TERMS OF DELIVERY (INCOTERMS)

Most frequently used terms of delivery are:

FOB (свободно на борту судна)

FOB means «Free on Board. The goods are placed on board the ship by the seller at a port of shipment named in the sales contract. The risk of loss or damage to the goods is transferred from the seller to the buyer when the goods pass the ship's rail.

CIF(стоимость, страхование, фрахт)

GIF means «Cost, Insurance and Freight. This term is basically the same as С & F but with the addition that the seller has to procure marine insurance against the risk of loss of or damage to the goods during the carriage. The seller contracts with the insurer and pays the insurance premium.

EX Works (франко-завод, с завода)

«Ex Works» means that the seller's only responsi­bility is to make the goods available at his premises (i.e. works or factory). In particular he is not responsible for loading the goods in the vehicle provided by the buyer, unless otherwise agreed. The buyer bears the full cost and risk involved in bringing the goods from there to the desired destination. This term thus represents the minimum obligation for the seller.

FAS(свободно вдоль борта судна)

FAS means «Free Alongside Ship. Under this term the seller's obligations are fulfilled when the goods have been placed alongside the ship on the quay or in lighters. This means that the buyer has to bear all costs and risks of loss of or damage to the goods from that moment.

C&F (стоимость и фрахт)

С & F means «Cost and Freight». The seller must pay the costs and freight necessary to bring the goods to the named destination, but the risk of loss or damage to the goods is transferred from the seller to the buyer when the goods pass the ship's rail in the port of shipment.

ASSIGNMENTS:

1. Answer the following questions.

A 1) What types of business contracts do you know?

2) What is the most common form of transaction in the business world?

3) Under a contract one can acquire not only goods, but also services. May you give any examples of such contracts?

4) How may one be employed by a legal person? What types of employment contracts do you know?

5) What is an agent? What right does he have under a contract of agency?

6) Do banks provide many financial services to the commercial customers? Which of them did you use?

7) Do businesspeople risk in their business? What are they doing to minimize these risks?

8) What is the substance of a contract of insurance? Have you ever struck such contracts?

9) What does an insurance company compensate the insured person if the risk insured against does in fact occur?

10) On what terms does the owner of goods allow someone else to make use of them?

B1) What general topics do commercial contracts usually cover?

2) What other topics can such contracts include if their subjects are machines or equipment?

3) May one consider supplements to contracts as an integral part of them?

4) In what part of contract are juridical names of the parties given?

5) In what part of contract is the type of bargain defined?

6) On what terms are the goods delivered under a contract?

7) What does the price of goods include?

8) How can payments be done under contracts?

9) Which are the main requirements for packing in which goods are to be delivered under contract?

10) What kinds of marks are indicated on the face side of each packing of goods to be delivered?

11) What do the Claims, Sanctions and Arbitration clauses regulate?

12) Why does every contract contain a Force-Majeure clause?

13) What is the final clause of a contract?

Date: 2016-04-22; view: 1256