quiz 1

Question 1

In a documentary sale the transaction is effected by documents, without the need for face to face interaction.

Answer

true

Question 2

The documents involved in a documentary sale and credit are; bill of lading, commerical invoice, certificate of origin, certificate of destination, certificate of inspection( surveyor's certificate) and insurance certificate.

Answer

true

Question 3

The banks usually involved in a letter of credit are the advising bank and the confirming bank.

Answer

true

Question 4

The owner of a charter vessel might refuse to charter it for the carriage of a particular harmless, legal shipment even though the vessel is available.

Answer

true

Question 5

An open liner conference is an organization of carriers that allows any shipping line to join.

Answer

true

Question 6

Under a voyage charter the ship owner controls  the commercial aspects of the ship.

Answer

true

Question 7

If there is an error on the bill of lading the carrier can change it as long as he notifies the interested parties.

Answer

true

Question 8

It is better to use a broad, somewhat vague description when inserting a reservation clause into the bill of lading rather than being overly specific.

Answer

true

Question 9

The through bill of lading contains a clause giving the carrier the right to transship the cargo and a statement that the cargo will be transshipped at a particular port.

Answer

true

Question 10

Holders of a transshipment bill of lading may not claim delivery of the goods at the destination on the strength of the bill of lading alone.

Answer

true

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