Incoterms® and case law: legal interpretation in international trade

Barbara Bonafini, a lawyer specialising in international trade and customs law, examines Incoterms® from a case-law perspective, contrasting how the Italian Supreme Court and the European Court of Justice interpret their legal effect in international sales contracts — essential viewing for customs and trade compliance professionals negotiating cross-border sale terms.

Topics covered:

• The origin, purpose and structure of the Incoterms rules (ICC, Incoterms 2020 edition)
• Why Incoterms are not a contract of sale and do not transfer ownership of goods
• Classification of Incoterms into E, F, C and D groups by seller burden
• Requirements for a validly drafted Incoterms clause
• The Italian Supreme Court's case law treating Incoterms as regulating only cost and risk allocation
• The European Court of Justice's Electrosteel ruling on Incoterms as trade usages determining place of delivery and jurisdiction
• Customs valuation implications of CIF and D-group Incoterms (items to be deducted from customs value)
• Customs and fiscal liability risks under Ex Works
• Practical contract-drafting considerations for transactions with UK counterparties (CISG non-membership)

For a broader overview of the topic, please watch the full recording. The slides are available in the Resources section.

Please note that this summary was generated using AI, based on the recording and available slides.