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49 U.S.C. § 80103 — Negotiable and nonnegotiable bills

Verified against govinfo.gov as of June 20, 2026View official text on govinfo.gov ↗
  1. (a)Negotiable Bills
    1. (1)A bill of lading is negotiable if the bill—
      1. (A)states that the goods are to be delivered to the order of a consignee; and
      2. (B)does not contain on its face an agreement with the shipper that the bill is not negotiable.
    2. (2)Inserting in a negotiable bill of lading the name of a person to be notified of the arrival of the goods—
      1. (A)does not limit its negotiability; and
      2. (B)is not notice to the purchaser of the goods of a right the named person has to the goods.
  2. (b)Nonnegotiable Bills
    1. (1)A bill of lading is nonnegotiable if the bill states that the goods are to be delivered to a consignee. The indorsement of a nonnegotiable bill does not—
      1. (A)make the bill negotiable; or
      2. (B)give the transferee any additional right.
    2. (2)A common carrier issuing a nonnegotiable bill of lading must put “nonnegotiable” or “not negotiable” on the bill. This paragraph does not apply to an informal memorandum or acknowledgment.