Question: DDP (Delivered Duty Paid) means that the seller/shipper is under the obligation to deliver the goods to the destination cleared for importation and thus bears all risks and costs, including duties and taxes to comply with that obligation. However, as the seller/shipper arranging the customs clearance, we are not legally able to act […]
Question: I’m looking for the correct Incoterm to use for purchases from Canada, whereby the seller is responsible for Customs clearance/duties in the US, but the freight is paid by the buyer. It seems the Incoterms assume that if the Duties are paid by the seller, then so are the freight charges. In our case, […]
Question: Can anyone offer a comment or an example as to whether you can “force” an Incoterm to become legally binding if you place it into a legally binding document (such as a contact or Terms and Conditions)? **************** ANSWERS: Do you think the Incoterm is not “legally binding” because Incoterms are not statutory? This […]
Question: Looking for opinions on how members handle off system exports of samples, replacement parts, or other materials to customers in foreign countries where your company has no physical presence. Prior to my arrival, my company has historically shipped “at our expense” and covered charges for both freight […]
We are negotiating with a supplier who, due to their desire to recognize revenue once the goods are picked up by the carrier, is suggesting EXW is the most appropriate INCOTERM. However, they are selecting the carrier (their house carrier), paying for delivery to our warehouse and will bill us separately for those […]
Question: Company in Baltimore sells to customers in Mexico. Instructions from the Mexican customer is to prepay the freight to Laredo and add the freight charges to the invoice. What Incoterms rules are other members utilizing for this type of transaction? We are looking at FCA carrier’s truck at time of pick-up in Baltimore […]
How do you determine if the following shipment would be routed export or not. Scenario:Our company in US sells to our sister companies in different countries, the sister companies assign the freight forwarder to handle the export and file the EEI,would this be a routed export transaction? I believe it would not be a routed […]
Company in Baltimore sells to customers in Mexico. Instructions from the Mexican customer is to prepay the freight to Laredo and add the freight charges to the invoice. What Incoterms rules are other members utilizing for this type of transaction? We are looking at FCA carrier’s truck at time of pick-up in Baltimore […]
How do you determine if the following shipment would be routed export or not. Scenario:Our company in US sells to our sister companies in different countries, the sister companies assign the freight forwarder to handle the export and file the EEI,would this be a routed export transaction? I believe it would not be a routed […]
Question: Our company’s revenue recognition policy is based on when risk transfers per the Incoterm used in the transaction. We have been promoting the use of “FCA Seller’s door” for domestic transactions when the inland freight is sent on a collect basis. For the instances when […]
Question: Simple (?) question. Purchase order and commercial invoice for shipment from Asia to US (to port of Houston) utilize INCOTERMS of “CFR Houston” – no additional statements or conspicuous clarifications. Not crazy about the terms, but despite being a global-scale importer, we often tend to let our suppliers decide our freight […]
QUESTION: Does anyone have a chart of payment terms that are acceptable under various Incoterms? There is one on page 140 of Incoterms for Americans book but I do not understand what ‘W/O’ means (can anyone explain this) – and this list is not exhaustive. We are struggling with a customer in Brazil […]
