If Company A in New York and Company B in Chicago sign a contract that states "FOB Chicago," it means the parties have agreed to a shipment contract and the title and risk of loss passes to Company B when they are placed in the carrier's possession in New York.So,for example,if the goods are destroyed in transit Company B bears the risk of loss.

Question

Quizplus · Accepted Answer

FOB Chicago means that the title and risk of loss passes to Company B when the goods are placed in the carrier's possession in Chicago, not New York.

If Company a in New York and Company B in Chicago