Shipper Freight

In trucking, the shipper is the party that sends the freight. It is usually the business where the goods are picked up, such as a manufacturer, supplier or distributor, and it may also be the party that arranges and pays for the shipment. The shipper's name appears on the bill of lading alongside the consignee, who receives the goods. The shipper is responsible for describing the freight accurately, packaging and labeling it, preparing the paperwork and having it ready for pickup. Carriers haul the freight, and brokers arrange carriers on the shipper's behalf.

A consignee is the person or business that receives a freight shipment. The consignee's name and address appear on the bill of lading, and the consignee usually signs for the freight at delivery. Depending on the payment terms, the consignee may also pay the freight charges, as with a collect shipment. When freight arrives, the consignee should count the pieces against the bill of lading, inspect for visible damage and note any shortage or damage on the delivery receipt before signing. Clear consignee contact details help deliveries go smoothly.

A freight carrier is a company that physically transports goods using trucks, trailers, aircraft, railcars or ships. In trucking, motor carriers that haul freight for hire across state lines must hold operating authority from the Federal Motor Carrier Safety Administration and carry insurance. Carriers range from owner-operators with a single truck to large fleets. Some specialize in particular services, such as less-than-truckload, full truckload or expedited freight. Shippers can book carriers directly or through a broker, which matches each load to a carrier with the right equipment.

A freight broker is a licensed company that arranges transportation for shippers by matching their loads with carriers. The broker usually does not own trucks. It finds a carrier with the right equipment, agrees the rate, books the load and manages it through delivery, including tracking and paperwork. Brokers hold federal operating authority and keep a surety bond on file. Shippers use brokers to reach more vehicle types and capacity than one carrier offers, especially for urgent or irregular freight, and to have one contact responsible for each shipment.

A bill of lading, or BOL, is the main shipping document for a freight shipment. It lists the shipper, the consignee, the pickup and delivery addresses and a description of the freight, including the number of pieces, the weight and any special handling notes. The driver signs it at pickup to confirm what was loaded, and the consignee signs it at delivery. The signed BOL serves as a receipt for the goods, part of the contract of carriage and often the proof of delivery. Accurate details on it prevent delays and disputes.

A packing list is a document that details the contents of a shipment, often item by item, with quantities, descriptions and sometimes weights and dimensions for each package. It travels with the freight, often attached to a pallet or included with the paperwork, so the consignee can check that everything arrived. It differs from the bill of lading, which focuses on the transport details and is signed by the driver and receiver. Packing lists are especially useful for mixed shipments and are often required for international freight and customs.

Freight should be stacked squarely on a sound pallet, with the heaviest and sturdiest items at the bottom and lighter items on top. Nothing should hang over the pallet's edges, since overhanging cartons are easily crushed. The load should be wrapped tightly in stretch film from the pallet base up, with corner boards for stability and straps for heavy items. Labels with the shipper and consignee details and the piece count should go on at least two sides. A photo of each pallet before pickup helps if there is ever a question about condition.

There is no single legal weight, but parcel carriers set limits on the weight and size of individual packages, and anything beyond those limits must move as freight. In practice, shipments of roughly 150 pounds or more, or any goods stacked on a pallet, are usually handled as freight. Freight moves on trucks or aircraft with a bill of lading and needs a dock, liftgate or forklift to load and unload. If a shipment is close to the limit, comparing a parcel option with a freight option is worthwhile.

Freight class is a standardized category used mainly in less-than-truckload shipping to price freight based on how easy it is to move. The National Motor Freight Classification system assigns classes from 50 to 500 using density, stowability, handling and liability. Dense, sturdy freight gets a lower class and generally costs less to ship, while light, bulky or fragile freight gets a higher class. Getting the class right matters, because carriers can reclassify a shipment and charge more if it is wrong. Dedicated trucks and air freight do not use freight class.

Proof of delivery, or POD, is the record that a shipment reached the consignee. It usually includes the date and time of delivery, the name and signature of the person who received the freight, and any notes about its condition. For freight, the signed bill of lading or delivery receipt often serves as the POD, and many providers capture it electronically with a photo. Shippers use it to confirm delivery to customers, close out invoices and support any claim. Receivers should note visible damage before signing, since a clean signature suggests the freight arrived complete.