With reference to above I would like to know the following:
1) Can a buyer/ importer inspects the shipped goods before releasing the documents from the bank ? or before making payment to the bank to release the shipped goods
2) If YES/ He Can, then what are the ways to inspect the goods, I mean, Can he do personally or someone on his /her behalf can do this
3) Does buyer /importer needs any documents from exporter in order to inspect the goods before releasing documents from the bank
4) If a buyer/importer play tricks and refuse to accept goods on quality grounds or some other reason etc, then how to resolve this matter
I hope to have a reply on above concerns from respectable members
Thanks & regards
FF
Quoting from [FF]:With reference to above I would like to know the following:
1) Can a buyer/ importer inspects the shipped goods before releasing the documents from the bank ? or before making payment to the bank to release the shipped goods..YES
2) If YES/ He Can, then what are the ways to inspect the goods, I mean, Can he do personally or someone on his /her behalf can do this... YES
3) Does buyer /importer needs any documents from exporter in order to inspect the goods before releasing documents from the bank NO It needs to be in your original agereement
4) If a buyer/importer play tricks and refuse to accept goods on quality grounds or some other reason etc, then how to resolve this matter PAID FOR OR NOT PAID FOR?
I hope to have a reply on above concerns from respectable members
Thanks & regards
FF
Hi,
I have found only one way to protect both the buyer and the seller equally. I am assuming that you are a one man operation, doing the importing on your own.
The only method of payment I have found that protects the buyer and the seller equally is to pay by escrow.
I have so many companies all claiming to be the best in China. Well, only one can be the best. So, fine, if you are the best, then put your money where your mouth is and stand behind your product.
With escrow, the buyer pays for the full amount of the goods; and, it is held in escrow so that the seller can see that the funds are definitely there. The seller ships the goods. And, the buyer has 1-3 days to inspect the goods. If there is a problem, the payment is witheld until the situation is remedied. And, if the buyer decides they don't want the goods, the buyer has to ship the goods back at their expense. And, the buyer still has to pay for the return shipping - very expensive - as well as the escrow fees. And, no one wants this to happen. The seller wants to be paid and the buyer wants what they ordered. Everyone wins.
As of April 1st, we will not do business with anyone who does not use escrow. A letter of credit completely protects the seller, and not the buyer at all. If the quality of the goods received are of poor quality, the buyer has no recourse if the seller doesn't have high integrity.
Because we have not received a recent order that we contracted for, we have also decided to institute the following policies. Instead of an agent, who doesn't understand our business or have our expertise, we are going to require that the factory take detailed, high resolution pictures of our goods. And, if they need to be inspected in detail, take video of our order and send it to us. We want to inspect the packing, the quality. And, we want to see that the product is in working order. They can easily take high resolution video and send it to us.
If they are not willing to conduct business in the best interests of all parties involved, then we will find someone else to do business with.
1. Of course the buyer can inspect goods before they are shipped. It is best to inspect goods while they are being made, then you can correct any mistakes in production or assembly.
It is important to give very clear instructions to the factory about specifications, colours, etc., etc., and samples should be obtained for your approval before production starts.
You might even wish to have a formal contract with the factory which sets out terms and conditions and what the procedure is for rejected goods. You need your commercial lawyer to draw up this contract.
2. For actual inspection, you can do this yourself or you can get an specialist Inspection House to carry out the work for you. Again, you would need to give very clear details to the inspection house about what is and what is not acceptable.
3. This depends on your own requirements or the requirements of your country. For instantce, you may need Fire certificates, Electrical certificates, and so on. But just to inspect the goods, I don't think you need any special document. an Inspection House or other representative would need your written authoirty and the agreement of the supplier/factory.
4. Normally, the buyer will have paid for the goods before he is able to take delivery. This puts the question of genuinely faulty goods into the hands of the importer to deal with and resolve with the factory. This is where a contract can be very valuable.
5. It is best to try to build up a relationship with a supplier/factory over a period of years. By doing this, you will both get to know each other's level of expections and requirements and, as an importer, you will have a reasonable idea of how the factory will re-act if there is a problem with the quality of a shipment.
Hope this helps.
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I agree with you.
As a factory /suppiler, we usually take photos or video for buyers (especially new buyers)if they are unable for factory inspection before shipment. This will let the buyer the exact goods they have bought, also a way to show and present.