Goods were damaged during transit on a less-than-truckload (LTL) shipment. The goods were shipped free on board (FOB) destination. Who is responsible to file a freight claim?
Goods were damaged during transit on a less-than-truckload (LTL) shipment. The goods were shipped free on board (FOB) destination. Who is responsible to file a freight claim?
When goods are shipped free on board (FOB) destination, the ownership and responsibility for the goods remain with the seller until the goods are delivered to the buyer's location. However, the responsibility for filing a freight claim typically lies with the buyer because the buyer is the party that receives the damaged goods and is in the best position to assess the extent of the damage and initiate the claim process with the carrier.
Incoterms discuss Seller / Buyer responsibility - so it can not be carrier. Needs to be seller
It should actually be the buyer according to FOB details on module 2 pg. 277
The carrier is responsible for filing a freight claim when goods are damaged during transit on a less-than-truckload (LTL) shipment. In this scenario, the goods were shipped free on board (FOB) destination, which means that the seller retains ownership and responsibility for the goods until they are delivered to the buyer's location. Once the goods are delivered and in the possession of the buyer, the buyer assumes ownership and responsibility. However, the carrier is responsible for any damage that occurs during transit and must file a freight claim for reimbursement of the damaged goods.
it should be buyer. in FOB seller will only responsible till his port. buyer will responsible for shipping.
Cannot be answer Carrier, goods are shipped Free On Board (FOB) destination, the responsibility for the goods remains with the seller until the goods reach the buyer's destination goods were damaged during transit on a less-than-truckload (LTL) shipment and were shipped FOB destination, it is the seller's responsibility to file a freight claim. Therefore the seller needs to initiate the claim process due to their ownership and contractual responsibility.
In an FOB Destination shipment, the seller retains ownership and responsibility for the goods until they reach the destination. Since the seller still holds responsibility for the goods during transit, they are the party that should file a freight claim if the goods are damaged in transit. The correct answer is: B. The seller - question is talking about who should file freight claim
Seller because it is FOB destination means until delivery supplier is responsible.