FAR and DFARS › FAR Part 52: Solicitation Provisions and Contract Clauses › Subpart 52.2
FAR 52.247-32 F.o.b. Origin, Freight Prepaid.
The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.
In plain English
This clause defines 'f.o.b. origin, freight prepaid' as delivery free of expense to the Government at the carrier's conveyance, wharf, freight station, or U.S. Postal Service facility at the origin point, with the contractor prepaying transportation costs. It matters because it assigns specific packing, loading, documentation, and prepayment responsibilities to the contractor, and makes the contractor liable for loss or damage before carrier delivery or due to improper packing, marking, or loading.
Applies to: Contractors shipping supplies under contracts that include this clause.
What it requires
- Pack and mark the shipment to comply with contract specifications, or in their absence, prepare it to conform to carrier requirements to protect goods and ensure lowest applicable transportation charge.
- Order specified carrier equipment when requested by the Government, or if not specified, order appropriate carrier equipment not in excess of capacity.
- Deliver the shipment in good order and condition to the carrier, and load, stow, trim, block, and/or brace carload or truckload shipment when loaded by the Contractor, as required by carrier rules.
- Be responsible for loss or damage occurring before delivery to the carrier, from improper packing or marking, or from improper loading, stowing, trimming, blocking, and/or bracing if loaded by the Contractor.
Key terms: f.o.b. origin, freight prepaid · line-haul transportation service · commercial zones · bill of lading · seavan container service
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
As prescribed in 47.303-4(c), insert the following clause:
F.o.b. Origin, Freight Prepaid (FEB 2006)
(a) The term f.o.b. origin, freight prepaid, as used in this clause, means—
(1) Free of expense to the Government delivered—
(i) On board the indicated type of conveyance of the carrier (or of the Government if specified) at a designated point in the city, county, and State from which the shipments will be made and from which line-haul transportation service (as distinguished from switching, local drayage, or other terminal service) will begin;
(ii) To, and placed on, the carrier's wharf (at shipside, within reach of the ship's loading tackle, when the shipping point is within a port area having water transportation service) or the carrier's freight station;
(iii) To a U.S. Postal Service facility; or
(iv) If stated in the solicitation, to any Government-designated point located within the same city or commercial zone as the f.o.b. origin point specified in the contract (the Federal Motor Carrier Safety Administration prescribes commercial zones at Subpart B of 49 CFR part 372); and
(2) The cost of transportation, ultimately the Government's obligation, is prepaid by the contractor to the point specified in the contract.
(b) The Contractor shall—
(1)(i) Pack and mark the shipment to comply with contract specifications; or
(ii) In the absence of specifications, prepare the shipment in conformance with carrier requirements to protect the goods and to ensure assessment of the lowest applicable transportation charge;
(2)(i) Order specified carrier equipment when requested by the Government; or
(ii) If not specified, order appropriate carrier equipment not in excess of capacity to accommodate shipment;
(3) Deliver the shipment in good order and condition to the carrier, and load, stow, trim, block, and/or brace carload or truckload shipment (when loaded by the Contractor) on or in the carrier's conveyance as required by carrier rules and regulations;
(4) Be responsible for any loss of and/or damage to the goods—
(i) Occurring before delivery to the carrier;
(ii) Resulting from improper packing or marking; or
(iii) Resulting from improper loading, stowing, trimming, blocking, and/or bracing of the shipment, if loaded by the Contractor on or in the carrier's conveyance;
(5) Prepare a bill of lading or other transportation receipt. The bill of lading shall show—
(i) A description of the shipment in terms of the governing freight classification or tariff (or Government rate tender) under which lowest freight rates are applicable;
(ii) The seals affixed to the conveyance with their serial numbers or other identification;
(iii) Lengths and capacities of cars or trucks ordered and furnished;
(iv) Other pertinent information required to effect prompt delivery to the consignee, including name, delivery address, postal address and ZIP code of consignee, routing, etc.;
(v) Special instructions or annotations requested by the ordering agency for bills of lading; e.g., “This shipment is the property of, and the freight charges paid to the carrier(s) will be reimbursed by, the Government”; and
(vi) The signature of the carrier's agent and the date the shipment is received by the carrier;
(6) Distribute the copies of the bill of lading, or other transportation receipts, as directed by the ordering agency; and
(7) Prepay all freight charges to the extent specified in the contract.
(c) These Contractor responsibilities are specified for performance at the plant or plants at which these supplies are to be finally inspected and accepted, unless the facilities for shipment by carrier's equipment are not available at the Contractor's plant, in which case the responsibilities shall be performed f.o.b. the point or points in the same or nearest city where the specified carrier's facilities are available; subject, however, to the following qualifications:
(1) If the Contractor's shipping plant is located in the State of Alaska or Hawaii, the Contractor shall deliver the supplies listed for shipment outside Alaska or Hawaii to the port of loading in Alaska or Hawaii, respectively, as specified in the contract, at Contractor's expense, and to that extent the contract shall be f.o.b. destination.
(2) Notwithstanding subparagraph (c)(1) of this clause, if the Contractor's shipping plant is located in the State of Hawaii, and the contract requires delivery to be made by container service, the Contractor shall deliver the supplies, at the Contractor's expense to the container yard in the same or nearest city where seavan container service is available.
(End of clause)
Sections it refers to
- 47.303-4 F.o.b. origin, freight prepaid.
Sections that refer to it
- 47.303-4 F.o.b. origin, freight prepaid.
← 52.247-31 F.o.b. Origin, Freight Allowed. · 52.247-33 F.o.b. Origin, With Differentials. →
Rule changes for FAR Part 52
- Federal Acquisition Regulation: Revolutionary FAR Overhaul Parts 8, 12, 13, 15, 38, 44, and 51 ↗ · proposed 2026-09-18 · comments due 2026-10-19
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 16, 17, and 35 ↗ · proposed 2026-09-18 · comments due 2026-10-19
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 9, 27, and 47 ↗ · proposed 2026-09-18 · comments due 2026-10-19
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 14, 28, 36, and 52 ↗ · proposed 2026-09-18 · comments due 2026-10-19
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 3 and 49 ↗ · proposed 2026-06-23 · comments due 2026-07-23
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 5, 24, and 29 ↗ · proposed 2026-06-23 · comments due 2026-07-23
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 6, 7, 10, 18, 26, 37, and 41 ↗ · proposed 2026-06-23 · comments due 2026-07-23
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 1, 2, 4, 33, 39, 40, and 53 ↗ · proposed 2026-06-23 · comments due 2026-07-23
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.