FCA free carrier (…… Designated place)
“Free carrier (… “Designated place” means that the seller should deliver the goods to the carrier designated by the buyer at the designated place and complete the export customs clearance procedures. It should be noted that the choice of place of delivery has an impact on the obligation to load and discharge goods at that place. The Seller shall be responsible for loading the goods if the goods are delivered at the seller’s place of delivery, and shall not be responsible for discharging the goods if the goods are delivered at any other place. The term can be used for various modes of transport, including multimodal transport.
“Carrier” means any person in a contract of carriage who undertakes to carry or to carry by another person by rail, road, air, sea, inland waterway or a combination of the above. If the buyer appoints a person other than the carrier to take delivery of the goods, the seller shall be deemed to have fulfilled its obligation of delivery when the goods are delivered to such person.
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A: Seller’s obligations B: Buyer’s obligations
A1 Supplies the goods in accordance with the contract
The Seller must provide the goods and commercial invoices or equivalent electronic messages in conformity with the contract of sale and any other evidence of conformity as may be required by the contract.
B1 Payment of the price
The buyer must pay the price in accordance with the sales contract.
A2 Licenses, other permits and procedures
The Seller must obtain, at its own risk and expense, any export license or other official permission and, where necessary, complete all customs formalities necessary for the export of the goods.
B2 Permits, other permits and procedures
The buyer must obtain, at his own risk and expense, an import license or other official permission and, where necessary, complete all customs formalities for the import and transit of goods from other countries.
A3 Transport contract and insurance contract
- A) Contract of carriage
No obligation. However, if the Buyer so requests, or if it is commercial practice and the Buyer fails in due course to give the Seller instructions to the contrary, the Seller may conclude a contract of carriage on the usual terms and conditions at the buyer’s expense and risk. In either case, the seller may refuse to enter into this contract; In case of refusal, the buyer shall be notified immediately.
- B) Insurance contract
B3 Transport contract and insurance Contract
- A) Contract of carriage
The Buyer must, at its own cost, enter into a contract for the carriage of the goods from a designated place, unless the seller has entered into a contract for carriage under A3a).
- B) Insurance contract
The Seller must deliver the goods to the carrier or other person nominated by the Buyer or selected by the Seller in accordance with A3a at the named place of delivery and within the agreed delivery date or period.
Delivery will be made at the following time:
- A) if the named place is the seller’s place when the goods are loaded on a means of transport provided by a carrier nominated by the Buyer or by any other person acting on behalf of the Buyer;
- B) if the named place is not a) but any other place, the goods are on the seller’s means of transport and have not yet been discharged into the hands of a carrier or other person nominated by the Buyer or such carrier or other person selected by the Seller in accordance with A3a.
If no specific delivery point has been decided at the named place and several specific delivery points are available, the Seller may select the delivery point at the named place that best suits his purpose. In the absence of explicit instructions from the buyer, the Seller may deliver the goods for transport according to the mode of transport and/or the quantity and/or nature of the goods.
B4 takes delivery of goods
The buyer must take delivery of the goods when the seller delivers in accordance with A4.
A5 Risk transfer
Except as stipulated in B5, the Seller shall bear all risks of loss of or damage to the goods until delivery has been made in accordance with A4.
B5 Risk transfer
The Buyer shall bear all risks of loss or damage to the goods in accordance with the following provisions:
From the time of delivery in accordance with A4; And in the event that the Buyer fails to appoint a carrier or other person in accordance with A4, or its designated carrier or other person fails to take over the goods at the agreed time, or the Buyer fails to give the Seller the appropriate notice in accordance with B7, That is, goods clearly delineated or otherwise identified under the Contract.
A6 Cost division
Except as provided in B6, the Seller must pay
All expenses related to the goods until the goods have been delivered in accordance with A4; And, if necessary, the customs formalities for the export of the goods and all customs duties, duties and other fees payable for the export.
B6 Cost division
Buyer must pay
All expenses related to the goods from the time of delivery in accordance with A4; And because the buyer fails to specify the carrier in accordance with A4 or others, or because the person named by the buyer within the prescribed period of time to take over the goods, or because the buyer is not in accordance with regulations of the B7, give the seller the corresponding notification and any additional costs, but as the goods have been formally under a contract, that is clearly drawn or otherwise identified as the contract goods is limited. Where customs formalities are required, all duties, duties and other charges payable on the importation of goods, as well as customs formalities and transit expenses from other countries.
A7 Notify the buyer
The seller must give the buyer sufficient notice that the goods have been delivered to the carrier in accordance with A4. If the carrier fails to take delivery of the goods within the agreed time, the seller must notify the buyer accordingly.
B7 Notify the seller
The Buyer must give the Seller full notice of the name of the person named in accordance with A4 and specify, as required, the mode of transport and the date or period of delivery to such person and, as the case may be, the specific point of delivery at the named place.
A8 Proof of delivery, transport document or equivalent electronic message The seller must, at its own cost, provide the Buyer with the usual documents evidencing delivery in accordance with A4. Unless described in the documents referred to in the preceding paragraph is the transport document, at the request of the buyer and shall be borne by the risk and cost, the seller must give the buyer all assistance, in order to obtain the contract of carriage of the transport documents (such as negotiable bill of lading, a non-negotiable sea waybill, inland waterway transport document and air waybill, a railway consignment note, a road consignment note, or multimodal transport document).
If the parties agree to communicate electronically, the documents referred to in the preceding paragraph may be replaced by electronic data interchange (EDI) messages having the same effect.
B8 Proof of delivery, transport document, or electronic message with equivalent effect. The Buyer must accept the proof of delivery provided in accordance with A8.
A9 Checking, packing, marking
The seller must pay the cost of checking the goods (such as checking quality, measuring, weighing, and counting) in order to make delivery in accordance with A4.
The Seller must provide, at his own cost, such packing as is required in relation to the transport of the goods (e.g. mode of transport, destination) known to the Seller prior to the conclusion of the sales contract (unless the goods under the contract are normally shipped without packing in accordance with relevant industry practice). The package should be properly marked.
B9 Cargo inspection
The buyer must pay the cost of any pre-shipment inspection except that which is mandatory by the relevant authorities of the exporting country.
A10 Other obligations
At the request of the buyer and bear the risk and cost, the seller must give the buyer all assistance, to help the buyer made by the country of shipment and/or country of origin, issued or transmitted by the buyer to import goods from other countries as may be required and necessary transit need any documents or have the same effect of electronic messages (except listed A8). At the buyer’s request, the seller must provide the buyer with the information required for insurance.
B10 Other obligations
Buyer must pay all costs incurred in obtaining documents or electronic messages described in A10 and reimburse Seller for any costs incurred in assisting in accordance with that subsection and in concluding the contract of transport in accordance with A3a.
When the buyer requests the Seller’s assistance in concluding the contract of carriage in accordance with A3a), the Buyer must give the seller corresponding instructions.
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