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Regulations

North America - USA - Payment Terms - Freight “Prepaid” and “Collect”

It is our aim to continuously improve our products as well as our service to you. This includes the correct and timely preparation of invoices.

In order to avoid misunderstandings and resulting invoice corrections, we would like to provide you with the Hapag-Lloyd USA standard definitions of the terms “freight prepaid” and “freight collect” as explained below.

According to these definitions, charges will be invoiced as prepaid or collect. In case you have any deviations from this standard, it will be necessary to state them clearly in your Shipping Instructions.

We kindly ask you to:

  • Add specific information regarding payment terms in the remarks field of your Shipping Instructions and stipulate precisely, particularly for Terminal Handling Charge Destination (THD) and Destination Landfreight (DLF), whether the charges shall be prepaid or collect – this will help us to ensure correct invoicing.
  • Refrain from using INCO terms instead of payment terms in your Shipping Instructions.

Your support in this matter is much appreciated and will assist in providing a better service to you.

Freight Prepaid

All charges are prepaid excluding “Terminal Handling Destination” and “Destination Land Freight” related charges, unless otherwise stipulated in the Shipping Instructions:

Freight Collect

All charges are collect including “Origin Land Freight” and “Terminal Handling Origin” related charges, unless otherwise stipulated in the Shipping Instructions:

In case of further questions on the above, please do not hesitate to contact your Hapag-Lloyd Customer Service.

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