47.303-2
F.o.b. origin, contractor’s facility
F.o.b. origin, contractor’s facility requires contractors to deliver goods free of expense to the Government by loading them onto the specified carrier at their own facility, with responsibilities and contract clauses clearly defined.
Overview
FAR 47.303-2 defines the delivery term "F.o.b. origin, contractor’s facility" and outlines the associated responsibilities for contractors and contracting officers. Under this term, the contractor must deliver goods free of expense to the Government, placing them on the specified carrier at the contractor’s facility, as detailed in the contract. The contractor’s responsibilities mirror those in FAR 47.303-1(b), which generally include preparing the shipment and loading it onto the carrier. The contracting officer is required to include the clause at 52.247-30 in solicitations and contracts using this delivery term, ensuring all parties understand their obligations regarding shipment and risk of loss transfer points.
Key Rules
- Definition of F.o.b. Origin, Contractor’s Facility
- Goods are delivered free of expense to the Government, loaded onto the specified carrier at the contractor’s facility.
- Contractor Responsibilities
- Contractors must fulfill the same obligations as under 47.303-1(b), including preparing and loading shipments.
- Required Contract Clause
- Contracting officers must insert clause 52.247-30 in relevant contracts and solicitations.
Responsibilities
- Contracting Officers: Ensure the correct clause (52.247-30) is included in contracts using this delivery term.
- Contractors: Prepare and load goods onto the carrier at their facility, following the requirements of 47.303-1(b).
- Agencies: Oversee compliance with delivery terms and proper clause inclusion.
Practical Implications
- This section clarifies where risk and expense transfer from contractor to Government, impacting shipping logistics and liability.
- Contractors must be diligent in preparing shipments and understanding their responsibilities at the point of origin.
- Failure to include the correct clause or follow procedures can result in disputes or noncompliance.