Reflections on Bills of Lading and Silo Receipts Used in the South African Futures Market

Abstract

South African law, as a mixed jurisdiction, is based on both common law and civil law principles. Thelegal rules pertaining to the bill of lading illustrate how divergent legal systems are harmonised in South Africanlaw. Although neither the bill of lading nor the Safex silo receipt can be regarded as negotiable instruments, bothexhibit the characteristics of a document of title. Bulk cargo and grain stored in a silo, however, provide particulardifficulties with regard to effecting symbolical delivery of the goods and thus transferring ownership. It issubmitted that, despite reservations about construing an attornment in the case of bills of lading in English law,attornment could be employed as a form of delivery, both in the case of grain in mass storage, and where bills oflading and silo receipts are dematerialised