INCOTERMS (C&F) CASE In August 2006, International Commodities Export Corporation (ICEC) entered into an agreement for t

[answerhappygod]

INCOTERMS (C&F) CASE
In August 2006, International Commodities Export Corporation (ICEC)
entered into an agreement for the sale of 230 tons of Chinese white
beans to North Pacific Lumber company (NPL). According to the
agreement, the beans were to conform to sample pc-16 and the
shipment was to be made on the basis of C&F. Thirteen separate
containers of beans were loaded on board two vessels at the port of
Hong Kong to Portland, Oregon. An independent surveyor of quality
found the bean quality to be in conformity with the description of
the goods in the shipper’s invoice. The U.S. Food and Drug
Administration (FDA) detained the shipment on arrival in Portland,
Oregon, on the grounds that the goods contained filth and were
unfit for human consumption. The beans were stored in a warehouse
under federal government detention. After efforts to obtain release
of the cargo, the buyer rejected the shipments for failure to
conform to the contract (sample pc-16).
Questions