Incoterms® 2010 Q&A is a series of best-selling books helping users understand and benefit from ICC’s world famous Incoterms® rules.
This practical one-stop publication for traders and those that advise them, features a host of practical tools to help readers choose the correct Incoterms® 2010 rule for their deal and avoid costly mistakes arising from dangerous mismatches between the contract of sale and related documents such as ‘Letters of credit’ and ‘Contracts of carriage’.
Bringing together expert guidance and practical tools, this publication includes the following helpful materials and tools:
- Frequently asked general questions on the Incoterms® 2010 rules
- Guidance notes for each of the 11 Incoterms® 2010 rules
- A comprehensive glossary for commonly used trade terms
- Flowcharts and checklists to help readers manage the relevant documents related to a sale or purchase.
The successful application of all these guidelines will help the reader better understand the Incoterms® rules in order to implement them in the most efficient way in their contracts.
| Code ISBN : | 978-92-842-0197-6 |
| Number of pages : | 331 |
| Publishing date : | 2013 |
| Language : | English |
| Format in cm : | 13.5*22.9 |
• CHAPTER ONE – INTRODUCTION TO THE INCOTERMS® RULES
o Background
o The 5 Basic Questions: What, How, Where, Who, and Why?
- What are the Incoterms® rules?
- How are the Incoterms® rules properly used?
- Where do you find the Incoterms® rules?
- Who is bound by the Incoterms® rules?
- Why should importers and exporters use and understand the Incoterms® rules in detail?
o Documents for reference
- Incoterms® 2010 Guidance Notes
- Specimen form of ICC Model International Sale Contract
o How does one choose the right Incoterms® rule? – A decision-making checklist
o The Incoterms® 2010 rules and documents – documents commonly needed in sale transactions under the Incoterms® rules
o A note on ‘delivery’ under the Incoterms® rules
o Other common questions
o The Golden Rules of the Incoterms® rules
• CHAPTER TWO – GUIDANCE ON SELECTED INCOTERMS® RULES QUESTIONS BY ICC EXPERTS
o Incoterms® 2010 – General questions
1. Use of ® trademark symbol and letters of credit
2. ‘Terminal handling charges’
3. Costs of security charges
4. Export clearance ‘applicable’ in F-family of rules?
5. Non-freight costs during transit in C-family of rules
6. Stowage of full container loads
7. Incoterms® rules not designed to resolve accounting issues such as revenue recognition
8. Buyer faced with multiple charges from carrier under C-family of rules
9. Incoterms® 2010 rules do not address pipeline transactions
10. Containers going by sea under C-family of rules
11. Goods damaged prior to arrival at departure terminal under C-family of rules
12. Global insurance policy
13. Mandatory local law overriding Incoterms® 2010 rules
14. ‘Transport documents’ in the Incoterms® 2010 rules
15. ‘Usual proof of delivery’ v. ‘usual transport document’ in FCA, FAS and FOB
16. Obligation v. custom for transport documents in C-family of rules
o Incoterms 1990 – General questions
1. Customs not recognizing the Incoterms® rules
2. 2. Should industry standard terms refer to the Incoterms® rules?
3. 3. The Incoterms® rules as ‘payment terms’ – COD/CAD
4. 4. The Incoterms® rules and the European Single Market
5. 5. Bonded goods and bail cover costs
6. 6. Letters of credit and the Incoterms® rules
7. ‘C + I’ – Interpretation
8. ‘C’-family of Incoterms® rules v. ‘D’-family of Incoterms® rules
o Incoterms® 2010 – Multimodal questions
17. ‘Seller’s premises’ in FCA
18. ‘Seller’s means of transport’ in FCA
19. ‘First carrier’ in CPT and CIP
20. Seller using own means of transportation under DAT, DAP and DDP
21. ‘Terminal’ in DAT
22. Where to unload in DAT?
23. Buyer does not arrive to collect goods under DAP
24. Documents under DAP and DDP
25. VAT and DDP
26. Does need for on board transport document rule out FCA for containers?
27. Can seller refuse to load buyer’s arriving truck under FCA?
28. Who is ‘shipper’ on transport document under FCA?
29. Destination contract with seller unloading, but not at a terminal
30. Domestic arrival contracts for pre-imported foreign goods – DAP or DDP?
31. Seller doubts safety of buyer’s arriving truck under EXW
32. Who pays ‘container cleaning charges’ under DAP?
33. Relation of risk passage and export formalities under FCA, CPT and CIP
34. Delivery date under CIP?
o Incoterms 1990 – Multimodal questions
9. FCA – Forwarder’s handling fees
10. 10. FCA – Manner of delivery
11. FCA – Import duties levied by seller’s customs authorities
12. FCA – Port/airport handling charges not ‘official’ charges
13. DDU – Wharfage fee.
14. DDU – Customs clearance
15. DDU/DDP – Offloading and discharging
16. DDU – Customs clearance within reasonable time
o Incoterms® 2010 – Maritime questions
35. Ship and goods on different quays under FAS
36. 36. Containerized shipments and FOB, CFRand CIF
37. What does ‘on board’ mean in FOB, CFR and CIF?
38. 38. Risk transfer in ‘free in stowed and secured’ under FOB, CFR and CIF
39. Goods destroyed mid-loading under FOB
40. Packaging, containers and break bulk under FOB
41. Proof of delivery, bill of lading, under FOB
42. Loading a ship under FOB, CFR and CIF
43. Formalities in intra-EU sale under FOB
44. Risk and port charges under FOB
o Incoterms 1990 – Maritime questions
17. FAS – Delivery period
18. FAS – Who should be listed as shipper?
19. FAS/FOB – Differences between the two rules
20. FOB – Berthing and demurrage charges
21. FOB – Terminal handling charges
22. FOB – Transhipment
23. ‘FOB Airport’ – Payment of dangerous goods fee
24. FOB – ‘Deadfreight’ claim
25. FOB – What does it mean to ‘effectively’ pass ship’s rail?
26. CFR – Transfer of risk point
27. CFR – Unloading ‘liner out’
28. CFR – Unloading charges – Tramp vessels
29. CFR – Importer refusing to timely receive goods
30. CIF – Unloading costs
31. ‘CIF landed’
32. CIF – Date of shipment
33. CIF – Customs costs
34. CIF – Additional 10% insurance cover
35. CIF – ‘Destination delivery charges’ (DDC)
36. CIF – Quay dues at destination
37. CFR/CIF – Transfer of risk point/insurance
38. 3DES – Legal obligation to insure v. Commercial need to insure
39. DES – Quay dues
• ANNEXES
ANNEX 1 - Glossary – International trade and transport terms
ANNEX 2 – Sample Incoterms® 2010 decision flowcharts
ANNEX 3 – Documents commonly used in Incoterms® 2010 sales
ANNEX 4 – Incoterms® 2010 rules
ICC at a Glance
Selected ICC Publications.
The Incoterms® 2010 rules were drafted by a select international group of ICC member experts, in consultation with the broader global ICC membership through the network of ICC national committees.
The wide geographical and sectoral scope of the consultative process ensures that the Incoterms® 2010 rules reflect the current realities of international trade and respond to business needs everywhere.
CO-CHAIRS : CHARLES DEBATTISTA, CHRISTOPH MARTIN RADTKE DRAFTING GROUP MEMBERS : JENS BREDOW, JOHNNY HERRE, DAVID LOWE, LAURI RAILAS, FRANK REYNOLDS, MIROSLAV SUBERT. ICC SECRETARIAT : EMILY O’CONNOR, SHANE DALY.