What is FOB receiving dock?

An FOB (Free On Board) receiving dock refers to a specific shipping term that indicates the point at which the responsibility and ownership of goods transfer from the seller to the buyer. In this context, "receiving dock" denotes the location where the buyer takes possession of the goods, typically at a warehouse or distribution center. The seller is responsible for costs and risks until the goods are delivered to that dock, after which the buyer assumes responsibility for any further transportation or handling. This term is crucial for clarifying liability and shipping costs in commerce.