FAR 47.001—Definitions.
Plain-English Summary
FAR 47.001 is the definitions section for FAR Part 47, which governs transportation and transportation-related services in federal contracting. It defines the key terms used throughout the part, including bill of lading, commercial bill of lading (CBL), Government bill of lading (GBL), carrier or commercial carrier, common carrier, contract carrier, Government rate tender, household goods, noncontiguous domestic trade, and released or declared value. These definitions matter because they determine which transportation document or carrier arrangement applies, who has authority to issue or approve shipping documents, how transportation charges are handled, and how loss or damage claims are measured. In practice, the definitions control whether a shipment is treated as an accountable Government shipment or a commercial shipment, whether special rules apply to household goods or Alaska/Hawaii/territorial traffic, and what value is used to limit reimbursement if cargo is lost or damaged. Contractors, carriers, and contracting personnel must use these terms consistently because they affect shipping authority, liability, customs clearance, rate application, and claims recovery.
Key Rules
Bill of lading definition
A bill of lading is a transportation document used as a receipt for goods, evidence of title, a customs document, and generally as a contract of carriage. In federal transportation practice, the term is broad and covers the basic shipping document used to move freight.
Commercial versus Government BOL
A commercial bill of lading (CBL) is not an accountable transportation document, while a Government bill of lading (GBL) is accountable and must be authorized and prepared by a Government official. This distinction affects who may issue the document and how the shipment is tracked and audited.
Carrier categories
A carrier or commercial carrier includes both common carriers and contract carriers. The distinction matters because the carrier’s legal status affects how transportation services are offered, priced, and governed under transportation law and FAR Part 47.
Common carrier definition
A common carrier holds itself out to the general public to provide transportation for compensation. This means the carrier offers service broadly rather than only to selected customers under private arrangements.
Contract carrier definition
A contract carrier provides transportation for compensation under continuing agreements with one person or a limited number of persons. This reflects a more limited, negotiated service relationship than a common carrier arrangement.
Government rate tender
A Government rate tender is an offer by a common carrier to the United States at a rate below the regulated rate offered to the general public. It is a special pricing mechanism tied to statutory authority under 49 U.S.C. 10721 and 13712.
Household goods scope
Household goods are personal effects and property used or to be used in a dwelling, including similar property when transportation is arranged and paid for by the householder or another party. The definition excludes property moving from a factory or store, except for items the householder bought for use in the dwelling and arranged to have transported at the householder’s request and expense.
Noncontiguous domestic trade
Noncontiguous domestic trade means transportation subject to Surface Transportation Board regulation involving traffic originating in or destined to Alaska, Hawaii, or a U.S. territory or possession, with stated exclusions for certain bulk and recyclable commodities. This definition identifies shipments that may be subject to special transportation rules.
Released or declared value
Released or declared value is the assigned cargo value used for reimbursement purposes, not necessarily the cargo’s actual value. It sets the maximum amount the agency may recover for loss or damage on freight and household goods shipments.
Responsibilities
Contracting Officer
Use the correct transportation document and carrier framework for the shipment, ensure the proper authority is used for a GBL, and apply the correct definitions when evaluating rates, liability, and claims. The contracting officer must also recognize when special rules apply to household goods or noncontiguous domestic trade.
Agency Shipping/Transportation Official
Prepare or authorize Government transportation documents when required, assign released or declared value appropriately, and ensure shipment documentation is accurate for carriage, customs, and reimbursement purposes. This party must also coordinate with carriers and maintain accountable records where a GBL is used.
Contractor/Shipper
Identify the nature of the shipment correctly, use the proper bill of lading or shipping document as directed, and provide accurate information about the cargo, destination, and value. Contractors must understand whether the shipment is household goods, commercial freight, or another category because that affects pricing and liability.
Carrier
Provide transportation under the correct carrier status, honor applicable rate tenders or contractual arrangements, and handle shipments in accordance with the governing transportation document. Carriers must also understand the liability limits tied to released or declared value and the special treatment of Government shipments.
Claims/Property Loss Personnel
Apply the released or declared value when determining the maximum reimbursable amount for loss or damage, and distinguish that amount from actual cargo value. These personnel must use the definitions to support accurate claims adjudication.
Practical Implications
The biggest day-to-day impact is document control: using a CBL instead of a GBL, or vice versa, can change accountability, authority, and audit requirements.
Released or declared value is often misunderstood; it is not automatically the full replacement value, so agencies may recover less than the actual loss if the shipment was valued lower.
Household goods shipments require careful classification because the definition excludes ordinary factory or store inventory unless the householder bought the item for dwelling use and arranged the move.
Noncontiguous domestic trade can trigger special transportation rules for Alaska, Hawaii, and U.S. territories, so shippers should not assume mainland rules always apply.
Carrier status matters in rate and service disputes: common carriers and contract carriers are not interchangeable, and the wrong assumption can lead to pricing or liability errors.
Official Regulatory Text
As used in this part- Bill of lading means a transportation document, used as a receipt of goods, as documentary evidence of title, for clearing customs, and generally used as a contract of carriage. (1) "Commercial bill of lading (CBL)", unlike the Government bill of lading, is not an accountable transportation document. (2) "Government bill of lading (GBL)" is an accountable transportation document, authorized and prepared by a Government official. Carrier or "commercial carrier" means a common carrier or a contract carrier. Common carrier means a person holding itself out to the general public to provide transportation for compensation. Contract carrier means a person providing transportation for compensation under continuing agreements with one person or a limited number of persons. Government rate tender under 49 U.S.C. 10721 and 13712 means an offer by a common carrier to the United States at a rate below the regulated rate offered to the general public. Household goods in accordance with 49 U.S.C. 13102 means personal effects and property used or to be used in a dwelling, when a part of the equipment or supply of such dwelling, and similar property if the transportation of such effects or property is arranged and paid for by- (1) The householder, except such term does not include property moving from a factory or store, other than property that the householder has purchased with the intent to use in his or her dwelling and is transported at the request of, and the transportation charges are paid to the carrier by, the householder; or (2) Another party. Noncontiguous domestic trade means transportation (except with regard to bulk cargo, forest products, recycled metal scrap, waste paper, and paper waste) subject to regulation by the Surface Transportation Board involving traffic originating in or destined to Alaska, Hawaii, or a territory or possession of the United States (see 49 U.S.C. 13102(15) and 13702 ). Released or declared value means the assigned value of the cargo for reimbursement purposes, not necessarily the actual value of the cargo. Released value may be more or less than the actual value of the cargo. The released value is the maximum amount that could be recovered by the agency in the event of loss or damage for the shipments of freight and household goods.