A Study On The Effects Of Arbitration/Jurisdiction Clause In Bill Of Lading

A bill of lading is a document which serves as an evidence of the contract of carriage of goods by sea. A bill of lading evidences not only the contractual relation between the parties concerned but also the contents of the contract. Besides the provisions in the front page of the bill of lading, the provisions on back page are of significance. The provisions on the back page of the bill of lading cause many disputes from both theoretical and practical aspects, especially jurisdiction and arbitration clause which do not concern the material rights and obligations of the parties. The law and regulations governing the efficacy of those clauses are not unified or definite. The main problems include: the autonomy of arbitration clause, i.e. where the principal contract is invalid or becomes invalid or even does not exist, is the arbitration clause in a bill of lading still effective? What are the conditions to make the arbitration/jurisdiction clause in a bill of lading effective? Since the provisions of a bill of lading are printed by the carriers in advance, and have not been negotiated by the parties concerned and in the case of transfer of an order bill of lading or a blank bill of lading, the consignee or the holder of a bill of lading is not determined in advance, is the arbitration /jurisdiction clause is valid to the third party? Is there an agreement between the carrier and the holder of a bill of lading? Where the arbitration clause contained in the charterparty is incorporated into a bill of lading issued thereunder, is it effective to the bill of lading holder? There are so many cases concerning the above problems in admiralty practice. This paper discusses these related problems in accordance with Chinese Maritime Code, the procedure law, related international conventions and foreign legislations, and puts forward the viewpoints accordingly in order to provide theoretical guidance to the admiralty practice in china.