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Section 5452.247-9016: F.O.B. Destination Contractor Transshipment

As prescribed in 47.303-6(c) insert the following clause:

F.O.B. DESTINATION CONTRACTOR TRANSSHIPMENT (APR 2008) - DLAD

When the Contractor elects to ship by common carrier from the point of Government acceptance to destination via a Contractor distribution center or similar transshipment point to permit consolidation of Contractor shipments, it is agreed that:

(a) The Contractor shall mark Government-ordered supplies appropriately at origin to permit identification throughout shipment;

(b) The Contractor retains no rights to such supplies except for the sole purpose of assuring delivery in a safe condition to the destination specified in the contract;

(c) The Government may direct diversion of such supplies, under emergency circumstances, any time prior to receipt;

(d) Retention of the signed commercial bill of lading for the supplies covered by the invoice meets the requirements of FAR clause 52.247-48, F.O.B. Destination - Evidence of Shipment.

(e) Submission of an invoice for payment shall mean supplies for which the Government is being billed have been shipped or delivered in accordance with the shipping instructions issued by the ordering officer, in the quantities shown on the invoice, and that such supplies are in the quantity and of the quality designated by the cited contract. Notwithstanding any other provision of the contract, the Contractor assumes all responsibilities and risk of loss for

supplies which are (1) not received at destination, (2) damaged in transit, or (3) not conforming to purchase requirements and shall either replace, repair, or correct such supplies promptly at his expense.

(f) All pertinent records relative to the shipment shall be retained by the Contractor for a period of 3 years after completion of the contract and shall be available for review, if needed.

(End of clause)




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