47-2320

47-2320. C.I.F. and C. & F. terms

A. The term C.I.F. means that the price includes in a lump sum the cost of the
goods and the insurance and freight to the named destination. The term C. & F. or C.F.
means that the price so includes cost and freight to the named destination.

B. Unless otherwise agreed and even though used only in connection with the stated
price and destination, the term C.I.F. destination or its equivalent requires the seller
at his own expense and risk to:

1. Put the goods into the possession of a carrier at the port for shipment and
obtain a negotiable bill or bills of lading covering the entire transportation to the
named destination; and

2. Load the goods and obtain a receipt from the carrier (which may be contained in
the bill of lading) showing that the freight has been paid or provided for; and

3. Obtain a policy or certificate of insurance, including any war risk insurance,
of a kind and on terms then current at the port of shipment in the usual amount, in the
currency of the contract, shown to cover the same goods covered by the bill of lading and
providing for payment of loss to the order of the buyer or for the account of whom it may
concern; but the seller may add to the price the amount of the premium for any such war
risk insurance; and

4. Prepare an invoice of the goods and procure any other documents required to
effect shipment or to comply with the contract; and

5. Forward and tender with commercial promptness all the documents in due form and
with any indorsement necessary to perfect the buyer's rights.

C. Unless otherwise agreed the term C. & F. or its equivalent has the same effect
and imposes upon the seller the same obligations and risks as a C.I.F. term except the
obligation as to insurance.

D. Under the term C.I.F. or C. & F. unless otherwise agreed the buyer must make
payment against tender of the required documents and the seller may not tender nor the
buyer demand delivery of the goods in substitution for the documents.