Requirement to show Freight Collect or Prepaid on the L/C

Shahed · Post by **Shahed** » Fri May 11, 2007 1:00 am

Can i get your opinion whether it is mandatory to ask in the L/C, to state Freight Collect or Prepaid on the transport documents when the terms of purchase (FOB/CNF) is mentioned in the L/C.

DanielD · Post by **DanielD** » Sun May 13, 2007 1:00 am

Sean,
No, and the more so since UCP 500 art. 33 has not been reintroduced in UCP 600
Daniel

KimChristensen · Post by **KimChristensen** » Sun May 13, 2007 1:00 am

Dear Sean,

The short answer is: this is not mandatory – although common.

There are few cases where these things do not go hand in hand. Vital is that the LC reflects what has been agreed / what is expected to happen.

If you provide more info – you may get a more precise answer.

Best regards
Kim