Incoterms Issues and Concerns

Course Overview

This course delves into the details of Incoterms, focusing on key responsibilities, risk transfer, and nuances in various terms. Participants will explore the required trade term citation elements, the passage of risk under EXW, and the impact of loading assistance on risk allocation. The course covers the “F” terms, highlighting the differences between FCA origin and other points, as well as challenges with FAS and FOB terms. Further, it addresses the “C” Incoterms, minimum insurance requirements, and the “D” terms, emphasizing risk passage, pros and cons, and customs clearance responsibilities.

Required trade term citation particulars (term abbreviation, delivery location, delivery time or period, applicable version year of Incoterms)
When passage of risk of cargo loss or damage occurs under EXW terms
How the buyer’s failure to pick up cargo within the time specified affects passage of risk of cargo loss under EXW
How the initial transport mode can affect the use of EXW terms
Concerns a seller under EXW terms should have before providing assistance in loading the buyer’s origin transportation conveyance
The meaning of “EXW loaded,” how this differs from FCA origin, and why “EXW loaded” should generally be avoided in a sales contract
The respective responsibilities of seller and buyer under each of the “F” terms
The point(s) at which delivery occurs and risk passes under each of the “F” terms
The important difference in the respective responsibilities of the parties between “FCA origin” and FCA (some other point)
Issues with FAS and FOB terms
Respective responsibilities under the “C” Incoterms
Passage of risk of loss and damage to cargo under the “C” Incoterms
The minimum insurance coverage the seller must provide under CIF and CIP terms
Respective responsibilities and passage of risk under the “D” Incoterms
Passage of risk under the “D” Incoterms
Pros and cons of using “D” terms
Responsibility for destination country customs clearance under Incoterms

Key trade term citation particulars, including delivery details, applicable Incoterms version, and the impact of initial transport modes and specific terms like “EXW loaded.”
Passage of risk and responsibilities under EXW, “F,” “C,” and “D” terms, including differences between FCA origin and other points, and the implications of buyer delays.
Seller and buyer obligations under each Incoterm, focusing on risk transfer, delivery points, and customs clearance responsibilities.
Minimum insurance requirements under CIF and CIP, and considerations for avoiding problematic terms like “EXW loaded.”
Issues and distinctions related to FAS, FOB, and “D” terms, highlighting their pros, cons, and risk management concerns.