Section 2-321 - C.I.F. or C. and F"Net Landed Weights"; "Payment on Arrival"; Warranty of Condition on Arrival.
Under a contract containing a term C.I.F. or C. and F.
(1) Where the price is based on or is to be adjusted according to "net landed weights", "delivered weights", "out turn" quantity or quality or the like, unless otherwise agreed the seller must reasonably estimate the price. The payment due on tender of the documents called for by the contract is the amount so estimated, but after final adjustment of the price a settlement must be made with commercial promptness.(2) An agreement described in subsection (1) or any warranty of quality or condition of the goods on arrival places upon the seller the risk of ordinary deterioration, shrinkage and the like in transportation but has no effect on the place or time of indentification to the contract for sale or delivery or on the passing of the risk of loss.(3) Unless otherwise agreed where the contract provides for payment on or after arrival of the goods the seller must before payment allow such preliminary inspection as is feasible; but if the goods are lost delivery of the documents and payment are due when the goods should have arrived.Okla. Stat. tit. 12A, § 2-321
Laws 1961, p. 84, § 2-321.Oklahoma Code Comment
There are no previous Oklahoma decisions. This is a variation of the ordinary C.I.F. and C. & F. shipments. The seller must still deliver to the carrier, bear the cost of loading, prepay the freight, and in C.I.F. shipments, procure insurance. The risk of loss, except ordinary deterioration and shrinking, then passes to the buyer. Therefore, in case of marine loss, the buyer must still make payment against the documents. However, if the goods arrive, the buyer has the right to inspect the goods prior to payment, and adjust the estimated price at that time. If inspection is not feasible, he must pay against the documents, and thereafter adjust the price with the seller.