Incoterms CFR

RashidHasan · Post by **RashidHasan** » Wed Feb 11, 2009 12:00 am

I have a specific question on the change in title to the goods under a blank endorsed BL - is it at the ships rail as in Inco terms (CFR A5). When does title actually change from the Vendor to the buyer?

GlennRansier_ · Post by **GlennRansier_** » Thu Feb 12, 2009 12:00 am

Unsure if I am responding to the exact question being asked. In general, when a BL is in negotiable form and made out "to order" or "to order of shipper" it will require a blank endorsement in order to allow the holder to obtain the related cargo. Since the carrier will have no way of knowing when the BL is endorsed or how/to whom it is endorsed, they will need an original presented to them to transfer title away from the shipper on record with them. Would suggest asking a carrier or a lawyer if more information is needed.

DonSmith · Post by **DonSmith** » Thu Feb 12, 2009 12:00 am

Incoterms do not speak to the transfer of ownership - title to the goods. Incoterms do not directly speak to the possession rights to the shipped goods. However, they do indicate the point where the seller's responsibility for the condition of the contract goods ends. Since beyond that point, the seller is no longer liable, it is the risk transfer point regardless if the shipment is or isn't insured. It's called DELIVERY and is found in every Incoterm.