Glossary
Terms & Glossaries of Shipping and Trading
Laden on Board
Laden on Board is a key freight industry term used to confirm that cargo has been physically loaded onto a vessel. It is a standard notation in shipping documents, particularly bills of lading (B/L), and plays a vital role in international trade compliance, risk management, and financial transactions.
Laden on Board refers to the official acknowledgment by a carrier (e.g., a shipping company) that goods have been loaded onto a vessel in apparent good condition. This notation is often accompanied by the loading date (e.g., "LADEN ON BOARD THE VESSEL DATE: 2025-03-14").
It serves as proof of shipment initiation and is critical for:
①Clean Bill of Lading: Indicates no visible damage or irregularities during loading, meeting requirements for letters of credit (LCs)
②Risk Transfer: Under Incoterms 2020, this term demarcates the transfer of liability from seller to buyer in contracts like FOB or CIF.
Banks often require "Laden on Board" annotations to release payments under LCs. According to ISBP 79, terms like "Laden on Board" or "Shipped in apparent good order" fulfill LC stipulations without needing the word "clean".
Example: A B/L marked "LADEN ON BOARD 2025-03-14" is universally accepted as valid proof of shipment.
②Legal and Operational Implications:
Customs Clearance: Port authorities use this term to verify cargo status and enforce weight regulations under SOLAS VI/2.
Dispute Avoidance: Missing or incorrect "Laden on Board" dates can lead to demurrage charges, cargo rejection, or legal disputes.
Case Study: A shipment from Shanghai to Hamburg with the B/L annotation:
**"LADEN ON BOARD THE VESSEL DATE: 2025-03-14"**
This confirms:
Cargo was loaded on March 14, 2025.
No damage was observed during loading.
Compliance with LC terms for payment
Documentation Standards:
Term | Equivalent Phrases | Reference |
Laden on Board | "Shipped in apparent good order" | ISBP 79 2 3 4 |
Clean On Board | "Clean B/L" (without explicit "clean" text) | Incoterms 2020 1 |
