Dictionary of Procurement Terms

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Search Results: 1-4 of 4 results for “Free on Board (F.O.B.) Destination”

  • Free on Board (F.O.B.) Destination

    Title changes hands from the supplier to the public entity at the destination of the shipment when the public entity signs for the goods; the supplier owns the goods in transit, assumes responsibility for carrier selection, and files any claims for damages incurred during this period. It does not address the responsibility for the cost of transportation (freight charges), which must be specified with the inclusion of additional language.

  • Free on Board (F.O.B.) Destination, Freight Collect

    Title passes at destination, and buyer pays the freight.

  • Free on Board (F.O.B.) Destination, Freight Collect and Allowed

    Title passes at destination, and buyer pays the freight and deducts it from the seller’s invoice.

  • Free on Board (F.O.B.) Destination, Freight Prepaid and Added

    Title to the goods passes from the supplier to the agency at the point of destination and supplier pays the freight expense and then adds the freight expense to the agency's invoice. Supplier owns goods in transit and files claims, if any.