matters critical to understanding and using the Incoterms® 2020 rules

CPT/CIP – Delivery, Risk and interaction with Letter of Credit

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CPT CIP delivery and interaction with Letter of credit - shipping and freight resource

CPT stands for “Carriage Paid To” and should be shown as CPT (named place of destination) Incoterms® 2020. CIP stands for “Carriage and Insurance Paid To” and should be shown as CIP (named place of destination) Incoterms® 2020.

Under CPT and CIP, the seller delivers the goods and transfers the risk to the buyer when

– the goods are handed over to the carrier contracted by the seller, or
– by procuring the goods so delivered.… Read More »

FCA Delivery and Letter of Credit interaction

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FCA delivery and letter of credit

FCA stands for Free Carrier and should be shown as FCA (named place of delivery) Incoterms® 2020.. Under FCA, the seller delivers the goods to the buyer

– when the named place is the seller’s premises
– when they are loaded on the means of transport arranged by the buyer
– when the named place is another place having been loaded on the seller’s means of transport and the goods are ready for unloading from that seller’s means of transport when it reaches the named place and placed at the disposal of the carrier or of another person nominated by the buyer.… Read More »