As far as UCP 500 is concerned, there is no such article to require the use of Incoterms, although putting an Incoterm to match the transport mode chosen is ideal.
However, from our experience as an LC consultant, the most dangerous thing is to use Incoterms without fully understanding them. Sometimes, the damages are far worst than not using Incoterms.
In the case presented by the enquirer, he should use those Incoterms 2000 with "...name place" such as DAF or DDU. Then the party, seller or buyer, responsible for naming the place of delivery, can name such a place of delivery.
A seller who doesn't know too much about the buyer's country, should do some homework before he names such named place of delivery in "D" term, such as DAF DES, DEQ, DDU and DDP. Otherwise he is looking for troubles.
Similarly for a buyer who does not know too much about the seller's country, he should do some homework if he uses "E" term like "EXW" and "F" terms like FCA, FAS or FOB.
Under "F" terms, there is "no obligation" for naming the place or port of delivery. So the seller may also name the place or port of delivery. So it all depends on the sales contract and the intention or mutual agreement of the parties as to who is responsible for naming the place or port of delivery.
My suggestion is that if you are not absolutely sure about the rights and obligations under a particular Incoterm, better don't use it. If you want to use it nevertheless, it is advisale to get an expert's recommendation as an insurance to avoid unpleasant surprises.
For me, Incoterm is like a Ferrari, Bosche or Lamborghini super sports car. Everybody wishes to own and drive one, very fancy indeed. But unless one can handle this super toy well, otherwise one may pay with one's life for a short ride.
Please fasten seat belt!
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[edited 5/22/01 3:14:31 PM]
[edited 10/26/01 3:40:20 AM]