Agent

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Russian: Агент

Agent is a person or business authorized to act on another's behalf. To understand better the dissimilarities between Agent and Principal (while these dissimilarities are considered as negligible in USA) one could use the following check-list [1].

Who am I? - Check-List

I am Supplyer’s Distributor if….. I am Principal’s Agent if…..
Risk Viewpoint
  • I buy products for my own risk and account.
  • What, me take a risk? No way!
Customers Viewpoint
  • I sell products to my customers.
  • I sell products to Principal’s customers.
Carriage
  • Contract or procure a contract for the carriage of the goods from the point of delivery to the named port of destination.
  • Buyer has no obligation [2] to the seller.
Insurance
  • No obligation [2] to provide insurance.
  • Provide information to enable the buyer to obtain insurance.
  • Buyer has no obligation [2] to the seller.
Delivery - Taking Delivery
  • Deliver the goods on board the ship at the port of shipment (not destination)
    • or procure [1] goods already so delivered within the agreed-upon time.
  • Take delivery of the goods at the named port of destination as provided in the contract.
Risk Transfer
  • Assume all risks of loss or damage to the goods until they have been delivered on board the ship [3] at the port of shipment (not destination), within the agreed-upon time stipulated in the sales contract.
  • Assume all risk of loss or damage from the time the goods have been delivered on board the ship [3] at the port of shipment (not destination).
Costs
  • Pay all costs until the goods have been delivered on board the ship at the port of shipment.
  • Pay all costs of loading and carriage to the named port of destination.
  • Pay for costs of unloading if unloading is included in the contract for main carriage.
  • Pay all costs relating to export, including customs formalities, duties, and taxes,
    • as well as costs required for transshipment through any country up to the named port of destination.
  • Pay any additional costs for the goods, other than main carriage, once they have been delivered on board the ship at the port of shipment.
  • Pay costs of unloading, lighterage, and wharfage at the port of destination unless such costs were to be paid by seller under seller’s contract for carriage.
  • Pay all costs relating to import formalities, duties, fees, and taxes.
  • Pay costs of onward carriage.
Notice to the Buyer - Notice to Seller
  • Provide notice that enables the buyer to take timely possession of the goods at the named port of destination.
  • If, according to the sales contract, the buyer is entitled to specify a time for shipping or the point of receiving the shipment at the named port of destination, to give seller sufficient notice.
Delivery and Transport Documents - Proof of Delivery
  • Provide the buyer with a transport document, dated within the period agreed, that allows the buyer to claim the goods at the named port of destination and (unless otherwise agreed) allows the buyer to sell the goods while in transit through the transfer of the document or by notification to the sea carrier.
  • If a negotiable transport document is issued, a full set of originals [4] must be given to the buyer.
  • Accept the seller’s delivery document [7] if it is in conformity with the sales contract.
Checking, Packing, Marking - Inspection(s)
  • Pay all costs associated with checking the quality and quantity of the goods to be in conformity with the sales contract.
  • Provide pre-shipment inspections as required for export formalities.
  • Package the goods, unless the goods are conventionally sold unpackaged.
  • Package the goods as the seller deems appropriate for transport, unless the buyer has given specific requirements prior to the finalization of the sales contract.
  • Provide marking appropriate to the packaging.
Other
  • Timely provide the buyer, at the buyer’s request and cost, assistance in securing information and documents, including security information, required by the buyer for import and transport of the goods from the named port to the final destination.
  • Reimburse the buyer for buyer’s costs related to securing information and documentation, including security information the seller requires for export formalities, transport, security clearance, and transshipment to the named port of destination.
  • Timely advise the seller of any security-related data requirements.
  • Reimburse the seller for seller’s costs related to securing information or documentation, including security information, that the buyer requires for import formalities, security clearance, and transport of the goods to the final destination.
  • Timely provide the seller, at the seller’s request and cost, with any documents and information required for export, transport, and security clearance of the goods to the named port of destination.

References

  1. Auerbach, R. Am I an agent or a distributor? - www.marketnewzealand.com/auerbach -accessed 01/27/2007
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