Bill of lading: what it is, how to fill one out and read one, and how to automate it

A bill of lading (BOL or B/L) is the document a carrier issues when it takes goods for shipment. It is a receipt for the goods and evidence of the contract of carriage. On negotiable ocean bills it is also a document of title. Whoever holds the original bill can claim the cargo. Shippers, carriers, freight forwarders and receivers all rely on it. Its data drives billing, freight audit and claims.

What is a bill of lading?

A bill of lading does three jobs at once.

• Receipt

  The carrier confirms it received the goods described, in the condition noted.

• Contract of carriage

  It records or references the terms under which the carrier moves the goods.

• Document of title

  A negotiable (order) bill represents the goods themselves, so whoever holds the endorsed original can claim them. This matters most in international trade and trade finance.

Types of bills of lading

Digital bills are growing: ocean carriers in the Digital Container Shipping Association (DCSA) have committed to issuing all their bills of lading electronically by 2030.

What goes on a bill of lading

For interstate truck freight, federal rules (49 CFR 373.101) set a minimum. A BOL must name the shipper and consignee and give the origin and destination. It must also show the number of packages and describe the freight. Weight, volume or measurement must also be shown when the carrier uses it to set the rate. Most BOLs carry more:

• References: BOL number, plus any PRO, PO, shipper reference and SCAC.
• Parties: shipper, consignee and, if someone else pays the freight, a third-party bill-to.
• Carrier: name, trailer and seal numbers, pickup and delivery dates.
• Vessel and ports: on ocean bills, the vessel and voyage, the ports of loading and discharge, and container numbers.
• Freight lines: handling units, packages, description, weight, dimensions, and the NMFC item and class for LTL.
• Hazardous materials: the declaration and an emergency contact, if applicable.
• Terms and value: prepaid, collect or third party; any COD amount; a declared value, which can change carrier liability.
• Instructions and signatures: liftgate, appointment or temperature notes; shipper and driver signatures, with exceptions noted at pickup or delivery.

Density-based freight classes

For LTL freight, the National Motor Freight Classification (NMFC) assigns a class that drives the rate. Under NMFTA Docket 2025-1, effective July 19, 2025, many commodities moved from commodity-based to density-based classes, measured in pounds per cubic foot. For those, the weight and dimensions on the BOL decide the class, so a wrong number can mean a different class and a different charge.

How to fill out a bill of lading

To create a bill of lading, start from the carrier's form or your TMS and fill in nine parts.

1. HeaderEnter the date, BOL number and reference numbers: PO, order and shipper ID.
2. PartiesFill in the shipper and consignee, and the third-party bill-to if someone else pays the freight.
3. Freight linesList each handling unit with its package count, type, weight and dimensions.
4. Description and classDescribe the commodity and add its NMFC item and class.
5. Hazardous materialsDeclare them with the required details and an emergency contact.
6. TermsChoose prepaid, collect or third party, and add any COD amount.
7. Declared valueAdd one if you want more carrier liability than the default.
8. Special instructionsLiftgate, appointment or temperature control.
9. SignaturesSign at pickup, and have the driver sign and note anything unusual, such as damaged pallets or a count they couldn't check.

How to read a bill of lading

• BOL number and datesUse the BOL number to track the shipment and match it to the freight invoice.
• PartiesShipper, consignee and bill-to are correct; an error here sends the invoice to the wrong party.
• Freight linesPiece count, weight and class agree with the order and packing list.
• TermsPrepaid, collect or third party decides who is billed.
• Signatures and exceptionsNotes such as "subject to count" or "damaged" matter for claims.
• DeliveryA signed delivery receipt or proof of delivery closes the loop.

One load, from pickup to payment

A 3PL is a third-party logistics company. A shipper or 3PL can see hundreds of BOLs a day. Follow one of them. A driver collects a pallet, signs the BOL and writes "subject to count" beside the freight line. A phone photo of that page reaches the back office. The proof of delivery follows, and later the carrier's invoice arrives as a PDF in its own layout.

Done by hand, someone keys the BOL into the TMS and reads the handwriting by eye. Then they open the delivery receipt and the invoice and compare weight and class line by line. If the class on the invoice is higher than the weight and size on the BOL allow, nobody sees it until the invoice is paid.

With software, the photo is read the way a typed page is. The BOL number, the parties and the freight line come out as fields, and so does the handwritten note. A faint weight goes to a person, who sees it next to the line it came from. The rest passes through. The BOL is then checked against the delivery receipt and the invoice, and a class that doesn't match is flagged before the invoice is approved.

How to automate bill of lading processing

To extract data from a bill of lading, capture it as a PDF, scan or photo and read the text with OCR. Then map the text to fields such as the BOL and PRO numbers, parties, pieces, weight and class. Last, check the values and send them on. Automation runs those steps for every document in the load. The structured data can also feed reporting on lanes and carriers.

We'd rather the workflow fit your routes and your carriers than push you into a fixed template. You decide which fields must match the invoice, and which differences a person should check. Most teams only learn what those rules are after they write them down for one carrier.

Docsumo's bill of lading OCR reads BOLs, proofs of delivery and carrier invoices, handwritten notes included. It sends fields it isn't sure about to a reviewer. On the Enterprise plan, cross-document validation checks each BOL against the load's delivery receipt and carrier invoice, the core of freight invoice audit. Clean data goes to your TMS, ERP or AP system through the API and webhooks, or downloads to Excel.

Before you automate, pick one carrier

The bill of lading is the receipt, the contract and sometimes the title for every shipment. Fill it out completely, with accurate weights and dimensions now that many LTL classes are density-based. Then let software do the reading and matching, so your team handles only the loads that don't add up. More in logistics document automation.

Book a demo with a week of your own BOLs, or start a free trial.

Frequently asked questions