Low RiskFARtransportation

52.247-37F.o.b. Vessel, Port of Shipment.

Researched by the BidStride Research Team

What This Clause Requires

FAR 52.247-37 — F.o.b. Vessel, Port of Shipment.. This clause is part of the Federal Acquisition Regulation and may be included in government contracts as a solicitation provision or contract clause.

Official Regulation Text

52.247-37 F.o.b. Vessel, Port of Shipment. As prescribed in 47.303-9(c), insert the following clause in solicitations and contracts when the delivery term is f.o.b. vessel, port of shipment: F.o.b. Vessel, Port of Shipment (APR 1984) (a) The term f.o.b. vessel, port of shipment, as used in this clause, means free of expense to the Government loaded, stowed, and trimmed on board the ocean vessel at the specified port of shipment. (b) The Contractor shall— (1)(i) Pack and mark the shipment to comply with contract specifications; or (ii) In the absence of specifications, prepare the shipment for ocean transportation in conformance with carrier requirements to protect the goods and to ensure assessment of the lowest applicable transportation charge; (2)(i) Deliver the shipment on board the ocean vessel in good order and condition on the date or within the period fixed; and (ii) Pay and bear all charges incurred in placing the shipment actually on board; (3) Provide a clean ship's receipt or on-board ocean bill of lading; (4) Be responsible for any loss of and/or damage to the goods occurring before delivery of the shipment on board the ocean vessel; and (5) At the Government's request and expense, assist in obtaining the documents required for (i) exportation or (ii) importation at destination. (End of clause)

Source: eCFR, 48 CFR 52.247-37 (https://www.ecfr.gov/current/title-48/section-52.247-37)

Compliance Checklist

  • (b) The Contractor shall— (1)(i) Pack and mark the shipment to comply with contract specifications; or (ii) In the absence of specifications, prepare the shipment for ocean transportation in conformance with carrier requirements to protect the goods and to ensure assessment of the lowest applicable transportation charge; (2)(i) Deliver the shipment on board the ocean vessel in good order and condition on the date or within the period fixed; and (ii) Pay and bear all charges incurred in placing the shipment actually on board; (3) Provide a clean ship's receipt or on-board ocean bill of lading; (4) Be responsible for any loss of and/or damage to the goods occurring before delivery of the shipment on board the ocean vessel; and (5) At the Government's request and expense, assist in obtaining the documents required for (i) exportation or (ii) importation at destination.

Flow-Down to Subcontractors

No flow-down required

This clause applies only to the prime contract and does not need to be flowed down to subcontractors.

Frequently Asked Questions

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This summary is for informational purposes only and reflects the BidStride Research Team's plain-English interpretation of the regulation. It is not legal advice and does not constitute an attorney-client relationship. Always consult the official Federal Acquisition Regulation (FAR) or Defense Federal Acquisition Regulation Supplement (DFARS) text and qualified legal counsel for compliance decisions.