Draft surveys of bulk cargoes are a means of checking that the shipper's figures are correct.

INSIGHT 153, 1999

01 MAR 1999

The draft readings are averaged out in the mean draft. Viacalculations this draft reading leads us to the vessels present apparent displacement at the time of oursurvey via on board, ship’s specific, hydrostatic tables and stability curves.The water density at the time of the draft survey is also determined by means of a density meter.
Survey approval authority. See CADASTRAL SURVEY APPROVAL AUTHORITY and OFFICIAL CADASTRAL SURVEY. ACCESS – The right to enter and leave over the lands of another. See EGRESS; REGRESS. ACCESSORIES, CORNER – See CORNER ACCESSORIES. ACCRETION – Derived from the Latin “accrescere” which means to grow or increase, it is the gradual.

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It is generally accepted that performing a draft survey is not an exact science. Much depends on the weather conditions at the time, the swell, the accuracy of the draft marks and the care which is taken in carrying out the required calculations. Nevertheless, the accuracy of a draft survey which has been properly performed is generally regarded as being up to more or less 0.5 per cent of the final figure. Therefore, barring exceptional circumstances, such as a high swell during the survey, if the difference between the shore figure and the draft survey figure is greater than 0.5 per cent, it may well represent a physical gain or loss, rather than being simply a paper difference. The latter is of course just that a difference on paper only. Such a difference is usually the result of the inaccuracies inherent in the different measurement methods which are used.

If the shore figure is less than the draft survey figure, any such difference is likely to be relatively unimportant. As we discuss below, the shipowner may be legally bound to deliver the weight or quantity stated in the bill of lading, regardless of the actual quantity received on board and available for discharge. If the vessels figure for cargo actually received on board (such figure being ascertained by a draft survey after loading) is greater than the bill of lading figure, the shipowner can be reasonably confident that the vessel has received on board at least the same weight or quantity of cargo as the weight or quantity stated in the bill of lading. As mentioned, this is the weight or quantity which he may well be contractually obliged to deliver. Therefore, barring an accident during the voyage resulting in the physical loss of cargo, the shipowner should be able to deliver at the port of discharge a weight or quantity approximately the same as that stated in the bill of lading, taking into account inevitable measurement variations and any loss inherent in the nature of the cargo. However, if the figure which the shippers wish to have inserted into the bill of lading is greater than the draft survey figure by more than 0.5 per cent (and the Association has seen claims where the shore figure has exceeded the draft survey figure by as much as seven per cent), the alarm bells should ring, both on board and in the shipowners office. The reason is that the quantity stated in the bill of lading will often be legally binding as against the shipowner, whether or not it is in itself accurate. Depending on the wording on the front of the bill of lading, the shipowner may be prevented (the legal term is estopped) from arguing that the bill of lading figure was wrong and that the excess cargo was in fact never loaded.

Bulk cargoes are commonly shipped under bills of lading which include wording such as said to weigh or said to be or weight, measure, marks, numbers, quality, contents and value unknown. In some jurisdictions such clauses, even if printed rather than typed on the face of the bill of lading, will mean that the bill of lading is not even prima facie evidence of the quantity stated to have been shipped. The burden of proof will therefore be on the cargo claimant to prove the quantity which he says was shipped. Such a clause will normally be upheld by the English courts. Unfortunately, the courts of many other countries will not recognise such a printed clause, on the ground that it merely forms part of the standard wording of that form of bill of lading and has not been added solely in connection with that particular shipment. It is therefore essential that such wording is typed or hand written on the front of the bill of lading, whether or not the bill of lading form includes such printed words. However, it should be noted that some jurisdictions will not uphold such clauses at all, whether printed, typed or hand written on the bill of lading.

This brings us back to the importance of a draft survey, which is the only means those on board have of checking the shippers figure. The latter will almost certainly be based on unilateral measurements carried out ashore. The Master will have had no means of checking these measurements. For various reasons, the shippers figure may not be accurate and if the draft survey gives a figure which is more than 0.5 per cent below the shippers figure, the Mates receipt and bill of lading should be claused to reflect the fact that there is probably a physical shortage of cargo. The clausing should clearly state the draft survey figures and should be as accurate as possible.

There are of course a number of practical problems which can arise. It may have been agreed that the bills of lading will be issued and signed by the local agent, who will often be acting on behalf of the charterer. The charterer may also be the shipper himself or connected to the shipper in one way or another. The shipper will almost certainly be invoicing the consignee on the basis of the weight or quantity stated in the bill of lading. Nevertheless, the bill of lading is likely to be signed and worded in such a way that it evidences a contract of carriage with the shipowner, not the charterer. In these circumstances, it can be difficult for a Master to ensure that the bill of lading is issued and signed in the form and wording he considers appropriate (i.e., in strict compliance with the Mates receipts). What he can do is:
(1) to make sure that his Letter of Authority to the agents specifically states that the bills of lading are to be signed strictly in accordance with the Mates receipts and
(2) to ensure that the Mates receipts are properly worded and where appropriate, contain the ships figures as calculated by draft survey.

It is important to stress that both steps outlined above should be taken. One by itself is not sufficient. These steps will not guarantee that the charterer or his agents do in fact issue bills of lading as authorised by the Master. Nor will they guarantee that the shipowner will have a defence to any claim for alleged cargo shortage which may be made by the consignee. However, they should mean that, if the shipowner incurs liability to the consignee because of the failure by the charterer or his agent to issue and/or sign a bill of lading on the authorised form, the shipowner has a good chance of succeeding with a claim for indemnity against the charterer under the charterparty.

A further point to be made is that, under the Associations Rules, no cover is available for liabilities, costs and expenses arising out of the issue of a bill of lading, waybill or other document evidencing the contract of carriage, known by the Member or the master to contain an incorrect description of the cargo or its quantity or its condition (Rule 34 (1)(ix)). Therefore, cover would be denied under this Rule if the Member or the Master knew that the quantity shown in the bill of lading was wrong but nevertheless failed to clause the bill and incurred liabilities, costs and expenses as a result of such failure.

It is sometimes the case that the bulk cargo is divided in a num

Mean Of Means Draft Survey