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Shipping terms

What is a consignee?

A consignee is the person or business a shipment is delivered to. The consignee is named on the bill of lading and is usually the buyer or the receiver of the goods. Parcel Management Group is a registered freight broker (USDOT 3266041 · MC 1030328) in Ventura, CA 93001. Call (805) 984-4114.

Consignee meaning in shipping

The consignee is the delivery party: the name and address where the carrier delivers and who signs for the freight. It can be the buyer, a store, a job site, or a warehouse or fulfillment center that receives freight for the owner.

A buyer takes in goods it ordered. A store takes in inventory for the sales floor. A job site takes in material for the project. A warehouse or fulfillment center can sign for the freight and hold it for the owner, so the party at the door is not always the owner.

The consignee is a delivery role, not an ownership term. Who owns the freight in transit is set by the sale terms. See what is FOB.

Consignor vs consignee

Term Role Common names
Consignor Sends the shipment Shipper, seller, origin
Consignee Receives the shipment Receiver, buyer, destination

In US freight paperwork the consignor is usually just called the shipper. See what is a shipper.

The same company can be the consignor on freight it sends and the consignee on freight it receives. The role depends on the shipment, not on the company.

Where the consignee goes on a bill of lading

The consignee block lists the company name, the full delivery address, a contact name and phone, and the delivery hours. See what is a bill of lading. For the line order of that address, see how to write a shipping address.

The company name is the business the driver asks for. The full delivery address is the street, city, state, and ZIP where the truck stops. The contact name is the person who will meet the freight. The phone should reach that person while the stop is open. Delivery hours are the times a dock, a store, or a site can take a truck.

Note delivery needs such as a liftgate, a residential or limited-access stop, or an appointment, since those are accessorials. A liftgate is for a stop with no dock. A residential stop is a home or a similar location. A limited-access stop is harder for a tractor-trailer to reach than a standard commercial dock. An appointment is a time the carrier books before it arrives. Put the need on the bill so the truck and the arrival match the stop.

What the consignee does at delivery

  1. Be ready during delivery hours or the booked appointment.
  2. Count pieces or pallets against the bill of lading.
  3. Inspect the freight and packaging for visible damage.
  4. Write any shortage or damage on the delivery receipt before signing.
  5. Take photos and tell the shipper or broker right away.

Do this while the driver is still at the stop. A person who can sign should be there for the delivery hours or the appointment, with room to set the freight down. Match cartons, pieces, or pallets to the count on the bill. Visible damage is damage you can see before unpacking, such as a crushed corner, torn wrap, a broken pallet, or a leak. The receipt should say what is short or damaged before anyone signs. Photos should show the freight, the packaging, and that note.

Damage found after unpacking is called concealed damage. Report it to the shipper or broker as soon as it is found.

Who pays the freight: shipper or consignee?

With prepaid terms the shipper pays the carrier. With collect terms the consignee pays. With prepay and add the shipper pays and adds the freight to the invoice.

Payment terms and ownership terms are separate. Prepaid, collect, and prepay and add name who the carrier bills. They do not name who owns the freight while it is moving.

How PMG helps

PMG books LTL and FTL freight with vetted carriers and checks the shipper and consignee details, delivery needs, and accessorials before booking. Quote path: /ltl-freight-quote/ · /how-freight-quoting-works/.

Call (805) 984-4114 or start a chat at /#contact.

FAQ

Consignee FAQ

What is a consignee in shipping?

The consignee is the person or business a shipment is delivered to. It is named on the bill of lading and is usually the buyer or receiver. Parcel Management Group is a registered broker in Ventura, CA 93001. Call (805) 984-4114.

What is the difference between a consignor and a consignee?

The consignor sends the shipment and the consignee receives it. In US freight the consignor is usually called the shipper.

Is the consignee the owner of the goods?

Not always. The consignee is the delivery party. Ownership in transit depends on the sale terms, such as FOB, and a warehouse can receive freight for the owner.

What should a consignee do if freight arrives damaged?

Count the pieces against the bill of lading, inspect the freight, and write any shortage or damage on the delivery receipt before signing. Take photos and tell the shipper or broker right away.