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Legal Terms -Cost, insurance, and freight contracts, or CIF contracts
A kind of international sales agreement wherein the vendor agrees to provide the goods, as well as to enter into a carriage agreement with a sea carrier, guaranteeing delivery of the goods to the agreed-upon port of destination, and an insurance agreement with an insurer, providing coverage for the goods during transit. In order to fulfill his end of the bargain, the seller gives the buyer the necessary paperwork, which includes an insurance policy, a *bill of lading that certifies the contract of carriage, an invoice detailing the products and their cost, and any other documents included in the agreement. Payment against papers will typically be spelled out in the contract. Usually, the buyer assumes the risk of unintentional loss or damage as soon as the item is shipped. Incoterms 2020 define CIF as a *Incoterm.
A kind of international sales agreement wherein the vendor agrees to provide the goods, as well as to enter into a carriage agreement with a sea carrier, guaranteeing delivery of the goods to the agreed-upon port of destination, and an insurance agreement with an insurer, providing coverage for the goods during transit. In order to fulfill his end of the bargain, the seller gives the buyer the necessary paperwork, which includes an insurance policy, a *bill of lading that certifies the contract of carriage, an invoice detailing the products and their cost, and any other documents included in the agreement. Payment against papers will typically be spelled out in the contract. Usually, the buyer assumes the risk of unintentional loss or damage as soon as the item is shipped. Incoterms 2020 define CIF as a *Incoterm.
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