The purpose of this article is to provide a basic understanding of the term FOB (Free on Board), which is one of the key terms in international trade. We will also examine how FOB is applied and what responsibilities are placed on the parties to a contract. FOB remains one of the most popular and widely used delivery terms in maritime shipping. General Meaning of FOB FOB means that the seller is responsible for delivering…
This article will discuss how the Gafta extension of the delivery/shipment clause works. We will also examine whether the discount applies to the whole shipment or only to a portion loaded outside the original delivery period. Extension of delivery period clauses are contained in the most commonly used Gafta proforma. These are contracts 48, 49, 64, and 100. In this article, I use Gafta 48 for illustration. General rules for extending the delivery period under…
