5) CFR : cost and freight...named port of destination
- Use: maritime transportation
- Type of sale: sale at departure
Only mode of maritime transportation
Assumed by the seller
Main obligations of the parts
- The seller have:
- To conduct the clearance export. if it is necessary.
- To deliver the goods on board of the ship in the port of embarking.
- To conclude the contract of transportation and to pay for freight until the agreed destination port.
- To pay for the expenses of discharge as far as they are included in freight.
- The buyer have:
- To receive the goods in the agreed destination port.
- To support the risks from the moment where the goods passed the bulwark of the ship in the port of embarking.
- To pay for the expenses of discharge as far as they are not included in freight.
- To conduct the clearance import.
Other important points
- Documents demanded of the seller: commercial invoice or equivalent computer data:
net carriage document (bill of lading or maritime transportation letter).
- Delicate point:
the purchaser doesn't have a recourse anymore against the salesperson from the moment he accepted carriage document.
However, if the delivered goods are not in conformity with the contract,
he can exercise a right of recourse against the salesperson because of the failure to respect of the contract.