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Which INCOTERM places the most responsibility and liability for transportation with the seller?

a) ex works
b) free alongside ship
c) free on board
d) cost & freight
e) delivery duty paid

1 Answer

5 votes

Final answer:

Delivery Duty Paid (DDP) is the INCOTERM assigning the highest responsibility and liability for transportation to the seller, covering all shipping, duties, and transportation to the buyer's destination.

Step-by-step explanation:

The INCOTERM that places the most responsibility and liability for transportation with the seller is Delivery Duty Paid (DDP). Under DDP, the seller is responsible for delivering the goods to the final destination at the buyer's country, handling all the costs and responsibilities of shipping, clearance, duties, and other formalities. This represents the maximum obligation for the seller as they need to manage the entire transportation process, including shipment through any potential congested street networks and jammed freeways, ensuring the goods arrive at a location that's often ideal for the buyer regarding accessibility, such as near uncrowded freeways or locations with rail or water transport access for cost-effective transport options.

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