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- Q120 - Deck General
1981. A vessel loads 5000 tons of manganese ore. The railroad cars that brought the ore to the vessel were previously loaded with iron ore so the ore is contaminated. The agent requests the Master to sign a Clean Bill of Lading and in return the shipper will give him a Letter of Indemnity. What is the best procedure to follow?
The Master must refuse to sign a Clean Bill of Lading when cargo is contaminated, as a Clean Bill of Lading represents a factual misrepresentation that cannot be legally remedied by a Letter of Indemnity and exposes the shipowner to legal and insurance risks; a claused Bill of Lading accurately describing the contamination is the appropriate action.
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