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FCA – The seller leaves most things to the buyer

FCA – The seller leaves most things to the buyer

The terms of sale can be thought of as sitting on a sliding scale of responsibilities, which are split between buyers and sellers according to the Incoterms Rules.

At one end, risk and cost are loaded toward the buyer, and at the other end, they fall mainly with the seller. The principal consideration is who arranges and pays for the main carriage.

Under FCA, the buyer is responsible for arranging the main carriage. The risk of loss or damage during transit passes from the seller to the buyer just before that carriage commences, typically at or relatively close to the seller’s premises in the country of origin.

This term is suitable for most kinds of goods carried by road, rail, air, sea, or inland waterway (or any combination of these).

The named place is the seller’s premises, and risk transfers from the seller to the buyer when the goods are loaded to the carrier’s vehicle at the seller’s premises.

The buyer arranges and pays for the onward carriage.

This term is suitable for most kinds of goods carried by road, rail, air, sea, or inland waterway (or any combination of these).

The named place is the place where the goods are handed over to the main carrier (typically this is the carrier’s terminal in the country of origin), and risk transfers from the seller to the buyer when the goods are made available to the carrier (i.e., ready for unloading from the seller’s vehicle).

The buyer arranges and pays for the onward carriage.

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