What is the difference between a Mate's Receipt and a Bill of Lading?

• A. Mate's Receipt is a provisional acknowledgment of cargo receipt before the B/L is issued; the Bill of Lading is the final contract of carriage and document of title.
• B. Mate's Receipt is the final contract; the Bill of Lading is only a receipt.
• C. A Mate's Receipt is used for air shipments.
• D. The Bill of Lading is not a document of title.

Answer: (A)

The main idea is understanding the different roles of these two documents in sea carriage. A Mate’s Receipt is issued when cargo is loaded and serves as a provisional acknowledgment that the cargo is on board; it confirms receipt but does not set the terms of carriage or transfer ownership. The Bill of Lading, issued after loading, is the formal contract of carriage between the shipper and the carrier and also the document of title to the goods. It outlines the voyage terms and, if negotiable, can be used to transfer ownership by endorsement or delivery of the document. So, the Mate’s Receipt is a temporary notice of receipt, while the Bill of Lading is the binding contract and title document.