Preparation of LR in E1C transaction.

[Bhalchandra Ramdasi]

Respected Sirs,

In our transaction there are four parties - Our Vendor, ourself, our customer & end customer. We have to dispatch the material from our vendor to end customer. In this case how the Lorry Receipt will be prepared.

Can we mention end customer as consignee in Lorry Receipt? If not why?

Thanks,

[YAGAY andSUN]

In transit sales ( i.e. E-1 and E-2) predisclosure of end customer may be lethal.  LR should be endorsed without taking the physical delivery of the goods in favour of third party and further, third party will endorse the LR without taking the physical delivery in favour of end user.

AI Summary

In-transit sales: avoid disclosing end customer; endorse lorry receipt sequentially without physical delivery to preserve transit status. Predisclosure of the end customer on the lorry receipt in in-transit sales undermines transit status. The LR should be endorsed in favour of the third party without physical delivery, and that third party should further endorse the LR in favour of the end customer without taking physical delivery, thereby preserving the transit character.