Remuneration Customarily Retained
CIFFA Section 20. The Company shall be entitled to be paid and retain all brokerages paid by carriers, commissions, documentation allowances, profits on foreign exchange and other remunerations paid by third parties as is customary in the trade.
NCBFAA Section 19.
Compensation of Company.
The compensation of the Company for its services shall be included with and is in addition to the rates and charges of all carriers and other agencies selected by the Company to transport and deal with the goods and such compensation shall be exclusive of any brokerage, commissions, dividends or other revenue received by the Company from carriers, insurers and others in connection with the shipment. .
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Peter Jones' Commentary:
This Section is directed at a commercial reality. A forwarder frequently receives amounts, relatively small in relation to the amount of the freight and other charges generated by the transport of the customer's goods, paid by third parties. Cumulatively these amounts are more significant to the forwarder. If the right to keep these amounts is not clearly spelled out in the standard trading conditions, the forwarder might have to account for them in a legal action, risking the possibility that the forwarder will have to refund them to a customer.