2005 Illinois 810 ILCS 5/ Uniform Commercial Code. Part 3 - Bills Of Lading: Special Provisions
(810 ILCS 5/Art. 7 Pt. 3 heading)
PART 3.
BILLS OF LADING: SPECIAL PROVISIONS
(810 ILCS 5/7‑301) (from Ch. 26, par. 7‑301)
Sec. 7‑301.
Liability for non‑receipt or misdescription; "said to contain"; "shipper's
load and count"; improper handling.
(1) A consignee of a non‑negotiable bill who has given value in good
faith or a holder to whom a negotiable bill has been duly negotiated
relying in either case upon the description therein of the goods, or upon
the date therein shown, may recover from the issuer damages caused by the
misdating of the bill or the non‑receipt or misdescription of the goods,
except to the extent that the document indicates that the issuer does not
know whether any part or all of the goods in fact were received or conform
to the description, as where the description is in terms of marks or labels
or kind, quantity, or condition or the receipt or description is qualified
by "contents or condition of contents of packages unknown", "said to
contain", "shipper's weight, load and count" or the like, if such
indication be true.
(2) When goods are loaded by an issuer who is a common carrier, the
issuer must count the packages of goods if package freight and ascertain
the kind and quantity if bulk freight. In such cases "shipper's weight,
load and count" or other words indicating that the description was made by
the shipper are ineffective except as to freight concealed by packages.
(3) When bulk freight is loaded by a shipper who makes available to the
issuer adequate facilities for weighing such freight, an issuer who is a
common carrier must ascertain the kind and quantity within a reasonable
time after receiving the written request of the shipper to do so. In such
cases "shipper's weight" or other words of like purport are ineffective.
(4) The issuer may by inserting in the bill the words "shipper's weight,
load and count" or other words of like purport indicate that the goods were
loaded by the shipper; and if such statement be true the issuer shall not
be liable for damages caused by the improper loading. But their omission
does not imply liability for such damages.
(5) The shipper shall be deemed to have guaranteed to the issuer the
accuracy at the time of shipment of the description, marks, labels, number,
kind, quantity, condition and weight, as furnished by him; and the shipper
shall indemnify the issuer against damage caused by inaccuracies in such
particulars. The right of the issuer to such indemnity shall in no way
limit his responsibility and liability under the contract of carriage to
any person other than the shipper.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑302) (from Ch. 26, par. 7‑302)
Sec. 7‑302.
Through bills of lading and similar documents.
(1) The issuer of a through bill of lading or other document embodying
an undertaking to be performed in part by persons acting as its agents or
by connecting carriers is liable to anyone entitled to recover on the
document for any breach by such other persons or by a connecting carrier of
its obligation under the document but to the extent that the bill covers an
undertaking to be performed overseas or in territory not contiguous to the
continental United States or an undertaking including matters other than
transportation this liability may be varied by agreement of the parties.
(2) Where goods covered by a through bill of lading or other document
embodying an undertaking to be performed in part by persons other than the
issuer are received by any such person, he is subject with respect to his
own performance while the goods are in his possession to the obligation of
the issuer. His obligation is discharged by delivery of the goods to
another such person pursuant to the document, and does not include
liability for breach by any other such persons or by the issuer.
(3) The issuer of such through bill of lading or other document shall be
entitled to recover from the connecting carrier or such other person in
possession of the goods when the breach of the obligation under the
document occurred, the amount it may be required to pay to anyone entitled
to recover on the document therefor, as may be evidenced by any receipt,
judgment, or transcript thereof, and the amount of any expense reasonably
incurred by it in defending any action brought by anyone entitled to
recover on the document therefor.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑303) (from Ch. 26, par. 7‑303)
Sec. 7‑303.
Diversion; reconsignment; change of instructions.
(1) Unless the bill of lading otherwise provides, the carrier may
deliver the goods to a person or destination other than that stated in the
bill or may otherwise dispose of the goods on instructions from
(a) the holder of a negotiable bill; or
(b) the consignor on a non‑negotiable bill notwithstanding contrary
instructions from the consignee; or
(c) the consignee on a non‑negotiable bill in the absence of contrary
instructions from the consignor, if the goods have arrived at the billed
destination or if the consignee is in possession of the bill; or
(d) the consignee on a non‑negotiable bill if he is entitled as
against the consignor to dispose of them.
(2) Unless such instructions are noted on a negotiable bill of lading, a
person to whom the bill is duly negotiated can hold the bailee according to
the original terms.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑304) (from Ch. 26, par. 7‑304)
Sec. 7‑304.
Bills of lading in a set.
(1) Except where customary in overseas transportation, a bill of lading
must not be issued in a set of parts. The issuer is liable for damages
caused by violation of this subsection.
(2) Where a bill of lading is lawfully drawn in a set of parts, each of
which is numbered and expressed to be valid only if the goods have not been
delivered against any other part, the whole of the parts constitute one
bill.
(3) Where a bill of lading is lawfully issued in a set of parts and
different parts are negotiated to different persons, the title of the
holder to whom the first due negotiation is made prevails as to both the
document and the goods even though any later holder may have received the
goods from the carrier in good faith and discharged the carrier's
obligation by surrender of his part.
(4) Any person who negotiates or transfers a single part of a bill of
lading drawn in a set is liable to holders of that part as if it were the
whole set.
(5) The bailee is obliged to deliver in accordance with Part 4 of this
Article against the first presented part of a bill of lading lawfully drawn
in a set. Such delivery discharges the bailee's obligation on the whole
bill.
(Source: Laws 1961, 1st S.S., p. 7.)
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(810 ILCS 5/7‑305) (from Ch. 26, par. 7‑305)
Sec. 7‑305.
Destination bills.
(1) Instead of issuing a bill of lading to the consignor at the place of
shipment a carrier may at the request of the consignor procure the bill to
be issued at destination or at any other place designated in the request.
(2) Upon request of anyone entitled as against the carrier to control
the goods while in transit and on surrender of any outstanding bill of
lading or other receipt covering such goods, the issuer may procure a
substitute bill to be issued at any place designated in the request.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑306) (from Ch. 26, par. 7‑306)
Sec. 7‑306.
Altered bills of lading.
An unauthorized alteration or filling in of a blank in a bill of lading
leaves the bill enforceable according to its original tenor.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑307) (from Ch. 26, par. 7‑307)
Sec. 7‑307.
Lien
of carrier.
(1) A carrier has a lien on the goods covered by a bill of lading for
charges subsequent to the date of its receipt of the goods for storage or
transportation (including demurrage and terminal charges) and for expenses
necessary for preservation of the goods incident to their transportation or
reasonably incurred in their sale pursuant to law. But against a purchaser
for value of a negotiable bill of lading a carrier's lien is limited to
charges stated in the bill or the applicable tariffs, or if no charges are
stated then to a reasonable charge.
(2) A lien for charges and expenses under subsection (1) on goods which
the carrier was required by law to receive for transportation is effective
against the consignor or any person entitled to the goods unless the
carrier had notice that the consignor lacked authority to subject the goods
to such charges and expenses. Any other lien under subsection (1) is
effective against the consignor and any person who permitted the bailor to
have control or possession of the goods unless the carrier had notice that
the bailor lacked such authority.
(3) A carrier loses his lien on any goods which he voluntarily delivers
or which he unjustifiably refuses to deliver.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑308) (from Ch. 26, par. 7‑308)
Sec. 7‑308.
Enforcement of carrier's lien.
(1) A carrier's lien may be enforced by public or private sale of
the goods, in block or in parcels, at any time or place and on any terms
which are commercially reasonable, after notifying all persons known to
claim an interest in the goods. Such notification must include a
statement of the amount due, the nature of the proposed sale and the
time and place of any public sale. The fact that a better price could
have been obtained by a sale at a different time or in a different method
from that selected by the carrier is not of itself sufficient to
establish that the sale was not made in a commercially reasonable
manner. If the carrier either sells the goods in the usual manner in any
recognized market therefor or if he sells at the price current in such
market at the time of his sale or if he has otherwise sold in conformity
with commercially reasonable practices among dealers in the type of
goods sold he has sold in a commercially reasonable manner. A sale of
more goods than apparently necessary to be offered to ensure
satisfaction of the obligation is not commercially reasonable except in
cases covered by the preceding sentence.
(2) Before any sale pursuant to this Section any person claiming a
right in the goods may pay the amount necessary to satisfy the lien and
the reasonable expenses incurred under this section. In that event the
goods must not be sold, but must be retained by the carrier subject to
the terms of the bill and this Article.
(3) The carrier may buy at any public sale pursuant to this Section.
(4) A purchaser in good faith of goods sold to enforce a carrier's
lien takes the goods free of any rights of persons against whom the lien
was valid, despite noncompliance by the carrier with the requirements of
this Section.
(5) The carrier may satisfy his lien from the proceeds of any sale
pursuant to this Section but must hold the balance, if any, for delivery
on demand to any person to whom he would have been bound to deliver the
goods.
(6) The rights provided by this Section shall be in addition to all
other rights allowed by law to a creditor against his debtor.
(7) A carrier's lien may be enforced in accordance with either
subsection (1) or the procedure set forth in subsection (2) of Section
7‑210.
(8) The carrier is liable for damages caused by failure to comply
with the requirements for sale under this Section and in case of willful
violation is liable for conversion.
(Source: Laws 1961, p. 2101.)
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(810 ILCS 5/7‑309) (from Ch. 26, par. 7‑309)
Sec. 7‑309.
Duty of care; contractual limitation of carrier's
liability.
(1) A carrier who issues a bill of lading whether negotiable or
non‑negotiable must exercise the degree of care in relation to the goods
which a reasonably careful man would exercise under like circumstances.
This subsection does not repeal or change any law or rule of law which
imposes liability upon a common carrier for damages not caused by its
negligence.
(2) Damages may be limited by a provision that the carrier's
liability shall not exceed a value stated in the document if the
carrier's rates are dependent upon value and the consignor by the
carrier's tariff is afforded an opportunity to declare a higher value or
a value as lawfully provided in the tariff, or where no tariff is filed
he is otherwise advised of such opportunity; but no such limitation is
effective with respect to the carrier's liability for conversion to its
own use.
(3) Reasonable provisions as to the time and manner of presenting
claims and instituting actions based on the shipment may be included in
a bill of lading or tariff.
(Source: Laws 1961, p. 2101.)
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