A bill lading issued to the order of a specific party. Endorsement is required to effect its negotiation. The Steamship company signs two to four copies specifying the number signed. In financing the shipment, the bank requires a full set of all signed negotiable copies. The other functions of the order bill of lading involves a receipt to the shipper, evidence of ownership, and a document required in the financing of the shipment.
Negotiable document used primarily in international trade. There is an intermediary, usually the bank. The original order bill of lading is mailed to the consignee's bank, and the carrier will not deliver the freight until the consignee has paid to bank and the bank has released the original order bill of lading to the carrier.