No.8 2021/2022 - Paperless Trading Electronic Trading Systems Update to E-TITLE
September 2021
Paperless Trading Electronic Trading Systems Update to E-TITLE - Change of Ownership and approval of Corda eBL as replacement of E-TITLE
Dear Sirs,
Members are referred to Notice to Members No.11 2015/2016 dated October 2015.
Notification of change in ownership of E-TITLE
The International Group (IG) had previously approved E-TITLE. This Notice notifies Members of the following:
(1) a change in ownership of the E-TITLE electronic trading system and its underlying legal framework to software technology firm, R3;
(2) a change in trading name of the e-TITLE electronic trading system to Corda eBL; and
(3) Members are invited to take note of how the Corda eBL software will operate.
Corda eBL
Corda eBL is a software development kit (SDK), that provides a mechanism to facilitate the title transfer and negotiable functionalities of a bill of lading. It has been created to complement some of the existing web-portal services operated by shipping lines, financial services providers, logistic operators and traders.
The Corda eBL SDK is subject to a legal framework, supporting the peer-to-peer transfer of eBLs, without the need to revert to paper. The electronic transfer process mimics a paper bills of lading workflow. Further details can be found on R3 Website .
R3 is a software technology firm representing a large consortium of international banks and trading houses.
Corda eBL User Agreement version 1.2 - Approved
The legal documentation associated with the use and operation of the Corda eBL solution is the “Corda eBL User Agreement (version 1.2)”. This document has been reviewed and approved by the IG. The Corda eBL solution (formerly known as E-TITLE electronic trading system) will replace E-Title as an approved electronic - i.e. paperless - trading system. The Corda eBL User Agreement (version 1.2) supersedes the E-Title User Agreement.
From 24 September 2021 E-title will cease to be an approved entity
From 24 September 2021 E-title will cease to be an approved entity. As part of their due diligence, Members are advised, when contracting with an Application Service Provider (“ASP”) licenced by R3, to seek assurance that the ASP has in place liability cover for non-P&I risks.
Other exclusions of cover under Group Clubs’ Rules continue to apply
Members are reminded that other exclusions of cover under Group Clubs’ Rules relating to the carriage of cargo will, of course, continue to apply in respect of all the IG approved providers in the same way as for paper systems. These exclusions include discharge at a port or place other than the port or place provided for in the contract of carriage, the issue / creation of an ante or post-dated electronic document / record, and the delivery of cargo without the production of the negotiable electronic document / record, which - in the case of an approved electronic trading system - will mean delivery of cargo other than in accordance with the rules of that trading system.
All Clubs in the International Group have issued a similar circular.
Yours faithfully
For: West of England Insurance Services (Luxembourg) S.A.
(As Managers)
A Paulson
Corporate Director