6) CIF : cost ,insurance 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.
- to subscribe an insurance policy for the purchaser's account in order to cover the risk until
the port of destination agreed. The coverage of this insurance is minimal.
The assured amount corresponds at the cost of purchase fixed in the contract raised to the minimum of 10%.
- 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) and the insurance contract.
- 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.