Freight terms, FOB destination indicate _________ is responsible for the freight charges.
Mathematics · College · Thu Jan 21 2021
Answered on
Freight terms, "FOB destination," indicate that the seller is responsible for the freight charges. "FOB" stands for "Free On Board" or "Freight On Board," and it is a term used in shipping that determines which party is liable for the goods in transit. In FOB destination contracts, ownership of the goods transfers from the seller to the buyer at the buyer’s location, which means the seller is responsible for the goods during transit and must pay the associated shipping costs. The seller owns the goods and is responsible for them until they are delivered and the risk of loss or damage remains with the seller up to that point.