F.o.b. Law and Legal Definition
According to 48 CFR 2.101[Title 48. Federal Acquisition Regulations System; Chapter 1. Federal Acquisition Regulation; Subchapter A. General; Part 2. Definitions Of Words And Terms; Subpart 2.1. Definitions], ‘F.o.b.’ means free on board. This term is used in conjunction with a physical point to determine:
(1) The responsibility and basis for payment of freight charges; and
(2) Unless otherwise agreed, the point where title for goods passes to the buyer or consignee.
