§ 25-2-321. C.I.F. or C. & F.: "Net landed weights"; "payment on arrival"; warranty of condition on arrival. - North Carolina Statutes

§25‑2‑321.  C.I.F. or C. & F.: "Net landed weights";"payment on arrival"; warranty of condition on arrival.

Under a contract containing aterm C.I.F. or C. & F.

(1)        Where the price isbased on or is to be adjusted according to "net landed weights,""delivered weights," "out turn" quantity or quality or thelike, unless otherwise agreed the seller must reasonably estimate the price.The payment due on tender of the documents called for by the contract is theamount so estimated, but after final adjustment of the price a settlement mustbe made with commercial promptness.

(2)        An agreementdescribed in subsection (1) or any warranty of quality or condition of thegoods on arrival places upon the seller the risk of ordinary deterioration,shrinkage and the like in transportation but has no effect on the place or timeof identification to the contract for sale or delivery or on the passing of therisk of loss.

(3)        Unless otherwiseagreed where the contract provides for payment on or after arrival of the goodsthe seller must before payment allow such preliminary inspection as isfeasible; but if the goods are lost delivery of the documents and payment aredue when the goods should have arrived. (1965 c. 700, s. 1.)