Partial Shipment Allowed

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📖 Detailed Explanation

"Partial Shipment Allowed" is a common clause in international trade contracts and letters of credit, meaning the seller may ship the goods under the contract in several batches at different times or places, and the buyer may not reject the goods or refuse payment on that ground. Use cases include: long production cycles, insufficient stock for a single shipment, limited vessel space, or the buyer's request for phased delivery. Note: If the L/C does not expressly allow or prohibit partial shipment, under UCP600 partial shipment is allowed; but if it states "partial shipment not allowed," the goods must be shipped in one lot. In contrast to "Partial Shipment Prohibited," allowing partial shipment gives the seller greater flexibility but may increase the buyer's costs for receiving, inspecting, and managing the goods. Unlike "Transshipment Allowed," partial shipment emphasizes shipping the goods in multiple lots, while transshipment emphasizes changing the means of transport en route. In practice, the number of partial shipments, timing, quantity per lot, and whether partial shipment is permitted should be clearly specified to avoid disputes arising from ambiguous terms.

📝 Examples

1. Partial shipment is allowed for the goods under this contract, but each shipment shall not be less than 100 metric tons, and the last shipment must be completed before June 30, 2025. (Note: The contract expressly allows partial shipment and sets a minimum quantity per lot and a final deadline.) 2. The L/C stipulates: Partial shipment allowed, but each shipment must be accompanied by a separate set of shipping documents. (Note: The L/C allows partial shipment but requires a separate set of documents for each shipment to facilitate independent document examination and payment by the bank.)

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