Risks arising from cargo delivery without production of original Bills of Lading Although delivery of cargo without production of original bills of lading is a prevalent practice in international trade, it is a risky way for the Owners/Carrier. In the last few months, we have seen several disputes in which vessels were placed under arrest as a consequence of cargo delivery without production of original bills of lading. In this article, we share two cases which were recently reported to the Club to remind the Members of the significant risks involved with this practice.   Vessel A The owners delivered the cargo without production of original bills of lading at the discharge port in China against the charterers’ Letter of Indemnity (“LOI”). After the cargo was delivered, the consignee collected somehow only one of the original bills of lading from the bank which had opened a Letter of Credit in respect of the cargo, and provided it to the owners’ agent.   The bank, however, commenced legal proceedings against the owners before one year anniversary, which is the time limit of claims from the bills of lading holders ruled on the governing law on the bills of lading, and arrested Vessel A based on the two original bills of lading it held.   The owners called upon the head charterers to procure release of the vessel by providing bail or security pursuant to the LOI, but they refused on the grounds that their voyage charterers, who provided a similarly-worded LOI, declined to provide bail or security. In order to obtain the release of the vessel, the owners issued a surety bond by depositing a large amount in cash. The litigation is still ongoing in China.   According to the lawyers’ advice, even if the owners argue in the arrest proceedings that the two remaining bills of lading became null and void because one original bill of lading was collected by the owners, the Chinese courts would refuse to uphold the owners’ argument because the cargo was at t