HAWB

House Air Waybill - IntroductionThe HAWB is a document between the airfreight agent/forwarder and his customer.The format of the HAWB is very similar to the MAWB (follows the IATA standard). The terms and conditions printed on the back of the document are usually identical to those that apply to MAWBs. In this way, the freight forwarder ensures that he has the same liability towards his customer as the liability he is offered by the carrier under his own MAWB.House Air Waybill - Issuing PartyThe HAWB is issued by an airfreight forwarder / airfreight agent to his customer.House Air Waybill – FunctionsThe main functions of a House Air Waybill are:1. Receipt for the goods2. Evidence of contract of carriageThe House Air Waybill is NOT a document of title.1. Receipt for goodsThe HAWB is a receipt by the freight forwarder that the goods have been accepted for carriage.The HAWB will usually have been prepared before the goods are delivered to the airline. In principle, the licensed agent / freight forwarder should not release the HAWB to the shipper before the airline has accepted the goods and signed the MAWB (in case, at time of receipt, the airline makes notations on the MAWB regarding the condition of the cargo, e.g. damages).2. Evidence of contract of carriageThe HAWB evidences a contract of carriage between the issuing agent (the freight forwarder or airfreight agent) and the shipper/consignee on the HAWB. The HAWB is prima facie evidence of the terms and conditions agreed.Note that it does not evidence a contract of carriage with the airline. (The contract of carriage with the airline is evidenced by the Master AWB).3. The HAWB is not a document of titleA HAWB is NOT a document of title. It cannot be consigned “to order” and cannot be transferred to other parties by means of endorsements.There is no requirement that a HAWB is submitted at destination to obtain release of the goods. The freight forwarder (handling agent) at destination will release the goods to the party named as consignee in the HAWB. The freight forwarder himself must first obtain release of the goods from the airline (based on the MAWB).If a Letter of Credit requires an original B/L consigned “to order of [bank]”, the HAWB must be consigned to the bank. In such case, at destination, the airline will only release the goods to the agent/buyer/importer when the bank has sent release instructions to the airfreight agent. This is known as a “bank release”. The bank is the consignee on the HAWB and only upon confirmation from the consignee, will the forwarder release the goods to another party.House Air Waybill - Originals and CopiesAn AWB is printed in a set of minimum 8 copies of which 3 are considered originals. The three AWB originals (part 1, 2 and 3) bear on the reverse the conditions of the contract and all have the same validity.Original 1 (for issuing carrier) is retained by the airfreight forwarder issuing the air waybill for accounting purposes and to serve as documentary evidence of forwarder’s and shipper’s signature of the contract of carriage.Original 2 (for consignee) accompanies the consignment all the way to final destination and will be given to the consignee (or his agent) on delivery.Original 3 (for shipper) is given to the shipper and serves as proof of receipt of goods for shipment and documentary evidence of the forwarder’s and shipper’s signature to the contract of carriage. House Air Waybill - Airfreight agent’s and Airline’s ResponsibilityThe main responsibilities of the airfreight forwarder / agent when issuing a HAWB are:1 .To ensure correct description of the goods2. To care for the goods while in custody3. To ensure that carriage is completed within reasonable dispatch4. To ensure that the party to whom the goods are released at destination is in fact a representative of the consignee1. To must ensure correct description of the goodsThe importer will rely on the description in the HAWB and expect to receive the goods in the quantity and condition as described.The licensed agent will rely on the HAWB to fill out the description of the goods in the MAWB.If any shortcomings, damages or other discrepancies are noted on the MAWB by the airline or the licensed agent, the freight forwarder should ensure that such notation is also inserted on the HAWB.2. To care for the goods also while in the airline’s custodyBy issuing a HAWB, the freight forwarder takes on the responsibility as a “carrier” for the goods, even when the carriage is sub-contracted to an airline.If the goods are lost or damaged in transit, the freight forwarder becomes responsible towards the exporter/importer. The exporter/importer will file a potential claim against the freight forwarder, not the airline. If the goods were damaged or lost by the airline, the freight forwarder will have to file claim against the airline based on the Master Air Waybill.3. To ensure that the carriage is completed within reasonable dispatchA HAWB is issued before the goods depart from the originating airport, i.e. It does not confirm that the goods have departed - only that they have been accepted for carriage. The freight forwarder is however responsible for ensuring that the carriage is completing “within reasonable time”.4. To ensure that the party to whom the goods are released at destination is in fact a representative of the consigneeThe cargo can only be released at destination to the consignee named in the HAWB or a representative appointed by him. The freight forwarder at destination will have to obtain release of the goods from the airline before she can release the goods to the consignee (the importer). The importer cannot obtain release of the goods directly from the airline as he is not the consignee on the MAWB. House Air Waybill – AmendmentA shipper can amend his release instructions (consignee name) until such time as the cargo has been physically released to the consignee. Amendments should be made in writing and are always subject to acceptance by the airfreight forwarder. The forwarder must ensure that no changes to the description of the goods are made that can affect his position towards the consignee.House Air Waybill - Cargo DescriptionThe HAWB contains a short description of the goods, the number of pieces and the volume (cubic) of the goods. Often, the description field also contains details on the dimensions of the cargo for airline use. There are specific rules for the description of dangerous goods and live animals.Some freight forwarders send their HAWB details to the licensed agent electronically. In this way, the licensed agent will create the MAWB almost automatically by incorporating the details updated by the freight forwarder directly into the MAWB manifest. When sending the HAWB details to the licensed agent, the freight forwarder will usually not reveal the name of the actual shipper and consignee.House Air Waybill - Document DateThe HAWB is filled in and printed by the party who is effecting the booking.Note that the carrier can change flight number and departure date without notice to theshipper/consignee. The air waybill does not confirm that the goods have departed, only that they have been accepted for carriage. The carrier must however ensure that the carriage is completed “within reasonable despatch”.House Air Waybill – PaymentThe charges payable at origin (usually by the shipper) are called “prepaid”. The charges payable at destination (usually by the consignee) are called “collect”.HAWBs can be both prepaid and collect.House Air Waybill – FilingAn original is not collected at destination before releasing the goods. There are no requirements to keep HAWB copies on file.House Air Waybill - Why use this document?It is customary within airfreight that the actual shippers and consignees (the merchants) do not deal directly with the airlines. The airlines usually work together with airfreight agents. The contract between the airline and the agent is evidenced by the MAWB whereas the contract between the airfreight agent and his customers is evidenced by the HAWB.House Air Waybill - Differences between MAWB, HAWB and DAWB∙The MAWB evidences a contract of carriage between the airline and the shipper/consignee in the MAWB, usually the airfreight agent.∙If goods are lost or damaged under a MAWB, the airline is liable towards the shipper/consignee in the MAWB.∙The HAWB evidences a contract of carriage between the airfreight agent/forwarder and the shipper/consignee in the HAWB. If any goods are lost or damaged under a HAWB, the issuing party (the freight forwarder) is liable towards the shipper/consignee in the HAWB∙The DAWB evidences a contract of carriage between the airline and the shipper/consignee in the MAWB, usually the exporter/importer.All Air Waybills function as Receipt for goods and Evidence of contract of carriage. No Air Waybills are documents of title, i.e. no types of AWBs can be consigned “to order” and they cannot be endorsed.The MAWB, HAWB and DAWB are usually in the same format (following the IATA standards) but there are a few ways of differentiating between them.MAWB is recognised by following factors:∙The same MAWB number is shown in the three corners∙The “issued by” shows the name/address of the AIRLINE∙The shipper is the airfreight agent (equal to the “Issuing Carrier’s Agent name”)∙The consignee is the handling agent at destination.∙The charges are usually always prepaid∙The description of the goods shows “consolidated cargo as per attached manifest”HAWB is recognised by the following factors:∙The MAWB number is shown in the upper left corner.∙The HAWB number (which is different from the MAWB number) shows in the upper right and lower right corners.∙The “issued by” shows the name/address of the airfreight agent or airfreight forwarder∙The shipper is not the airfreight agent (not equal to the “Issuing Carrier’s Agent name). Shipper will either be the actual exporter or an airfreight forwarder.∙Charges can be collect (or prepaid)∙The description of the goods is more detailed than in the MAWBDAWB is recognised by the following factors:∙The same MAWB number is shown in the three corners.∙The “issued by” shows the name/address of the AIRLINE∙The shipper is not the airfreight agent (not equal to the “Issuing Carrier’s Agent name”). Shipper and consignee are the actual exporter/importer.∙Charges are usually always prepaid∙The description of the goods is more detailed than a consolidated MAWB。