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 serves as a receipt for the goods, evidence of the contract of carriage and, for negotiable ocean bills, a document of title that controls who can claim the cargo. Shippers, carriers, freight forwarders and receivers all rely on it, and its data drives billing, freight audit and claims.

This guide covers the types of bills of lading, what goes on one, how to fill one out and read one, and how to automate BOL processing.

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) require at least the names of the shipper and consignee, the origin and destination, the number of packages, a description of the freight, and its weight, volume or measurement when that sets 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 bill.

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.

Manual vs automated bill of lading processing#

A shipper or 3PL can see hundreds of BOLs a day, each with a delivery receipt and a carrier invoice to match.

How to automate bill of lading processing#

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

Docsumo's bill of lading OCR reads BOLs, proofs of delivery and carrier invoices, handwritten notes included, and 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.

The bottom line#

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 automate 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#