FOB Terms and Responsibilities |
|||||
FOB Term |
Payment |
Who |
Owns |
Who |
Explanation |
FOB Shipping Point, |
Buyer |
Buyer |
Buyer |
Buyer |
Title and control of goods passes to Buyer when carrier signs for goods at the vendor's location. Carrier bills Buyer directly. |
FOB Shipping Point, |
Seller |
Seller |
Buyer |
Buyer |
Title passes to Buyer at vendor's dock. Seller pays and absorbs all freight costs. |
FOB Shipping Point, |
Seller |
Buyer |
Buyer |
Buyer |
Title passes to Buyer at vendor's dock. Seller pays shipping costs and adds the cost to their invoice. |
FOB Destination, |
Buyer |
Buyer |
Seller |
Seller |
Title passes to Buyer when goods are delivered. Carrier bills Buyer for the freight costs. |
* FOB Destination,
|
Seller |
Seller |
Seller |
Seller |
Title passes to Buyer when goods are delivered. Seller pays and absorbs all freight costs. |
FOB Destination, |
Seller |
Buyer |
Seller |
Seller |
Title passes to Buyer when goods are delivered. Seller pays shipping costs and adds the cost to their invoice. |