it is necessary to address the lack of social awareness in Korea by conducting advanced research abroad.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.6
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• pp.11-51
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• 1993

This study is focused on the problems and the suggestions of proper ideas for solving them which are arisen from appling CIF, Incoterms 1990 into the contract of sale after reviewing of the contents of traditional CIF contract and the main changes of CIF, Incoterms 1990. This study summerized as follows: First, when the seller provide the buyer with non-negotiable sea waybill or inland waterway document instead of negotiable bill of lading, it is my feeling that the essence of symbolic delivery in traditional CIF contract is fading. And if the buyer has paid for the goods in advance, or a bank wishes to use the goods as security for a loan extended to the buyer, it is not sufficient that the buyer or the bank be named as consignee in a non-negotiable document. This is true because the seller by new instractions to the carrier could replace the named consignee with someone else. To protect the buyer or the bank it is therefore necessary that the original instructions from the seller to the carrier to deliver the goods to the named consignee be irrevocable. Second, CIF term can only be used for sea and inland waterway transport. When the ship's rail serves no practical purposes such as in the case of roll-on/roll-off or container traffic, CIP term instead of CIF term is more appropriate to use. Third, the EDI method still contains many legal and technical problems to be solved in order to be used thoroughly' in the international sale of goods. Therefore, the parties wishing to replace the traditional paper-based trade documents by electronic messages must exchange the agreement on EDI each other in order to prevent and sol ye unexpected problems. Forth, it may be that the goods are to be carried in bulk without such marking or naming of consignee as would amount to appropriation. Then the risk will not pass until effective appropriation has been made. Therefore, the seller needs to appropriate by issuing of separate bills of lading or delivery orders for parts of the bulk cargo. And in case the goods are bought while they are carried at sea, some problems on the passing of risk would arise. One possibility is that the buyer might have to assume risks which have already occured at the time when the contract of sale is entered into force. The other possibility would be to let the pissing of the risk concide with the time when the contract of sale is concluded. The parties are advised to ascertain the applicable law and any solution which might follow there form. Finally, Incoterms are restricted to deal with the main principles for the division of functions, costs and risks between the parties and the rest is left to their individual contract as supplemented by the custom of the trade, the individual terms of the contract of sale and the applicable law. Thus, the parties are advised to ascertain the applicable law on their individual contract of sale in order to solve the problems on the transfer of property, the remedy and so on.

• The Journal of Information Technology
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• v.6 no.4
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• pp.147-162
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• 2003

The technique of information-communication rapidly developed has made it possible for us to do business through Internet. Electronic commerce was increased rapidly by the explosive development of the inter and communication revolution. E-Commerce has created a fundamentally new way of conduction and will change drastically accepted ways of doing business. Normally international trade has been formulated in a way that exporters and importers meet face-to-face and contract and pay by letter of credits. For the global electronic commerce to vitalized, the outstanding matters should encourage the creation of infrastructure of information security and new models in the field of electronic payment systems, electronic commerce agreement for remedy, adapting electronic date interchange in transport documents and negotiability of electronic bills of lading. The payment systems such as electronic fund transfers, tradecard system and electronic letters of credits issued by SWIFT system permit the parties concerned(sellers, buyers ad service providers) to settle payment electronically. Still they are many limitations for complete international electronic transactions. The following measures have to be taken to vitalize electronic trade transactions. It is needed to acquire information security such as authenticity, integrity, non-repudiation and confidentiality. All kinds of documents need to be replaced by electronic date exchange and the legal structure of international convention, national law for electronic payment systems have to be completed. Also a detailed guide of the banking operation and developing rules for electronic letters of credits need to be provided to adopt eUCP rules for the electronic presentation of documents.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.19
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• pp.224-242
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• 2003

The author believes that the main task of study in international trade usage and practice is the management of transactional risks involved in international sale of goods. They are foreign exchange risks, transportation risks, credit risk, risk of miscommunication, etc. In most cases, these risks are more serious and enormous than those involved in domestic sales. Historically, the merchant adventurers organized the voyage abroad, secured trade finance, and went around the ocean with their own or consigned cargo until around the $mid-19^{th}$ century. They did business faceto-face at the trade fair or the open port where they maintained the local offices, so-called "Trading House"(商館). Thererfore, the transactional risks might have been one-sided either with the seller or the buyer. The bottomry seemed a typical arrangement for risk sharing among the interested parties to the adventure. In this way, such organizational arrangements coped with or bore the transactional risks. With the advent of ocean liner services and wireless communication across the national border in the $19^{th}$ century, the business of merchant adventurers developed toward the clear division of labor; sales by mercantile agents, and ocean transportation by the steam ship companies. The international banking helped the process to be accelerated. Then, bills of lading backed up by the statute made it possible to conduct documentary sales with a foreign partner in different country. Thus, FOB terms including ocean freight and CIF terms emerged gradually as standard trade terms in which transactional risks were allocated through negotiation between the seller and the buyer located in different countries. Both of them did not have to go abroad with their cargo. Instead, documentation in compliance with the terms of the contract(plus an L/C in some cases) must by 'strictly' fulfilled. In other words, the set of contractual documents must be tendered in advance of the arrival of the goods at port of discharge. Trust or reliance is placed on such contractual paper documents. However, the container transport services introduced as international intermodal transport since the late 1960s frequently caused the earlier arrival of the goods at the destination before the presentation of the set of paper documents, which may take 5 to 10% of the amount of transaction. In addition, the size of the container vessel required the speedy transport documentation before sailing from the port of loading. In these circumstances, computerized processing of transport related documents became essential for inexpensive transaction cost and uninterrupted distribution of the goods. Such computerization does not stop at the phase of transportation but extends to cover the whole process of international trade, transforming the documentary sales into less-paper trade and further into paperless trade, i.e., EDI or E-Commerce. Now we face the other side of the coin, which is data security and paperless transfer of legal rights and obligations. Unfortunately, these issues are not effectively covered by a set of contracts only. Obviously, EDI or E-Commerce is based on the common business process and harmonized system of various data codes as well as the standard message formats. This essential feature of E-Commerce needs effective coordination of different divisions of business and tight control over credit arrangements in addition to the standard contract of sales. In a few word, information does not alway invite "trust". Credit flows from people, or close organizational tie-ups. It is our common understanding that, without well-orchestrated organizational arrangements made by leading companies, E-Commerce does not work well for paperless trade. With such arrangements well in place, participating E-business members do not need to seriously care for credit risk. Finally, it is also clear that E-International Commerce must be linked up with a set of government EDIs such as NACCS, Port EDI, JETRAS, etc, in Japan. Therefore, there is still a long way before us to go for E-Commerce in practice, not on the top of information manager's desk.