§ 26-1-2-320 — C.I.F. and C.&F. terms

Indiana § 26-1-2-320

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 2: Sales

Text

(1) 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.
(2) 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
(a) 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
(b) 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
(c) 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
(d) prepare an invoice of the goods and procure any other
documents required to effect shipment or to comply with the contract;
and
(e) forward and tender with commercial promptness all the
documents in due form and with any endorsement necessary to perfect
the buyer's rights.
(3) 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.
(4) 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.
Formerly: Acts 1963, c.317, s.2-320.