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84-7-304. Tangible bills of lading in a set. (a) Except as customary in international transportation, a tangible bill of lading may not be issued in a set of parts. The issuer is liable for damages caused by violation of this subsection.

(b) If a tangible bill of lading is lawfully issued in a set of parts, each of which contains an identification code and is expressed to be valid only if the goods have not been delivered against any other part, the whole of the parts constitutes one bill.

(c) If a tangible negotiable bill of lading is lawfully issued in a set of parts and different parts are negotiated to different persons, the title of the holder to which the first due negotiation is made prevails as to both the document of title and the goods even if any later holder may have received the goods from the carrier in good faith and discharged the carrier's obligation by surrendering its part.

(d) A person that negotiates or transfers a single part of a tangible bill of lading issued in a set is liable to holders of that part as if it were the whole set.

(e) The bailee shall deliver in accordance with part 4 of this article against the first presented part of a tangible bill of lading lawfully issued in a set. Delivery in this manner discharges the bailee's obligation on the whole bill.

History: L. 2007, ch. 90, § 20; July 1, 2008.

KANSAS COMMENT, 1996

This section, as well as section 84 of the Federal Bills of Lading Act, 49 U.S.C. § 84, prohibits the issuance of domestic bills in a set and attaches liability for so doing. The practice of issuing bills in a set is common in European countries, but has been condemned in this country. Subsections (2), (3) and (4) correspond to the provisions of former 84-3-801, which has been omitted from the 1989 Official Text of Article 3. The 1989 Official Text was adopted in Kansas in 1991. Subsection (5) refers to compliance with 84-7-403.

Revisor's Note:

Former section 84-7-304 repealed by L. 2007, ch. 90, § 78 and the number reassigned to the current text.


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