Clean Bill Of Lading
Categories: Regulations, Company Management
Not to be confused with the infamous outlaw William O'Ladin, who was so fastidious about his dandified clothes and elegant mustache that he earned the nickname "Clean Bill." He was eventually killed in a shootout with "Dirty" William Health.
In the world of finance, a bill of lading is an agreement between someone shipping something and the company that's doing the shipping. It basically lays out what's being sent, and confirms that it was in good condition when it shipped.
A "clean" bill of lading is basically one that has only nice things to say. There's nothing adverse listed about the item being shipped...the shipping company attests that the condition and quantity of the items are correct. Nothing got broken. Nothing got lost.
A clean bill of lading is important for letters of credit. These are often used to finance imports, and banks require the clean bill of lading before providing the funds specified in the letter of credit.
Remember the old maxim: "If you don't have anything nice to say...then you don't get a clean bill of lading."
