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Today's contract tip is about defining "delivery" in your contract. Requiring the seller to deliver seems simple enough. But the operational realities of delivery are often very complex. Here are a few things to consider as you structure delivery concepts in your agreement. 1. Where are the goods delivered? If you selected EXW for your Incoterm, you are taking delivery at whatever location is listed right next to the EXW acronym. Often, the location is vague and undefined, such as “Seller’s designated facility.” That facility could be across the country or on the other side of the globe. Taking delivery in a foreign jurisdiction may be enough to create a tax or another nexus. Are you ready to file tax returns and make the regulatory filings needed for that jurisdiction? 2. What does it mean to be delivered? Think through what delivery means for the products you are buying or selling. For example, if you buy a system, does delivery mean the first part arrives or the last? Is it delivered if it has not yet been installed or tested? And what if it arrives broken? Should that count as delivery? 3. What if the goods don't meet specifications? As a customer, I prefer to define delivery as physical delivery of the goods that conform to the specifications. That way, if the product is defective, the vendor is pressured to replace it quickly. Otherwise, the contract's consequences for failing to "deliver" by the delivery deadline may kick in. What other issues do you address when thinking about that moment of delivery? #HowToContract #Contracts #Definitions

🔔 Freight Market Update 🔔 🚢 Carriers and Shippers Enter Contract Rates Standoff: At the heart of the freight industry, a strategic standoff is unfolding between carriers and shippers, echoing throughout the supply chain. Recent reports from the TPM24 conference indicate a notable hesitation among shippers to renew annual contracts amidst what they perceive as "excessive" rate demands from carriers. This impasse raises a pivotal question: Who will seize the upper hand in the days ahead? Despite minor declines in rates, Trans-Pacific carriers express confidence in their ability to mitigate potential falls by employing a mix of blanking services and capitalizing on sustained robust demand. Notably, spot rates along the US west coast and east coast still soar over 100% higher than this time last year. As one industry expert succinctly put it, "It's a case of who blinks first?" 🛩 US Airlines Hold Back from China Flights: Meanwhile, shippers eyeing increased air cargo capacity between China and the US may face disappointment as US airlines remain cautious about resuming passenger flights to China post-pandemic. Citing low demand, major carriers such as American Airlines, Delta, and United Airlines have successfully secured waivers from the US Department of Transportation to extend flight suspensions for another 90 days. This reluctance stands in contrast to the global trend of a surge in cargo capacity driven by the resumption of passenger flights. While the latter half of 2023 witnessed double-digit growth in cargo capacity worldwide, further flight resumptions could potentially unlock more belly capacity, thereby exerting downward pressure on rates. However, the US stands out as an anomaly in this scenario. Shippers in the US are advised not to take additional capacity for granted in 2024. In this dynamic landscape, staying informed and agile is paramount for both carriers and shippers alike. As the industry navigates these challenges, adaptability and strategic decision-making will be key to success. 🚩 For regular updates subscribe to “The Merchant”, our weekly, one-minute read newsletter 🚩 #FreightMarket #SupplyChain #Logistics #Shipping #AirCargo #OceanFreight #IndustryInsights

FOB shipping point vs. FOB destination ---------------------------- In shipping paperwork and contracts, you will often come across the abbreviation "FOB," followed by a location in parentheses. The location could be the point of departure or the destination port. The chosen location is crucial in determining who takes responsibility for the goods during their journey. When the destination matches the point of departure, it is known as the "FOB shipping point." On the other hand, if the destination port is indicated, it is called "FOB destination." ▶️ FOB shipping point When you see "FOB shipping point" on a deal, it means the seller's job finishes once they hand over the purchased items to the shipping company, and the shipment begins. This is when the buyer officially owns the stuff they bought. Unless there are different rules in the shipping agreement, any expenses linked to FOB shipping point goods from when the shipping vessel takes off until the buyer gets their order, are usually on the buyer's tab. ▶️ FOB destination "FOB destination" is the opposite of "FOB shipping point." When goods are tagged with a destination port, the seller remains responsible for any harm, missing items, and various expenses and problems until the shipment is done. You can spot "FOB destination" terms by looking for the word "Destination" or the specific destination port, usually in parentheses. For example, if the shipment is bound for Texas, you will see the terms as "FOB (Texas)." Choosing "FOB destination" shipping is in the buyer's best interest, and it is a smart way for businesses to improve their customer service. The buyer only accepts and finalizes the sale when the purchase arrives in perfect condition. ---------------------------- Next Cart - The best shopping cart migration tool 🔻 Whatsapp: +84 792255 978 🔻 24/7 support 🔻 next-cart.com #FreeonBoard #FOBShippingPointvsDestination #FOBShippingPointAndFOBDestination #FOBShippingPoint #FOBDestination

Did you know that an accessorial fee can be applied on your shipment if special conditions are not met? 🤔 Find out details about #insidedelivery fee now! 👇 Read more with us: https://lnkd.in/dnsAqPkx #fourturrets #deliveryfees #insidedeliveryfee #internationaltrade #globalsupply #supplychain

Streamline your global shipments with Delivery Duty Paid (DDP) shipping! By covering all fees upfront, DDP eliminates unexpected customer costs, reduces cart abandonment, and ensures a smoother delivery experience. Learn more about DDP through this article: https://lnkd.in/g4MG9AZJ #DDP #DeliveryDutyPaidShipping #GlobalShipping #Aratum #ExportBusiness #SupplyChainSolutions #GlobalTrade

Your shipping costs are bleeding you dry. Every shipment, every invoice, can hide costly mistakes. Without parcel auditing, those mistakes add up fast. You’re paying for services you didn’t receive. You’re missing out on refunds you deserve. Parcel auditing increases visibility. It reveals where your money is going. It highlights inefficiencies in your supply chain. With this insight, you can negotiate better rates. You can hold carriers accountable. The result? Reduced transportation costs. Increased supply chain efficiency. Parcel auditing is not an option—it’s a necessity. It’s the key to staying competitive. It’s the key to maximizing your profits. We’ve helped a leading manufacturer of health and beauty products uncover over $300k in missed parcel refunds by auditing their auditor and using our advanced logistics platform, FreightOptics. Imagine what we could save for you. Contact us today to start reclaiming your money and optimizing your supply chain. Don’t let your shipping costs bleed you dry. #SupplyChain #ParcelAuditing #smallparcelaudit #contractnegotiations

At the @United States Postal Service, we’re on a mission to simplify shipping—whether it’s a letter across town or a package around the world. For the latter, we’ve got a resource to help you find the best deal on international deliveries for your business. The link below allows you to easily compare different shipping options and choose the one that best fits your needs for speed and budget. Whether you need fast delivery with #Priority Mail Express International (3-5 business days to more than 180 countries) or a cost-effective solution like #First-Class Package International Service for items under $400, we’ve got you covered. Plus, our customs tools make it easier to handle forms, so you can focus on growing your business internationally. Have questions about international shipping? Send me a message, and we’ll find the right plan for you! https://lnkd.in/gDWZ_nKH #USPS, #USPSBrandChampion, #USPSAdvocate, #USPSShipping, #USPSMailing, #USPSInternational, #InternationalServices, #eCommerce, #customs, #shipping, #packages, #parcels, #DFA, #followUSPS, #USPS2024 

More free stuff? Yep! This is for LTL Nerds only. . . from me to you. As an LTL Nerd, sometimes things get stuck in my craw. Stuck bad enough to read through sections of LTL Carrier Tariffs for 5 hours. (I know, get a life!) I was researching some Carrier fees for dispute purposes. Talk about some rough reading. However, I did compile a list for pain in the rear fees that typically rob your profit margin: Attempted Pickup, Re-Delivery, Unloading Free Times and Detention Fees/LTL Carriers. All typical "re-billing" line items that are tough to dispute successfully. So, avoiding them all together is of high importance. The reason I looked at these, is it seems many shipping/receiving departments aren't aware of the fees that are associated with their operations, including their customers or their vendors Any one of these can turn a profitable product sale into an unprofitable one with detention or re-delivery fees. When you see my list, you may re-consider Carriers you use (to minimize these fees when things go wrong) or better yet, create communication between #Purchasing and #Sales in avoidance of these fees at the time of purchase. If you typically choose an LTL Carrier by price only, then it may be prudent to figure these fees into the equation. A shipping/receiving location may continue to create detention fees on your shipments. If that happens your only choice may be a Carrier with the least expensive fees. Fees can range between 90.00 - 600.00 on detention or re-delivery. Take advantage of 5 hours of my time. It's not pretty, but sure tells a story. Could be helpful in auditing re-billings too. Drop me a note with your email address and I will send it to you. An eye opener. #businessowner #salesexectutive #purchasing #shippingmanager #warehouse #founder #warehouseoperations

'An abandoned cart is much more cost-efficient than an abandoned delivery.' When shipping cross-border, it's critical customers have clear shipping options. If free DDP shipping isn't an option, then making sure customs costs and procedures are clear at checkout is a must. Having the customer abandon the cart based on customs is far better than having them place an order only to abandon it in the receiving country. You'll end up with retrieval/disposal costs, admin costs, and a very unhappy customer. Do you agree? #ecommerce #logistics #internationalbusiness

Nobody likes surprise shipping fees 😖 That's why we've compiled the most common #ecommerce accessorial charges (and tips to reduce them!) 📦 I Ryder E-commerce by Whiplash I https://lnkd.in/eYTe9Vf3 #shipping #shippingfees #fulfillment #shippingcosts #logistics #3PL #ecommercefulfillment #shipping #Ryder #RyderEcommerce