Cost and Freight - CFR

A trade term requiring the seller to arrange for the carriage of goods by sea to a port of destination, and provide the buyer with the documents necessary to obtain the goods from the carrier. Under CFR, the seller does not have to procure marine insurance against the risk of loss or damage to the goods during transit.

Contracts involving international transportation often contain abbreviated trade terms that describe matters such as the time and place of delivery, payment when the risk of loss shifts from the seller to the buyer, and who pays the costs of freight and insurance.

The most commonly known trade terms are Incoterms, which are published by the International Chamber of Commerce (ICC). These are often identical in form to domestic terms (such as the American Uniform Commercial Code), but have different meanings. As a result, parties to a contract must expressly indicate the governing law of their terms.

It's important to realize that because this is a legal term, its exact definition is much more complicated and differs by country. It is suggested that you contact an international trade lawyer before using any trade term.

Investment dictionary. . 2012.

Look at other dictionaries:

  • cost and freight — adj: including the cost of goods being shipped and the freight charges Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. cost and freight …   Law dictionary

  • cost and freight — 〈[kɔ̣st ənd frɛıt]〉 = cf * * * cost and freight   [ kɔst ænd freɪt; englisch »Kosten und Fracht«], eine der Handelsklauseln und der Incoterms. * * * cost and freight [ kɔst ənd freit; engl. = Kosten und Fracht]: Klausel im Überseehandel, nach der …   Universal-Lexikon

  • cost and freight — [ kɔst ənd freit] <engl. ; »Kosten u. Fracht«> Klausel im Überseehandel, nach der Fracht u. Versandkosten im Preis eingeschlossen sind; Abk.: cf …   Das große Fremdwörterbuch

  • cost and freight — noun Meaning the seller pays for transportation to the port of loading, cost and freight, and the buyer pays for the insurance and the rest of the transportation Syn: CIF, cif …   Wiktionary

  • cost and freight — C F, selling price includes all costs and freight, seller bears the transportation charges to the port of shipment and loading and freight (the buyer bears the cost of the insurance and transportation of goods from the port of destination to… …   English contemporary dictionary

  • cost and freight — A mercantile term which, when used in connection with a contract for the sale of goods shows that the price quoted to the purchaser includes the cost of the goods and freight charges to the place of destination. Pepper v Western Union Tel. Co. 87 …   Ballentine's law dictionary

  • cost and freight — cọst and freight 〈[ ənd frɛıt]〉 = cf [Etym.: engl.] …   Lexikalische Deutsches Wörterbuch

  • cost and freight — noun : a charge or quotation made in waterborne export trade by a seller to a buyer that includes the price of the goods and all transportation costs to a designated destination abbr. C and F …   Useful english dictionary

  • cost and freight — See c & f …   Big dictionary of business and management

  • Cost, insurance, freight — (CIF)   A type of sale in which the buyer of the product agrees to pay a unit price that includes the f.o.b. value of the product at the point of origin plus all costs of insurance and transportation. This type of transaction differs from a… …   Energy terms

  • cost, insurance, and freight — adj: including the cost of goods being shipped and the freight and insurance charges Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. cost, insurance, and freight …   Law dictionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.