(a) History

Versions. The idea for the Incoterms goes back to 1921, and the International Chamber of Commerce published the first set in 1936. The current version is Incoterms 2010, published on 1 January 2011, which updates (albeit to a limited extent) Incoterms 2000.

Refer to the right version. Because changes are made to Incoterms from time to time, it is important to ensure that an express reference is made to the then-current version of the Incoterms wherever the parties incorporate Incoterms into their contract. This may easily be overlooked when, for example, a reference has been made to an earlier version in standard contract forms or in order forms used by merchants. A failure to refer to the current version may then result in disputes as to whether the parties intended to incorporate that version or an earlier version into their contract. Merchants wishing to use Incoterms 2000 should therefore clearly specify that their contract is governed by “Incoterms 2000”.

Incoterms 2010 defines 11 rules (down from the 13 used in Incoterms 2000). There are two new rules (“Delivered at Terminal”, DAT; and “Delivered at Place”, DAP), which replace four rules in Incoterms 2000 (i.e. “Delivered at Frontier”, DAF; “Delivered Ex Ship”, DES; “Delivered Ex Quay”, DEQ; and “Delivered Duty Unpaid”, DDU).