§ 25-2-320. C.I.F. and C. & F. terms. - North Carolina Statutes

§25‑2‑320.  C.I.F. and C. & F. terms.

(1)        The term C.I.F.means that the price includes in a lump sum the cost of the goods and theinsurance 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 otherwiseagreed and even though used only in connection with the stated price anddestination, the term C.I.F. destination or its equivalent requires the sellerat his own expense and risk to

(a)        put the goods intothe possession of a carrier at the port for  shipment and obtain a negotiablebill or bills of lading covering the entire transportation to the nameddestination; and

(b)        load the goods andobtain a receipt from the carrier (which may be contained in the bill oflading) showing that the freight has been paid or provided for; and

(c)        obtain a policy orcertificate of insurance, including any war risk insurance, of a kind and onterms then current at the port of shipment in the usual amount, in the currencyof the contract, shown to cover the same goods covered by the bill of ladingand providing for payment of loss to the order of the buyer or for the accountof whom it may concern; but the seller may add to the price the amount of thepremium for any such war risk insurance; and

(d)        prepare an invoiceof the goods and procure any other documents required to effect shipment or tocomply with the contract; and

(e)        forward and tenderwith commercial promptness all the documents in due form and with anyindorsement necessary to perfect the buyer's rights.

(3)        Unless otherwiseagreed the term C. & F. or its equivalent has the same effect and imposesupon the seller the same obligations and risks as a C.I.F. term except theobligation as to insurance.

(4)        Under the termC.I.F. or C. & F. unless otherwise agreed the buyer must make paymentagainst tender of the required documents and the seller may not tender nor thebuyer demand delivery of the goods in substitution for the documents. (1965,c. 700, s. 1.)