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1、The detailed explanation of E termsThe detailed explanation of F termsThe detailed explanation of C termsThe detailed explanation of D terms2021/7/231 Ex works means the sellers only responsibility is to make the goods available at the sellers premises, i.e. factory. The seller is not responsible fo
2、r loading the goods on the vehicle provided by the buyer unless otherwise agreed. 2021/7/232 The buyer bears the full costs and risk involved in collecting the goods from there to the desired destination. Ex works represents the minimum obligation of the seller. 2021/7/233 The E term is the term in
3、which the sellers obligation is at its mini mum: the seller has to do no more than place the goods at the disposal of the buyer at the agreed place usually at the sellers own premises.2021/7/234 On the other hand, as a matter of practical reality, the seller would frequently assist the buyer in load
4、ing the goods on the latters collecting vehicle.2021/7/235 Although EXW would better reflect this if the sellers obligations were to be extended so as to include loading, it was thought desirable to retain the traditional principle of the sellers minimum obligation under EXW so that it mild he used
5、for cases where the seller does not wish to assume any obligation whatsoever with respect to the loading of the goods.2021/7/236 If the buyer wants the seller to do more, this should he made clear in the contract of sale. 返回返回2021/7/237IntroductionFOBFASFCA2021/7/238 The F term require the seller to
6、 deliver the goods for carriage as instructed by the buyer. 2021/7/239 The point at which the parties intend delivery to occur in the FCA term has caused difficulty because of the wide variety of circumstances which may surround contracts covered by this term.2021/7/2310 This term has been designed
7、to meet the requirements of multimodal transport, such as container or roll-on, roll-off traffic by trailers and ferries. 2021/7/2311 If no precise place can be named at the time of the contract of sale, the parties should refer to the place where the carrier should take the goods into its charge. 2
8、021/7/2312 The risk of loss or damage to the goods is transferred from seller to buyer at that time and not at the ships rail. 2021/7/2313 The term carrier means any person by whom or in whose name a contract of carriage by road, rail, air, sea, or a combination of modes has been made. When a seller
9、 has been furnished a bill of lading, way bill or carriers receipt, the seller duly fulfills its obligation by presenting such a document issued by a carrier. 2021/7/2314 Incoterms 2000 take amount of these alternatives by stipulating that, when the place named in the contract as the placed of deliv
10、ery is the sellers premises, delivery is complete when the goods are loaded on the buyers collecting vehicle and, in other cases, delivery is complete when the goods are placed at the disposal of the buyer not unloaded from the sellers vehicle.2021/7/2315 It （FCA） is based on the same name principle
11、 as F.O.B. (free on board), except that the seller fulfills its obligations when the goods are delivered to the custody of the carrier at the named place. 返回返回2021/7/2316 FOB FREE ON BOARD (. named port of shipment) Under F.O.B. the goods are placed on board the ship by the seller at a port of shipm
12、ent named in the sales agreement. 2021/7/2317 The risk of loss of or damage to the goods is transferred to the buyer when the goods pass the ships rail (i.e., off the dock and placed on the ship). The seller pays the cost of loading the goods.2021/7/2318 The notion under FOB to deliver the goods acr
13、oss the ships rail nowadays may seem inappropriate in many cases, it is nevertheless understood by merchants and applied in a manner which takes 2021/7/2319 Unfortunately, the word FOB is used by some merchants merely to indicate any point of delivery such as FOB factory, FOB plant, FOB Ex sellers w
14、orks or other inland points thereby neglecting what the abbreviation means: Free On Board. 2021/7/2320 It remains the case that such use of FOB tends to create confusion and should be avoided. 返回返回2021/7/2321 FAS FREE ALONGSIDE SHIP (. named port of shipment) F.A.S. or free alongside ship requires t
15、he seller to deliver the goods alongside the ship on the quay. 2021/7/2322 From that point on, the buyer bears all costs and risks of loss and damage to the goods. Unlike F.O.B., F.A.S. requires the buyer to clear the goods for export and pay the cost of loading the goods. 2021/7/2323 There is an im
16、portant change of FAS relating to the obligation to clear the goods for export, since it appears to be the most common practice to put this duty on the seller rather than on the buyer. 返回返回2021/7/2324CIFCIPInsurance小结小结 返回返回2021/7/2325 Cost, Insurance and Freight means that the seller delivers when
17、the goods pass the ships rail in the port of shipment.2021/7/2326 CIF COST, INSURANCE AND FREIGHT (. named port of destination) CIF is CFR with the additional requirement that the seller procure transport insurance against the risk of loss or damage to goods. The seller must contract with the insure
18、r and pay the insurance premium.2021/7/2327 The seller must pay the costs and freight necessary to bring the goods to the named port of destination BUT the risk of loss of or damage to the goods, as well as any additional costs due to events occurring after the time of delivery，2021/7/2328 are trans
19、ferred from the seller to the buyer.However, in CIF the seller also has to procure marine insurance against the buyers risk of loss of or damage to the goods during the carriage.2021/7/2329 Consequently, the seller contracts for insurance and pays the insurance premium. The buyer should note that un
20、der the CIF term the seller is required to obtain insurance only on minimum cover. 2021/7/2330 Should the buyer wish to have the protection of greater cover, he would either need to agree as much expressly with the seller or to make his own extra insurance arrangements.2021/7/2331 The CIF term requi
21、res the seller to clear the goods for export.This term can be used only for sea and inland waterway transport. If the parties do not intend to deliver the goods across the ships rail, the CIP term should be used. 返回返回2021/7/2332 CIP CARRIAGE AND INSURANCE PAID TO (. named place of destination) This
22、term is the same as freight/carriage paid to (CPT) but with the additional requirement that the seller has to procure transport insurance against the risk of loss or damage to the goods during the carriage. 2021/7/2333The seller contracts with the insurer and pays the insurance premium. 返回返回2021/7/2
23、334 The C-terms require the seller to contract for carriage on usual terms at his own expense.Therefore, a point up to which he would have to pay transport costs must necessarily be indicated after the respective C-term. 2021/7/2335 Under the CIF and CIP terms the seller also has to take out insuran
24、ce and bear the insurance cost. Since the point for the division of costs is fixed at a point in the country of destination, the C-terms are frequently mistakenly believed to be arrival contracts, in which the seller would bear all risks and costs until the goods have actually arrived at the agreed
25、point.2021/7/2336 However, it must be stressed that the C-terms are of the same nature as the F-terms in that the seller fulfils the contract in the country of shipment or dispatch. 2021/7/2337 Thus, the contracts of sale under the C-terms, like the contracts under the F-terms, fall within the categ
26、ory of shipment contracts.2021/7/2338 It is in the nature of shipment contracts that, while the seller is bound to pay the normal transport cost for the carriage of the goods by a usual route and in a customary manner to the agreed place, the risk of loss of or damage to the goods, as well as additi
27、onal costs resulting from events occurring after the goods having been appropriately delivered for carriage, fall upon the buyer.2021/7/2339 It is of the very essence of the C-terms that the seller is relieved of any further risk and cost after he has duly fulfilled his contract by contracting for c
28、arriage and handing over the goods to the carrier and by providing for insurance under the CIF- and CIP-terms。2021/7/2340 The essential nature of the “C”-terms as shipment contracts is also illustrated by the common use of documentary credits as the preferred mode of payment used in such terms. Wher
29、e it is agreed by the parties to the sale contract that the seller will be paid by presenting the agreed shipping documents to a bank under a documentary credit,2021/7/2341 Of course, the seller would have to bear the cost of the contract of carriage irrespective of whether freight is pre-paid upon
30、shipment or is payable at destination (freight collect);2021/7/2342 however, additional costs which may result from events occurring subsequent to shipment and dispatch are necessarily for the account of the buyer.2021/7/2343 It happens quite often that the parties to the contract of sale wish to cl
31、arify the extent to which the seller should procure a contract of carriage including the costs of discharge. Since2021/7/2344 such costs are normally covered by the freight when the goods are carried by regular shipping lines, the contract of sale will frequently stipulate that the goods are to be s
32、o carried or at least that they are to be carried under liner terms. 2021/7/2345 In other cases, the word landed is added after CFR or CIF. However, it is advisable not to use abbreviations added to the C-terms unless, in the relevant trade, the meaning of the abbreviations is clearly understood and
33、 accepted by the contracting parties or under any applicable law or custom of the trade.2021/7/2346 In particular, the seller should not and indeed could not, without changing the very nature of the C-terms - undertake any obligation with respect to the arrival of the goods at destination, 2021/7/23
34、47 since the risk of any delay during the carriage is borne by the buyer. Thus, any obligation with respect to time must necessarily refer to the place of shipment or dispatch, 2021/7/2348 For example, shipment (dispatch) not later than. An agreement for example, CFR Hamburg not later than. is reall
35、y a misnomer and thus open to different possible interpretations. 2021/7/2349 The parties could be taken to have meant either that the goods must actually arrive at Hamburg at the specified date, in which case the contract is not a shipment contract but an arrival contract or, alternatively, that th
36、e seller must ship the goods at such a time that they would normally arrive at Hamburg before the specified date unless the carriage would have been delayed because of unforeseen events2021/7/2350 In practice, the parties frequently continue to use the traditional expression C&F (or C and F,C+F). Ne
37、vertheless, in most cases it would appear that they regard these expressions as equivalent to CFR. 2021/7/2351 Although the Incoterms seek to ensure that the seller provides the buyer withproof of delivery, it should be stressed that the seller fulfils that requirement when he provides the usual pro
38、of. 2021/7/2352 Under CPT and CIP it would be the usual transport documentand under CFR and CIF a bill of lading or a sea waybill. 2021/7/2353 The transport documents must beclean, meaning that they must not contain clauses or notations expressly declaring a defective condition of the goods and/or t
39、he packaging. If such clauses or notations appear in the document, it is regarded as unclean and would then not be accepted by banks in documentary credit transactions.2021/7/2354 However, it should be noted that a transport document even without such clauses or notations would usually not provide t
40、he buyer with incontrovertible proof as against the carrier that the goods were shipped in conformity with the stipulations of the contract of sale.2021/7/2355 In order to avoid difficulties of interpreting their contract the parties should use the correct Incoterm which is CFR, the only world-wide-
41、accepted standard abbreviation for the term Cost and Freight (. named port of destination)“ 返回返回2021/7/2356insurance There are only two terms which deal with insurance, namely CIF and CIP. Under these terms the seller is obliged to procure insurance for the benefit of the buyer.2021/7/2357 Since in
42、the sale of commodities under the CIF term the buyer may wish to sell the goods in transit to a subsequent buyer who in turn may wish to resell the goods again, it is impossible to know the insurance cover suitable to such subsequent buyers and, therefore, the minimum cover under CIF has traditional
43、ly been chosen with the possibility for the buyer to require the seller to take out additional insurance.2021/7/2358 It is particularly important for the CIP-buyer to observe this: should additional cover be required, he should agree with the seller that the latter could take out additional insuranc
44、e or,alternatively, arrange for extended insurance cover himself. 2021/7/2359 There are also particular instances where the buyer may wish to obtain even more protection than is available 2021/7/2360 If he wishes the seller to arrange such insurance he must instruct him accordingly in which case the
45、 seller would have to provide such insurance if procurable. 返回返回2021/7/2361 D termsIntroductionsDAFDES DEQDDUDDP 小结小结 返回返回2021/7/2362 The D terms are different in nature from the C terms, since the seller according to the D terms is responsible for the arrival of the goods at the agreed place or poi
46、nt of destination at the border or within the country of import.2021/7/2363 The seller must bear all risks and costs in bringing the goods thereto. Hence, the D terms signify arrival contracts, while the C terms evidence departure (shipment) contracts. 返回返回2021/7/2364 DAF DELIVERED AT FRONTIER (. na
47、med place) Delivered at frontier means that the sellers obligations are fulfilled when the goods have arrived at the frontier but before the customs border of the country named in the sales contract. 2021/7/2365 The term is primarily used when goods are carried by rail or truck. The seller bears the
48、 full cost and risk in delivering the goods up to this point, but the buyer must arrange and pay for the goods to clear customs.返回返回2021/7/2366 DES DELIVERED EX SHIP (. named port of destination) Means the seller shall make the goods available to the buyer on board the ship at the place named in the
49、 sales contract. 2021/7/2367 The seller bears the full cost and risk involved in bringing the goods there. The cost of unloading the goods and any customs duties must be paid by the buyer. 返回返回2021/7/2368 DEQ DELIVERED EX QUAY (. named port of destination) Means the seller has agreed to make the goo
50、ds available to the buyer on the quay or wharf at the place named in the sales contract. 2021/7/2369 The seller bears the full cost and risks in delivering the goods to that point including unloading. 返回返回2021/7/2370DDU DELIVERED DUTY UNPAID (. named place of destination) Under these terms, the sell
51、er fulfills his obligation to deliver when the goods have been available to the buyer not cleared for import at the point or place of the named destination. 2021/7/2371 The seller bears all costs and risks involved in bringing the goods to the point or place of named destination. There is no obligat
52、ion for import clearance.返回返回2021/7/2372DDP DELIVERED DUTY PAID (. named place of destination) represents the sellers maximum obligation. The term DDP. is generally followed by words indicating the buyers premises. It notes that the seller bears all risks and all costs until the goods are delivered.
53、 2021/7/2373 This term can be used irrespective of the mode of transport. If the parties wish to make clear that the seller is not responsible for certain costs, additional word should be added (for example, delivered duty paid exclusive of VAT and/or taxes). 返回返回2021/7/2374 Under the D terms except
54、 DDP the seller does not have to deliver the goods cleared for import in the country of destination.2021/7/2375 Traditionally, the seller had the obligation to clear the goods for import under DEQ, since the goods had to he landed on the quay and thus were brought into the country of import.2021/7/2
55、376 But owing to changes in customs clearance procedures in most countries, it is now more appropriate that the party domiciled in the country concerned undertakes the clearance and pays the duties and other charges. 2021/7/2377 Thus, a change in DEQ has been made for the same reason as the change in FAS previously mentioned. As in FAS, in DEQ the change has been marked with capital letters in the preamble. 返回返回2021/7/2378
