Delivery diagram

Pattern
Examples

What is it?

Delivery diagrams represent visually key aspects of the terms of delivery of goods. For example, it illustrates when and where delivery takes place and when the cost and risk are transferred.

What problems does it solve?

Parties entering a contract for the sale and purchase of goods need to choose their terms for delivery. “Delivery” may mean many things, not only shipment or arrival, but also placing the goods onboard a carrier or other alternatives. The choices affect how the cost, risk, and responsibility for loading, unloading, customs duties, taxes, and other matters are divided between the parties. Misunderstanding the meaning attributed to “delivery” can lead to mismanaged expectations, delays, extra costs, and even damages to the goods.

When to use it?

The delivery diagram can be used to disambiguate and summarize delivery clauses – either the parties rely on International Chamber of Commerce published Incoterms® rules, other standard delivery clauses, or bespoke arrangements.

Why use it?

The delivery diagram illustrates precisely what delivery means: where it happens, how, and in which moment in time and space various responsibilities pass. When applied to standard rules, like Incoterms®, it allows to explain and compare the essence of the various trade terms in a simple way. When applied to non-standard delivery terms, its familiar format helps the parties to plan and agree on how delivery should take place.

Where to use it?

Contract documents
Contract guides and playbooks
Training materials
Contract planning and negotiation

Pattern families

Visuals Summarizing Explainers

Example 1

Using delivery diagrams with Incoterms®

Example from a framework agreement on the supply of goods.

Example 2

Multiple delivery diagrams for different methods of delivery

In this example, Shell used multiple delivery diagrams to explain how risk and title pass to the customer in different scenarios.

Source: Shell Marine Lubricants Terms & Conditions

Example 3

Using delivery diagrams to explain delivery terms under CISG

Example from the Visual CISG booklet produced at the Legal Design Jam held during the 2013 Information Design Summer School in Syros, Greece

Source: Legal Design Jam

Example 4

Using delivery diagrams across a suite of service-specific terms

Valmet uses delivery diagrams to clearly illustrate the concepts of transfer of title and risk. Such delivery diagrams are used consistently in several service-specific terms, creating a consistent and immediately recognizable format for the reader.

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