• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.46
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• pp.3-27
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• 2010

Incoterms are standard trade terms most commonly used in international sales contracts. ICC have updated six times to keep pace with current international trade practices. Amendments and additions were made in 1953,1967,1976,1980,1990 and presently in 2000. ICC is currently revising Incoterms 2000. The new edition, Incoterms 2010, is expected to enter into force on 1 January 2011. In this paper, I reviewed the present conditions of trade terms and the problems of Incoterms 2000 in our country. I hope this paper to contribute to revising works of Incoterms by reference of above mentioned contents, that is to say, ship's rail, expansion of seller's risk liability of FOB,CFR,CIF.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.45
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• pp.33-50
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• 2010

The Incoterms, short for "International Commercial Terms," have been widely used as International Rules for the Interpretation of Trade Terms since 1936. The Incoterms have been revised six times in order to adapt them to contemporary commercial practice. The current version is Incoterms 2000. The revised version of Incoterms 2000 will be published in the fourth quarter of 2010 and will be effective from January 1st 2010. The first and second draft of Incoterms 2010 have been carried out by a small global Drafting Group, representing seven nationalities and various areas of substantive expertise. In this paper, I reviewed the main contents in the 2nd Draft of Incoterms 2010. This paper contributes to help the parties concerned to understand the new changes from Incoterms 2000 and to choose the appropriate trade term.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.49
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• pp.3-41
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• 2011

In this article, the author have studied on main revisions and some recommendations of the Incoterms(R) 2010. Main revisions are as belows. 1. Two new Incoterms rules -DAT and DAP- have replaced the Incoterms 2000 rules DAF, DES, DEQ and DDU. 2. New classification of the Incoterms(R) 2010 are adopted. First class is Rules for any mode or modes of transport(EXW, FCA, CPT, CIP, DAT, DAP and DDP belong to this class.) and second class is rules for sea and inland waterway transport(FAS, FOB, CFR and CIF belong to this class.). 3. Incoterms(R) 2010 rules formally recognizes that they are available for application to both international and domestic sale contracts. 4. The Guidance Notes and Introduction are not part of the actual Incoterms(R) 2010 rules. 5. Under the FOB, CFR and CIF, all mention of the ship's rail as the point of delivery has been omitted in preference for the goods being delivered when they are "on board" the vessel. 6. Incoterms(R) 2010 rules include the obligation to 'procure goods shipped' as an alternative to the obligation to ship goods in the relevant Incoterms rules. 7. Incoterms(R) 2010 rules give electronic means of communication the same effect as paper communication. 8. Incoterms(R) 2010 rules have allocated obligations between the buyer and seller to obtain or to render assistance in obtaining security-related clearances. such as chain-of custody information. Some recommendations are as belows. 1. The parties must incorporate the Incoterms(R) 2010 rules into their contract of sale. 2. The parties must choose the appropriate Incoterms(R) 2010 rules. 3. Specify the place or port as precisely as possible in their contract of sale. 4. Remember that Incoterms(R) 2010 rules do not give the parties a complete contract of sale. 5. Incoterms(R) 2010 rules do not prohibit alteration of Incoterms rule, but there are dangers in so doings. In order to avoid any unwelcome surprises, the parties would need to make the intended effect of such alterations extremely clear in their contract.

• Korea Trade Review
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• v.41 no.1
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• pp.1-20
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• 2016

This study is to help international traders in conducting tax and accounting works as to revenue recognition when a shipment incurs in accordance with Incoterms 2010. It is true that some are well familiar with Incoterms but have lack of accounting and tax application. In respect of tax operation, there are several regulations, such as Income Tax Law, VAT Law, which are applied differently according to sales points. Sales points and revenue recognition are a bit different when sales are made internationally. And this study compares those revenue recognitions by comparison of related Korean laws and Incoterms 2010.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.54
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• pp.81-98
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• 2012

The Incoterms(R) 2010 rules take account of the continued spread of customs-free zones, the increased use of electronic communications in business transactions, heightened concern about security in the movement of goods and changes in transport practices. And the Guide to Incoterms(R) 2010 is the authoritative companion work to Incoterms(R) 2010, the ICC rules on the use of domestic and international trade terms. The guide responds to business needs for a better understanding of these ICC rules that are used in countless commercial transactions every day. But, contrary to the previous guidebook, there is many errors and mistake in the Guide to Incoterms(R) 2010 which should be amended. The purpose of this paper is to point out the problems and amend the errors and unify the expression in guidebook.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.54
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• pp.45-80
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• 2012

Since the 9.11 terror attack, the event which caused supply chain disruption, supply chain security has become more important than ever before. With this as a momentum, a customs supply chain security paradigm emerged intended to guarantee secure flow of cargo across boarder. Under this circumstances Incoterms(R) 2010 rules have allocated obligations between the buyer and seller to obtain or to render assistances in obtaining security clearances. Thus, security related obligations such as providing advance manifest information is the mandatory requirements for any export and import. The impact on the seller and buyer of security related obligations under the Incoterms(R) 2010 rules environment is obvious. Assistance to provide the security information in advance has become indispensable obligations to the seller and buyer. As such assistances is at the cost and risk of the party responsible for the clearances of the goods, the choice of recognised partner and compliance with the relevant security program, in order to enjoy the relevant benefits, becomes paramount.

• Journal of Arbitration Studies
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• v.21 no.3
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• pp.189-211
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• 2011

This article aims at analysing the practical problems of FOB and CIF terms relating to Incoterms$^{(R)}$2010 in case of L/C transactions and presenting the defending measures against them. According to Incoterms$^{(R)}$2010, FOB and CIF terms are to be used only for sea or inland waterway transport and require the seller deliver the goods on board the vessel nominated by the buyer at named port of shipment. So if FOB and CIF terms will be used in sea transport under L/C transaction, the seller should ship the goods on the nominated vessel and present the shipping document indicating "on board vessel" to the issuing bank but the parties agree to present the received bill of lading according to special condition on L/C which is" received bill of lading are acceptable". In practical transaction, FOB and CIF terms are usually used in aircraft cargo, container cargo or multimodal transport. these facts are a violation of Incoterms. Incoterms$^{(R)}$2010 which regulated that FOB and CIF terms may not be appropriate where goods are handed over the carrier before they are on board the vessel for example goods in container. These transactions are a temporary expedient and breach of Incoterms in the international trade which must be corrected as soon as possible.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.60
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• pp.27-46
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• 2013

The Incoterms and United Nations Convention on Contract for the international Sales of Goods(CISG) allocate a risk in their articles. These rules make a decision that the parties who make a transaction are bound to bear the risk or damages of goods. Though a goods have a damages or loss during a transportation, buyer is liable for the payment of purchase price. In this case, this paper defines the meaning whether who can bear the risk under Incoterms and CISG. In the majority cases which deal between parties, after shipment or at the end of carriage, the loss or damages are found in buyer's hand. If a damages or loss is made during transit, customarily these risk are covered by insurance. Otherwise, these rules provide a tools for solving this problems. Then, between parties should be accomplished their target equitably.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.54
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• pp.99-122
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• 2012

According to the United Nations Convention on the International Sale of Goods, the Seller must deliver the goods, hand over any documents relating to the them and transfer the property the to the goods as required by the contract, and buyer must pay the price for the goods and take delivery of them as required by the contract. In particular, the seller provides the documents is important. If the documents are discrepancies in credit, the beneficiary may not receive the payment. So It is important to study on conditions of documents in international trade. Documents provided by the seller shall be determined by express terms. If there is no agreement on the express terms, it shall be determined by the implied terms or governing law terms. In practice Seller shall provide the documents are as follows, For example, transport documents, commercial invoice, certificate of origin, insurance policy, packing list, inspection certificate etc. As stated above if it can not be determined by express terms, it is determined by the implied terms. In international trade, leading to the implied terms is incoterms(R) 2010 and UCP 600. Incoterms(R) 2010 define the seller must provide the goods and the commercial in conformity with the sales contract and any other evidence of conformity that may be required by the contract and UCP 600 are rules that apply to documentary credit. This paper, the practical utility between Incoterms(R) 2010 and UCP 600 is studied.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.66
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• pp.75-94
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• 2015

The aim of this study is to examine the obligations of delivery of the goods focusing on the methods of delivery under the Incoterms 2010, comparing with CISG. The Incoterms 2010 provides various methods of delivery of the goods under the each rule(11 rules). And it is a little confusing for the parties of the contract of sales. This study reviewed specific methods of delivery of the goods with the view of practitioner. The purpose of Incoterms is to avoid misunderstanding of the contract of sales and to promote the international transactions. The uncertainties of the Incoterms 2010 shall cause disputes between the parties. Especially, when vehicles are used to pick up and deliver the goods, which party is responsible for the loading and unloading the goods. Under the D-term, which party is responsible for unloading the goods from the vehicle reached at the named place of destination is a little confusing. This study suggest some ideas on the specific methods of delivery to mitigate uncertainties and accept current practices at the field. Firstly, under the EXW rule, the seller must deliver the goods on the arriving means of transport at the seller's premises. Secondly, under the FCA rule, the seller must deliver the goods unloaded at the other place except seller's premises. Thirdly, under the CPT, CIP rules, the seller must deliver the goods unloaded irrespective of the mode of transport at the place of destination. Fourthly, the FOB, CFR, CIF rules must adapt the container transport practice.