Title 49 — Transportation
Chapter 801 — Bills of Lading
§ 80105. Title and rights affected by negotiation
Statutory text
Title.—
When a negotiable bill of lading is negotiated—
the person to whom it is negotiated acquires the title to the goods that—
the person negotiating the bill had the ability to convey to a purchaser in good faith for value; and
the consignor and consignee had the ability to convey to such a purchaser; and
the common carrier issuing the bill becomes obligated directly to the person to whom the bill is negotiated to hold possession of the goods under the terms of the bill the same as if the carrier had issued the bill to that person.
Superiority of Rights.—
When a negotiable bill of lading is negotiated to a person for value in good faith, that person’s right to the goods for which the bill was issued is superior to a seller’s lien or to a right to stop the transportation of the goods. This subsection applies whether the negotiation is made before or after the common carrier issuing the bill receives notice of the seller’s claim. The carrier may deliver the goods to an unpaid seller only if the bill first is surrendered for cancellation.
Mortgagee and Lien Holder Rights Not Affected.—
Except as provided in subsection (b) of this section, this chapter does not limit a right of a mortgagee or lien holder having a mortgage or lien on goods against a person that purchased for value in good faith from the owner, and got possession of the goods immediately before delivery to the common carrier.
Legislative history
Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.
Pub. L. 103–272 § 1(e) · 108 Stat. 745
Enacted · 49 U.S.C. § 80105
(Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 1347.)
Source evidence
Code source credit
(Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 1347.)Enacted provision · exact public law section
Section 1. subtitles ii, ii, and v-x of title 49, united states code (a) Certain general and permanent laws of the 49 USC prec. 101 note. United States, related to transportation, are revised, codified, and enacted by subsections (c)–(e) of this section without substantive change as subtitles II, III, and V–X of title 49, United States Code, “Transportation”. Those laws may be cited as “49 U.S.C. ________”. (b) Title 49, United States Code, is amended by striking the table of subtitles at the beginning of the title and substituting the following new table of subtitles: “Subtitle “I. DEPARTMENT OF TRANSPORTATION “II. OTHER GOVERNMENT AGENCIES “III. GENERAL AND INTERMODAL PROGRAMS “IV. INTERSTATE COMMERCE “V. RAIL PROGRAMS “VI. MOTOR VEHICLE AND DRIVER PROGRAMS “VII. AVIATION PROGRAMS “VIII. PIPELINES “IX. COMMERCIAL SPACE TRANSPORTATION “X. MISCELLANEOUS (c) Title 49, United States Code, is amended by striking subtitle II, except that chapter 31 (comprising sections 3101–3104) of subtitle II is redesignated and restated as chapter 315 (comprising sections 31501–31504) of subtitle VI of title 49, as enacted by subsection (e) of this section. (d) Title 49, United States Code, is amended by adding the following immediately after subtitle I:
1 of 1 references resolved to an enrolled provision
Notes
historicalAndRevision
| Historical and Revision Notes | ||
|---|---|---|
| RevisedSection | Source (U.S. Code) | Source (Statutes at Large) |
| 80105(a) | 49 App.:111. | Aug. 29, 1916, ch. 415, §§ 31, 39, 40, 39 Stat. 543, 544. |
| 80105(b) | 49 App.:119. | |
| 80105(c) | 49 App.:120. | |
In subsection (a)(1), before subclause (A), the word “duly” is omitted as surplus.
In subsection (b), the words “right . . . is superior” are substituted for “no . . . shall defeat the rights of” for clarity. The words “right to stop the transportation” are substituted for “right of stoppage in transitu” for clarity.
In subsection (c), the word “remedies” is omitted as being included in “right”. The words “whose mortgage or lien on goods would be valid, apart from this chapter” are omitted as unnecessary because of the restatement. The words “which are subject to the mortgage or lien” are omitted as unnecessary.