Shipper

The shipper is the party named in the shipper box of the bill of lading or waybill: the one that concludes the contract of carriage with the carrier, or in whose name it is concluded, and hands the cargo over. That is how the CTU Code, the international code of practice for packing containers, defines it, and it adds that the shipper is also known as the sender. On most exports the shipper is the exporter, but the name on the bill, not the sales contract, decides who the shipper is.

Shipper vs seller, exporter and consignor

• Seller: the party selling the goods. Depending on the Incoterm, the seller or the buyer books the main carriage, so the seller is not always the party that contracts with the ocean carrier
• Exporter: the party named on the export declaration. It is often, but not always, the shipper on the bill of lading
• Consignor: in the CTU Code, the party that prepares the consignment for transport. If it also contracts with the carrier it takes on the shipper's role, which is why shipper and consignor are often used as synonyms
• Under the Shipping Act: for FMC purposes "shipper" is wider. 46 U.S.C. 40102 counts a cargo owner, the person for whose account the ocean transportation is provided, the person to whom delivery is to be made, a shippers' association, and an NVOCC that accepts responsibility for the charges

What the law asks of the shipper

• Cargo particulars: under the Carriage of Goods by Sea Act (COGSA), on the shipper's demand the carrier issues a bill showing marks, number of packages or quantity, and weight as furnished in writing by the shipper (section 3(3)). The shipper is deemed to guarantee their accuracy and must indemnify the carrier for loss caused by inaccurate particulars (section 3(5))
• Dangerous goods: a shipper of dangerous goods the carrier did not knowingly accept is liable for the resulting damages and expenses (section 4(6))
• Otherwise, no fault, no liability: the shipper is not responsible for the carrier's loss arising without its own act, fault or neglect (section 4(3))
• Weight: under SOLAS the shipper declares the verified gross mass of each packed container before loading
• Packing: the CTU Code says the shipper remains responsible for any deficiency of the container caused by poor packing and securing, and should see that the cargo is fully and accurately described to the carrier

Shipper on the master and house bills

An NVOCC is, by statutory definition, a shipper in its relationship with the ocean carrier (46 U.S.C. 40102). So on a consolidated or forwarded shipment there are two shippers: the NVOCC or its origin agent on the carrier's master bill of lading, and the actual exporter on the NVOCC's house bill of lading.

Shipper's load and count

In a container sealed by the shipper, the carrier never sees the goods. For containerized cargo, CBP accepts a carrier's cargo declaration prepared on the basis of information furnished by the shipper, and the carrier may state that the quantity and description are based on the "shipper's load and count", abbreviated SLAC (19 CFR 4.7a). The same rule asks for the shipper's declared description and weight for a sealed container, which is why the shipper's own paperwork needs to be right.

Shipper vs consignee vs notify party

The consignee is the party the carrier delivers to. The notify party is only the party to be told when the goods arrive; under the US federal bills of lading law, naming one on a negotiable bill does not limit its negotiability and is not notice to a buyer of the goods of any right that party has in them (49 U.S.C. 80103(a)(2)).

On Airlift's lanes

On India to USA shipments the Indian exporter is usually the shipper on the house bill and the US importer the consignee. Airlift, an FMC-licensed NVOCC (OTI license 016162), is by statute a shipper in its relationship with the ocean carrier, so the master bill for that booking names Airlift or its origin office or agent as shipper.