A Clean Bill of Lading is a legal document that states that the goods inside a particular shipment are safe and free from any sort of damage. It guarantees that the quantity of goods that were ordered and shipped is the same. A receiver can refuse to accept the delivery without a Clean Bill of lading, as the bill declares that the shipment is free from damage and the goods are in good condition inside the shipment. The Clean Bill of Lading is signed both by the carrier as well as the shipper. It guarantees that the goods received and placed on the vessel are in good condition with no apparent damage or defect1
For instance, to export jewellery from India
, the carrier initiates an inspection of the quantity in the shipment along with other details before issuing a Clean Bill of Lading. If there are any defects in the shipment, the carrier issues a Clause or Foul Bill of Lading instead of a Clean Bill of Lading.