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INCOTERMS5 MIN READ

Incoterms Are a Delivery Tool, Not the Whole Deal

Distinguish what Incoterms do and do not control in an international sale.

Maya in sales promises a German buyer "DDP Berlin, title on arrival, net 90, seller handles everything" on a $72,000 machine order. Logistics signs off on the freight cost, but legal spots the trap: only part of that sentence is Incoterms. The ICC Incoterms rules work because they standardize a narrow but critical part of a goods sale: which party performs delivery-related tasks, bears delivery-related costs, and carries risk of loss or damage at a named point. That narrowness is the mechanism. It prevents teams in different countries from arguing from local habits, but it also means the term must…

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