(a) General Rule. - Unless a contrary intention appears, a person negotiating or transferring a bill of lading for value warrants that - (1) the bill is genuine; (2) the person has the right to transfer the bill and the title to the goods described in the bill; (3) the person does not know of a fact that would affect the validity or worth of the bill; and (4) the goods are merchantable or fit for a particular purpose when merchantability or fitness would have been implied if the agreement of the parties had been to transfer the goods without a bill of lading. (b) Security for Debt. - A person holding a bill of lading as security for a debt and in good faith demanding or receiving payment of the debt from another person does not warrant by the demand or receipt - (1) the genuineness of the bill; or (2) the quantity or quality of the goods described in the bill. (c) Duplicates. - A common carrier issuing a bill of lading, on the face of which is the word "duplicate" or another word indicating that the bill is not an original bill, is liable the same as a person that represents and warrants that the bill is an accurate copy of an original bill properly issued.

The carrier is not otherwise liable under the bill. (d) Indorser Liability. - Indorsement of a bill of lading does not make the indorser liable for failure of the common carrier or a previous indorser to fulfill its obligations.