52.247-39 F.o.b. Inland Point, Country of Importation
Source: FAR 52.247-39 on acquisition.gov
Contractors must deliver goods to the specified inland point in the country of importation at their own expense and risk, ensuring the Government incurs no costs or risks until delivery is complete.
Overview
FAR 52.247-39 defines the responsibilities of contractors when the delivery term is "f.o.b. inland point, country of importation." This clause requires contractors to deliver goods to a specified inland point within the country of importation, free of expense to the Government, and to assume all risks and costs until delivery at the designated location. The clause outlines specific requirements for packing, marking, transportation, and documentation, ensuring that the Government receives goods at the consignee’s facility without incurring additional charges or risks prior to delivery.
Key Rules
- Definition of F.o.b. Inland Point, Country of Importation
- Delivery must be made free of expense to the Government, on board the carrier’s conveyance, at the specified inland point where the consignee’s facility is located.
- Contractor Responsibilities for Packing and Marking
- Contractors must pack and mark shipments according to contract specifications or, if absent, in accordance with carrier requirements for ocean transport.
- Delivery and Cost Obligations
- Contractors must deliver goods in good order to the specified inland point and pay all costs up to that point, including transportation, taxes, duties, and documentation.
- Risk of Loss
- Contractors are responsible for any loss or damage to goods until they arrive at the specified inland point on the carrier’s conveyance.
Responsibilities
- Contracting Officers: Ensure the clause is included in applicable contracts and verify compliance with delivery and cost requirements.
- Contractors: Must pack, mark, transport, and deliver goods as specified, pay all associated costs, and bear risk of loss until delivery.
- Agencies: Oversee contract performance and ensure goods are received as required.
Practical Implications
- This clause ensures the Government receives goods at the intended location without incurring extra costs or risks before delivery.
- Contractors must carefully manage logistics, documentation, and risk up to the point of delivery.
- Common pitfalls include failing to account for all required costs or misunderstanding the point at which risk transfers to the Government.
As prescribed in 47.303-11(c), insert the following clause in solicitations and contracts when the delivery term is f.o.b. inland point, country of importation:
F.o.b. Inland Point, Country of Importation (Apr 1984)
(a) The term "f.o.b. inland point, country of importation," as used in this clause, means free of expense to the Government, on board the indicated type of conveyance of the carrier, delivered to the specified inland point where the consignee’s facility is located.
(b) The Contractor shall-
(1)
(i) Pack and mark the shipment to comply with contract specifications; or
(ii) In the absence of specifications, prepare the shipment for ocean transportation in conformance with carrier requirements to protect the goods;
(2)
(i) Deliver, in or on the inland carrier’s conveyance, the shipment in good order and condition to the specified inland point where the consignee’s facility is located; and
(ii) Pay and bear all applicable charges incurred up to the point of delivery, including transportation costs; export, import, or other fees or taxes; costs of landing; wharfage costs; customs duties and costs of certificates of origin; consular invoices; and other documents that may be required for importation; and
(3) Be responsible for any loss of and/or damage to the goods until their arrival on or in the carrier’s conveyance at the specified inland point.
(End of clause)