Standard Operating Procedure (“SOP”) for Sellers
Last updated: 2018-10-08
Table of Contents
This SOP details how logistic service providers (“Sellers”) sell and deliver services through Freightos. These rules may change from time to time to reflect best business practices. Since all changes are binding and will govern how you sell on Freightos, we recommend that you review this SOP every three months to stay up to date. Active Freightos Users may be notified in writing upon substantial changes. You can contact us at firstname.lastname@example.org with any questions and feedback is welcome. The use of Freightos is also subject to the Freightos Master Services Agreement (“MSA”). All capitalized words in this SOP shall have the meaning found in Freightos Glossary.
2. Welcome to Freightos
Freightos provides an innovative online platform that makes global trade frictionless, matching businesses looking for a better freight experience with a global network of first-rate logistics service providers.
Freightos enables freight forwarders, brokers, carriers, insurers, and other professional vendors of freight services (“Sellers”) to easily and instantly sell freight services or ancillary services to Buyers. Freightos regularly acquires new Buyers so that Sellers like you can offer them an excellent freight experience.
3. What Freightos provides Sellers
Freightos offers a user friendly platform that allows Buyers and Sellers to easily find each other and generate instant quotes that facilitate entering into freight service contracts. The contract is always directly between the Seller and the Buyer and Freightos is not a party to that agreement in any capacity. Rather, Freightos is a facilitator of the exchange of freight services between Buyers and Sellers. Freightos provides you, the Seller, with the following services:
- Automation of generating price Quotes based on the Rates you provide.
- Advertising and promotion of your Freight Services across the Freightos platform and websites.
- Supporting the establishment of a commercial contract between you and Buyer.
- Providing a platform for communication and document exchanges between you and Buyer to facilitate the smooth operation of the transaction and allow auditing, tracking, dispute resolution and rating of the transaction.
- Acting as your collection agent to collect payment from Buyers on your behalf for the services provided.
- Providing the Freightos Payment Guarantee – Freightos acts as agent of the Seller (payee) and guarantees payment in full for the amount in Seller’s Quote and a limited list of additional services. (See Section 6.7.1 for more details).
Freightos does not act as a freight vendor, forwarder, insurer, broker, contracting agent, customs broker, or other representative, nor does Freightos act as a Buyer, Shipper, Consignee, Importer of Record or principal party of interest. You are responsible for performing all obligations to provide freight services under any agreements with the Buyer.
Freightos’ team is here to help things go smoothly, on a best efforts basis, and help you focus on what you do best, moving freight. Please feel free to contact Freightos at any time.
4. Becoming a Freightos Seller
Please contact Freightos if you would like to become a Freightos Seller. To maintain the quality of Freightos services and ensure a positive Seller experience, Freightos chooses only Sellers capable, in our assessment, of providing the high standards of service expected by the Buyers.
Sellers who wish to sell on Freightos must have and maintain all necessary licenses in all applicable jurisdictions to sell the freight services they offer. In addition, Sellers must be in good financial standing and abide by all applicable laws and regulations. Sellers are also responsible for ensuring that all of Seller’s subcontractors involved in providing the shipment have and maintain all necessary licenses and abide by applicable laws. Sellers shall be fully responsible for all actions taken by themselves and by agents and/or sub-contractors on their behalf in fulfillment of their services through Freightos.
In order to sell on Freightos, Sellers must have the ability to provide accurate and up to date pricing and automated shipment documentation and tracking data in a digitized format, They must also allocate necessary resources to manage their Freightos presence (including pricing, operations, accounting and relevant compliance requirements).
Prior to accepting a Seller, Freightos may request customer references.
5. Freightos Fees
Freightos charges Sellers the following fees.
|Main Mode||Seller’s Fee|
All transactions are subject to a minimum of 5 USD charge and all amounts from which these fee calculations are done are based on the total amounts invoiced.
For a multi-leg shipment, the fee percentage will be assessed based only on the main mode. For example: If a shipment is picked up by a truck at a factory and is transferred by AIR overseas the primary mode for the Seller’s Fee calculation will be AIR [4%] and not LTL [5%] (truck). For such a shipment Seller’s Fee shall be 4% for the total amount invoiced.
6. How does Freightos work?
Freightos brings Buyers and Sellers of freight services together to facilitate shipment booking and management. A Buyer looking to ship goods will enter his or her specifications into the designated fields, click “Search” and will instantly see automatically generated price Quotes, based on Rates provided by Freightos Sellers. When a Buyer orders a Seller’s services by booking a Quote, an Order is generated which is a legal and binding agreement between the Buyer and the Seller, subject to Verification of the Order by Freightos. Following Verification by Freightos, Seller shall commence execution of the Order as detailed in this SOP. Freightos is not a party to that Order and does not act as a freight vendor, forwarder, insurer, broker, contracting agent, customs broker, or other representative, and neither does Freightos act as a Buyer. You will be responsible for full execution of the Shipment from Pickup through Delivery. Freightos charges Sellers a Seller’s Fee for each Order as detailed below.
Below is a step by step description of how the process takes place:
6.1 Seller Onboarding
The Freightos Seller onboarding process includes a set of activities to try to ensure all participating Sellers are aligned with Freightos standards. Here is a brief description of the onboarding activities.
- Online Seller Registration Agreement – Seller completes and signs the Freightos Marketplace Sellers Registration Agreement.
- Introductory Kick-Off Meeting between Freightos and Seller.
- Introduction of Freightos Seller team account manager and Seller’s designated contact person.
- Freightos SOP and Freightos Pricing Requirements review.
- Pricing: Seller shares and reviews service scope and pricing with Freightos usually using Excel sheets (occasionally with a direct API connection)
- Operations: Introduction to operating and accounting processes and explanations on Order validation, handover to Seller and shipment execution.
- Accounting: Payment processing, invoices and purchase orders.
- Training and Onboarding – Freightos provides Seller with professional system training.
- Pricing: Rate setup and management, quotation review and issuing custom quotes to Buyers.
- Operations: Awarding shipments (SLA), uploading freight documents, updating shipment statuses and system communication.
- Publishing Rates: Freight Rates Setup, Processing and Validation. Complete Freightos-provided data templates, review and publish.
- Data Interchange Setup. Identification of Seller TMS to automatically pull shipment milestone information, carrier booking data, fees and surcharges.
- Ongoing Education and Monitoring
6.2 Seller Supplies Rates to Freightos
As a participating Freightos Seller, you will provide Freightos with Rates to publish and accurate transit times for Freight Services that you would like to make available to Buyers, in one of the ways detailed below.
The Rates that you provide will be used by Freightos’ unique routing and pricing engine to generate a Quote based on your Rates, and the criteria entered by the Buyer, and are binding on you. Should a Buyer book a Quote (which was generated based on your Rates), it becomes a binding contract between the Buyer and the Seller, documented in an Order.
If a Buyer saves a Quote, it will remain binding throughout its validity, and if booked, shall become a binding contract documented in an Order. Rates provided must be both comprehensive and exact, as you will be paid for the exact amount in the Quote which is based on the Rates that were uploaded and activated.
Below you will find detailed instructions on providing Tariffs, that are the basis for your Rates on the Marketplace.
6.2.1 Provide Freightos with Tariffs and Fees
Seller shall provide Freightos with Tariffs which are Excel spreadsheets containing Rates which shall serve as the basis for generating a Quote (here you can find several examples). A Tariff is a list of freight services and associated prices by origin/destination and service levels along a specific trade lane or group of trade lanes, which is differentiated by mode of transport and load, and includes relevant surcharges. Sellers can choose to manage a Tariff with their sell rates, or to manage Tariffs with the buy rates they get from Carriers or co-loaders, and they then define a markup level to sell at. Freightos requires accurate and comprehensive pricing information to be included in a Tariff, including:
- A list of services with origin/destination and rates for each service (typically each row in the Excel sheet will be a service).
- Comprehensive and transparent list of all applicable surcharges which will appear on published Quotes.
- Optionally multiple service level offerings (differentiated by transit times, validity period, carrier type, etc).
- Transit time range for each service offered.
- Particular carrier listings (indicate if Guaranteed Service or not).
- Validity dates.
- Comments and any explanatory comments to further explain a specific surcharge to the Buyer.
22.214.171.124 Alternative option for pick-up and delivery rates
It is a unique feature of Freightos that Buyers have the option to receive door-to-door Quotes in a fully automated way. This is achieved by using the Freightos routing engine to combine multiple legs of the shipment into a full, door-to-door route. For example if you provide Rates for pickup, origin charges, port-to-port air or ocean, destination charges and delivery, Freightos can combine these into a single door-to-door Quote on your behalf. In case you do not have your own pickup/delivery and customs clearance Rates in various countries, you may authorize Freightos to include, for example, local trucking rates in the Quote based on a benchmark of current market rates, or based on specific service providers such as a local trucking broker, in order to complete the door-to-door offering. Of course you remain responsible for honoring the price and performing the service.
126.96.36.199 Service Levels and transit times
When a Seller provides Tariffs for activation in Freightos they must specify the service level and estimated port-to-port transit time expected for the service as follows:
- For Air specify the carrier and transit time for each service and state the service level for each: “Direct” (for direct flight only) or “Indirect” (for indirect flights) or “Consol” (for consolidation services).
- For Ocean specify the port to port transit time for the service(s) you intend to provide. Routing details for each service must be provided (ie. transshipment port)
- For Express specify a door to door transit time.
Seller must execute the shipment operationally in accordance with the Quote and service levels provided.
Freightos also adds an estimated transit time range for the full route quoted. Freightos measures estimated transit times and expects Sellers to transport within these ranges. Freightos stores this information and may use it for modeling and rating purposes, and may publish this information.
188.8.131.52 Rate validity
When Seller provides Tariffs for activation in Freightos you must specify when Rates are valid from and valid to (“Rates Validity Period”). Please provide updated Tariffs prior to Rate expiration, for example on a monthly basis a few days before the end of each month. If no expiration date is provided, the Rates shall remain valid until we receive a specific notice that they have ceased to be valid.
Freightos supports automatic quoting for a limited number of key accessorial charges. Please include pricing for these accessorials in your Rates. These accessorials will be added to the Quote as set forth in the Pricing Requirements for Sellers. For other accessorials that may be added to a given shipment, please provide pricing to be used as needed. If you provide accessorials and have not provided a price, then Freightos shall apply the market price to the Quote and you shall be paid the same market price.
184.108.40.206 Delivery to Fulfillment Centers
Seller is encouraged to provide services for delivery to Fulfilled by Amazon (FBA) warehouses and other fulfilment centers e.g.: labelling, palletizing, consolidating shipments at destination, scheduling delivery to one or more warehouse, etc. Sellers interested in offering this service will provide Freightos with the following rates which will be included in relevant Quote.
- Palletization – per CBM
- Labeling – per box
- Unloading/rework fee for FCL
- Flat delivery fee for appointments
- UPS Labeling charge – per box
- Full Container Load Rework
For FCL the additional pricing will cover for three services: floor loaded container sent to Amazon; Amazon cargo loaded in the Container from origin; Devanning and Repalletized in the US.
- Floor Loaded: Storage, Cost per Day and Appointment,
- Prepared at Origin: Storage, Cost per Day and Appointment.
- Rework in the US: Devanning, repalletizing and delivering the goods.
For FCL, for all three services, the boxes must be labeled at origin by the Supplier. There is no pricing support for boxes which are not labeled at origin.
6.2.2 Quotes terms and conditions
All Quotes on Freightos are governed by the General Terms and Conditions that can be found here.
6.2.3 Business days
For this SOP a Business Day is Monday through Friday from 09.00 am through 06.00 pm EST, when US banks are open. When this SOP refers to a Seller’s Business Day these hours apply to the Seller’s place of business on days when banks in Seller’s country are open, and when this SOP refers to a Buyer’s Business Day these hours apply to the Buyer’s place of business when banks in Buyer’s Business Day are open.
6.2.4 Quote Currency
Rates may be submitted to Freightos in any currency, and will be converted to US$ or to the Buyer’s currency at the time of quoting. The conversion rate will be the middle rate known at the time of the generation of the Quote. If the Quote is given to Buyer in a currency other than US Dollars, then Freightos shall be entitled to include a FX conversion markup to the Quote which will not be paid to the Seller. The Quote currency will be the ultimate amount paid by Freightos to the Seller, irrespective of currency fluctuations between Quote and payment. Currently, invoices from Seller must be denominated in US$ as will purchase orders and payments from Freightos. Other currencies may be offered in the future.
6.2.5 Additional Services Offered to Buyer
220.127.116.11 Customs Brokerage
For international shipments, sellers must offer customs brokerage for import and export customs clearance (which they may subcontract to a third party) and any fees related to Advanced Cargo Reporting requirements in the respective origin or destination country of the specific shipment. All customs brokerage may only be performed by a licensed agent. Seller should provide the Rates of such handling reflecting standard brokerage of up to 5 individual commodity classifications, with clear charge description for any additional HS/HTS code.
Seller must provide its power of attorney (POA) form to Freightos during onboarding. Freightos will work with the Seller to suggest the best process for having the POA filled in by Buyer, however Seller is solely responsible for checking that it is holding the POA at the time of performing customs brokerage and that the POA is filled in correctly. Seller shall be responsible for the accuracy and legal status of the POA and shall notify Freightos in a timely manner if it needs assistance in having any POA updated or amended.
Seller shall be responsible to ensure and monitor performance by Seller’s customs brokerage agent.
Freightos may offer Buyers independent customs brokerage services through a third-party service.
For shipments into the U.S., if a Buyer selects the Customs Brokerage additional service, Buyer may also request to purchase a U.S. Customs Bond. The following standardized services must be offered by all Sellers on the Freightos Marketplace for imports to the United States:
|Optional service for U.S. importing||Current price|
|Single Entry Bond (U.S. Customs & Border Protection)||The greater of $50 or 0.5% of the total entered value of the goods*|
|Continuous Bond (annual, U.S. CBP)||$500*|
|Importer Security Filing Bond (= ISF Bond, U.S. CBP)||$75|
|Importer Security Filing (“10+2” service)||$50|
* Note: If any goods are hazardous, subject to FDA approval, or fall into other specific subcategories, these charges may vary.
Seller must provide a copy of the customs bond purchased as part of the shipment to the Buyer. Freightos may in the future allow Customs Bonds to be sold separately to the freight service.
If a Buyer selects the U.S Customs Brokerage additional service, in order that the Shipment not be held up or fines incurred, the Importer Security Filing (“10+2” service) must be filed by Freightos’ Sellers or by Freightos Sellers’ Customs Broker on behalf of the Buyer, unless the Buyer specifically requests not to have the Seller handle ISF filing on their behalf. If not filed in a timely manner, Seller shall be liable for extra costs incurred and the Freightos Payment Guarantee will not apply.
Seller is responsible for collection of duties from the Buyer, including notifying the relevant parties. The Freightos Payment Guarantee does not cover payment of duties.
If Buyer does not select the Customs Brokerage additional service then Buyer takes full responsibility for Customs clearance.
Seller must provide General Cargo Insurance services (sometimes known as marine insurance) to be included at Buyer’s request. Insurance tariff and minimums must be provided as part of the onboarding process and will then be added automatically as part of your freight quotes. A Seller-provided Insurance tariff includes:
- Premium calculation, e.g., Insurance premium (price) as % of value of goods + cost of freight + cost of insurance
- Minimum insurance premium (price)
- Maximum deductible of USD 500
Should Buyer choose to purchase insurance from Seller, Seller shall be fully responsible in helping Buyer settle all insurance claims. Seller is required to upload individual insurance documents to Freightos and make them available to Buyer and to fulfill all of the insurers’ requirements including but not limited to provision of documents within the time periods specified in the policy. In the case of a claim Freightos is not involved and Seller shall make all reasonable endeavors to ensure that Buyer’s claim is handled in the best professional manner.
Freightos is not involved in settling claims and all claims must be settled directly between Seller and Buyer.
Freightos may in the future separate the offering of cargo insurance from freight services.
18.104.22.168 Foreign Importers into the U.S.
Seller may provide a service for obtaining an U.S. EIN (employer identification number) for Buyers who do not have a U.S. registered business. Sellers may choose to charge or not charge for this service.
6.2.6 Mechanisms for providing and updating Rates on Freightos
Rates can be provided by the Freightos Marketplace Seller in one of several ways:
- Managed – You send us Rates in your own Excel formats and Freightos Data Services performs initial upload and data maintenance of your rates. This is currently offered at no charge for the first six months of Selling on the Marketplace. Freightos may decide to charge for this service and will provide at least one month’s prior notice.
- Electronic – Rates shared with Freightos via electronic integration (i.e. API, EDI connection). This requires a fully documented, stable modern API.
- Saas Enabled – If you are a Freightos AcceleRate and/or Freightos WebCargo Subscriber it is possible to automate sharing rates on Freightos. This is done by creating specific resell markup instructions based on loaded Tariffs or database rates.
- Self Serve – Freightos provides Excel tariff templates for Seller to manage data uploads to the Freightos Marketplace directly. Your account manager can help you set up this option and train your team to manage the Rates on an ongoing basis.
If the Seller has a Freightos WebCargo subscription, air freight rates can be shared through the Buy-to-Sell (B2S) Engine. In that case, the Seller must communicate valid business instructions so that the B2S Engine can produce Sell Rates on behalf of the Seller based on preferred airlines, a markup strategy, and a definition on the source for these calculations (whether Market, Contract, or Promotional). The Seller will still need to produce relevant sheets for origin/destination charges and pickup/delivery, with the applicable conditions explained above in 6.2.1
For more details on the different options please speak to your account manager.
6.3 Freightos Attracts Buyers
Freightos attracts Buyers using a variety of online and offline channels. In order to facilitate increased exposure to potential Buyers, Freightos functionality, including your Quotes, may be made available within third-party web sites or software that employ the Freightos API. In addition, Freightos may choose to provide specific Sellers with additional brand visibility by publicizing their names, logos, or reviews of their Service as Sellers. In some cases, Sellers names, logos and company profile description may also be used on either Freightos or on industry freight publication for PR purposes.
6.3.1 Buyer Searches and Receives Quotes
When a Buyer searches for a Quote he will be entering the following parameters:
- Origin and Destination (including location types).
- Weight, Dimensions and Load Units.
- Goods Ready Date.
- Additional services requested such as customs brokerage, customs bond or insurance.
- Details regarding delivery to fulfillment centers if required.
- Whether or not the cargo contains hazardous materials.
- Whether or not the shipper is a Known Shipper (for air shipments in relevant countries).
Freightos will return a list of Quotes from all Sellers matching these specifications, along with estimated transit times window. Freightos’ algorithm may hide Quotes which are clearly uncompetitive. Buyers will instantly see Quotes covering different modes as well as the detailed price breakdown of each Quote and leg component.
6.3.2 Buyer Saves a Quote
The Buyer may save a Quote and book it at any time prior to the expiration of the validity of the Quote. The Seller may not withdraw a Quote within the validity period, other than in the case of Force Majeure or a technical error, and only after receiving Freightos prior written approval.
6.3.3 Buyer Requests an Offline Quote (also “Custom Quote”)
If a Quote that meets the search details is not available instantly, Buyer may submit an Offline Quote request to Freightos. This will be conveyed to relevant Sellers, who may choose to provide a Quote. If the Buyer accepts an Offline Quote provided by the Seller through Freightos via any channel of communication, the Quote shall be binding on Seller, as any other Quote covered in this document.
6.4 An Order is Placed by a Buyer
Once a Buyer has selected and booked a Quote, this creates an Order. The Order is a binding contract between the Buyer and Seller, whereby the Buyer agrees to provide payment to the Seller via Freightos in exchange for the Freight Services that the Seller agrees to provide to the Buyer at the stated cost, subject to Verification of the Order by Freightos. Once a Quote is offered by the Seller and booked by the Buyer, the price in the Quote is absolutely binding. At this stage, the Order is now visible to you, however you may not commence execution of the Shipment prior to Verification of the Order by Freightos. Freightos and Buyer shall not be responsible for any costs incurred prior to Verification.
6.5 Shipment Execution
6.5.1 Order Verification
On receiving a new order, Freightos shall review the Order. Freightos Review is a non-binding preliminary check that the basic details have been provided by the Buyer, however Seller must check that all that all of the documentation necessary for execution of the Shipment is in place prior to commencing Shipment and that Seller has all necessary documentation and information to execute the Shipment. Failure to do so will nullify the Freightos Payment Guarantee.
Freightos is not party to any Order and is not responsible for performing know-your-customer due diligence (KYC) on any Buyer on behalf of the Seller or for checking that the documentation is sufficient for completion of the Shipment. Seller remains responsible for its own KYC and documentation requirements.
After Freightos has done this preliminary review, Freightos shall update the shipment to “Order Verified” Status in the Freightos System.
Upon being updated to “Order Verified” Status, an email will be sent to the Seller informing them of the shipment details and asking them to contact the consignor to schedule pick up.
6.5.2 Pickup Coordination
The Seller, or their agent, will contact the Consignor to confirm the specific Pickup Date by the end of the Seller Business Day following the day of receiving the Order Verification email from Freightos.
Seller must employ best efforts to pick up the goods and ensure handover of the Shipment to the Carrier while rates are still valid. Unless excused by Force Majeure or unless caused by Consignor or Buyer, if Seller picks up and hands over the Shipment after the Rates Validity Period, the initial Quote shall still apply to the Shipment.
6.5.3 Carrier Booking
Once the pickup date is confirmed, the Seller shall make best efforts to book a carrier no later than the end of the next Seller’s Business Day. Seller should update the Freightos’ system or send data with carrier booking information (including ETD and ETA port, BOL/AWB number (house and master) and, where relevant, container number and carrier name). For Express shipments a Tracking number should be provided as well.
6.5.4 Pickup Execution
Prior to actual pickup of the shipment, the Seller, or their agent, will contact the Consignor to arrange specific pickup details. Seller should ensure that all documentation is in order before picking up the shipment. Should Seller commence pickup prior to receiving all necessary documents from Buyer, the Freightos Payment Guarantee shall not be in effect for that Shipment. Once pickup is complete the Seller must update the Shipment Status to “In Transit”.
If a Buyer has ordered a portion of the Shipment on an FOB basis from Buyer’s supplier, then Buyer is responsible for ensuring that Buyer’s supplier executes that portion of the Shipment. Should you agree directly with Buyer’s supplier to execute any FOB portion of a Shipment, the Freightos Payment Guarantee shall not cover this portion of the Shipment and you shall be responsible for all invoicing and collection between you and the Buyer’s supplier. You may not hold up the Shipment or delay execution due to any non-payment by Buyer’s supplier or otherwise and you will be responsible for completing delivery in accordance with this SOP. Note that the charges to the Buyer’s supplier should be commercially reasonable and in line with acceptable pricing in the local market.
6.5.5 Final Dimensions, Weights and Pallet Counts
After pickup, Seller should promptly verify the Load details and communicate any updates to the load to Freightos and Buyer immediately. Please note it is the Seller’s obligation to communicate to the Buyer any price adjustments arising from the load changes and should the Buyer dispute any additional services this will be subject to the Freightos Shipment Adjustments Dispute Process. You are entitled to hold the continuation of the Shipment pending a reply from the Buyer. Seller must document and be able to provide proof of the adjustment in order to charge any additional costs.
In any case adjustments must be added to the system immediately. Any adjustments made more than 10 Business Days after delivery of the shipment will not be charged or paid, as detailed in the “Finalizing all Shipment Adjustments” (6.7.2) section below.
6.5.6 Hold on Shipment Delivery Due to Buyer Debt
Freightos has the right (which we use as rarely as possible) to instruct the Seller to hold delivery of a Shipment at any time prior to final dispatch to Consignee at destination, if Buyer has outstanding payment with respect to any transactions on Freightos (even to a different Seller). This will be communicated via email from an employee with an @freightos.com email address. The hold may be indefinite, so long as debt is outstanding. Seller shall ensure that the storage cost are kept at minimum level for such Shipment (for example shipment moved to an out of port location), and Freightos agrees to compensate the Seller for reasonable and documented storage costs incurred by the Seller due to Freightos’ decision to delay Shipment delivery, and Seller agrees to cooperate fully with Freightos in respect to holding the Shipment and with communications with the Consignee and Buyer.
Seller may not hold a shipment without Freightos prior written approval, which shall not be unreasonably withheld. Should Seller hold a shipment without receiving approval for, Seller shall be solely liable for all costs incurred and the Freightos Payment Guarantee shall not be valid. Seller may also not hold up or refrain from releasing any documentation which may delay delivery of Shipment without the prior written approval of Freightos.
6.5.7 Delivery at Destination
Seller is fully liable for delivery of the Shipment, whole and undamaged, to the correct address and make best efforts to deliver in the time frame indicated during submission of the tariff. This liability continues until the Shipment is signed for at its destination, and, where relevant, including but not limited to collecting and paying customs duties and taxes. Seller is and remains responsible even if portions of the delivery of the Shipment are carried out by third-party subcontractors or agents appointed by Seller.
Freightos may contact the Buyer and Seller shortly before arrival of the shipment at port (for ocean and air shipments) directing them to be directly in contact regarding customs clearance and the delivery leg of the shipment.
The Seller or their agent will contact the Consignee to arrange specific delivery details. Upon completion of delivery the Seller must update the Freightos system to Shipment Status to “Delivered” and specify the actual delivery date.
If Buyer contests full receipt of goods or claims that goods received were damaged, Seller shall handle dispute in accordance with Disputes section below.
6.6 Order Cancellation
6.6.1 Seller may cancel an Order
Since a Quote becomes a binding Order when booked, you may only cancel that Order under three circumstances:
- You cannot physically execute the Order because of Force Majeure. Please note that any change in market conditions or carrier availability is not a valid reason for Order cancellation.
- Should there be a material discrepancy between the details entered by Buyer into the Order and the actual description of the goods or pickup times or other substantial discrepancies, you shall be entitled to cancel the Order and may charge Buyer for any documented and commercially reasonable costs incurred, only following pickup and only up to 20% of the Quote.
- Buyer fails to meet Seller’s internal legal compliance requirements (KYC etc.), as documented for their internal reference by Seller.
Any cancellation by Seller or failure to execute the Order other than for these reasons shall be a breach of contract between Seller and Buyer. In such a case, the Seller may be liable to the Buyer for any losses incurred, such as alternate transportation costs, excluding consequential damages to any party. In such cases and in any lack of execution, Freightos and/or Buyer shall be entitled to book the Order with a different Seller in addition to seeking remedies for the breach.
In order to maintain a fair and honest platform, Freightos retains the right to remove Sellers from the Marketplace or take any other necessary measures against Sellers that, in Freightos sole discretion, abuse this Cancellation Policy.
6.6.2 How to Cancel an Order
- Send an email to email@example.com
- Include the shipment number and the word “Cancellation” in the subject line.
- Please include a written explanation with the reason for cancellation and if there are any charges that have to be paid. If there are please detail and explain them.
6.6.3 Buyer Cancellation Policy
Should the Buyer cancel an Order after the Seller has already incurred costs, the Seller shall be entitled to payment for commercially reasonable and documented costs. These costs shall be subject to Freightos Seller’s Fees (Section 5).
6.6.4 When Freightos may cancel an order
Freightos may cancel any Order during the Verification Process if it believes it not to be a viable Order.
Freightos may notify the parties that the Order has been cancelled at any time on behalf of either party due to non-compliance with Marketplace rules if:
- On behalf of Buyer:
Seller has not fulfilled all of Seller’s obligations under the SOP and MSA and other Freightos Policies.
In this case, Freightos shall have the right to transfer the Shipment to another Seller (as approved by Buyer), and Seller shall have no claims arising from this cancelled Shipment.
- On behalf of Seller:
A breach of contract has occurred on the part of the Buyer, including but not limited to:
- If Freightos has reasonable cause to believe that Buyer will not perform their obligations per the contract.
- If Freightos believes that the Buyer may not be legally eligible to purchase the Freight Services.
6.7 Freightos Acts as a Collection Agent for Seller
6.7.1 Freightos Payment Guarantee for Sellers
Freightos Sellers should be able to confidently accept Orders from Buyers on Freightos. Freightos acts as agent of the Seller and guarantees payment in full for the amount in Seller’s Quote and any additional services as detailed in the Transparent Pricing Policy.
However, the Payment Guarantee will not apply if there is a dispute about the delivery or services performed until such dispute is resolved, or if Seller has acted not in accordance with this SOP or with any of the policies referred to in this SOP.
Seller should not initiate collection directly from Buyer under any circumstances, with the exception of duties payments for customs.
6.7.2 Finalizing all Shipment Adjustments
Freightos allows you to charge for any additional services detailed in the Transparent Pricing Policy. For example, you may charge for a discrepancy between the dimensions and weight reported by Seller and the actual documented dimension/weight. Seller commits to update Freightos with all additional services that were provided within 10 Business Days after delivery (with the exception of Express shipments for which additional services may be added for 15 Business Days after delivery). After 10/15 Business Days after delivery, the shipment will be considered ‘closed’ and the Buyer has 5 Business Days to submit any disputes. Should the buyer not dispute, he will be asked to pay any and all of the Additional Services added during the shipment. After a shipment is ‘closed’ no changes to the shipment can be made by the Seller.
6.7.3 Abandoned Cargo
Should the consignee not make the necessary arrangements to pick-up the goods from the CFS/Warehouse/CY, cooperate in customs clearance, or facilitate delivery efforts within 10 calendar days (or extended free time if available) after release notice, the shipment may be considered Abandoned Cargo.
You must make commercially reasonable attempts to mitigate any damages and reduce costs associated with the cargo. The Freightos Payment Guarantee shall remain in place subject to your acting in a prudent manner.
6.7.4 Freightos Purchase Order
Once a shipment is “In Transit”, Freightos will send the Seller a Purchase Order (PO) representing the total owed to the Seller as recorded on Freightos. A final PO reflecting any cost adjustments that occurred during the shipment execution will be sent to the Seller fourteen days after the shipment reaches “Delivered” status.
6.7.5 Invoice Required for Payment
A final invoice must be sent to firstname.lastname@example.org prior to the “invoice cut off” date for each payment cycle as detailed below. The “invoice cut off” date occurs a number of days prior to the payment and will be published together with a six (6) month payment schedule that is communicated by Freightos to Sellers.
The invoice must match the PO sent by Freightos, in terms of the description of each line item, the amounts per line item and the total amount. If there are discrepancies between the PO and the Invoice received, Freightos will not remit payment to the Seller.
Freightos will make payment for invoiced shipments that are delivered, have been marked with the status “delivered” on the Freightos Shipment page. Unless, the shipment is still in dispute with the Buyer and/or 5 days have not passed since the last charge that was added.
Seller is responsible for ensuring that Freightos is informed of the delivery, for having proof of delivery and that the Shipment page status is marked as “delivered”.
6.7.6 Identifiers on Every Seller Invoice
Invoices submitted to Freightos must include the Freightos Shipment # and one of any of the following identifiers: for ocean shipments the House/Master Bill of Lading, for air shipments the House/Master AirWay Bill, and for Express the Tracking number.
6.7.7 Payment Currency
Rates may be submitted to Freightos in any currency, and will be converted to US$ at the time of quoting. The conversion rate will be the middle rate known at the time of the generation of the Quote. The US$ Quote will be the ultimate amount paid by Freightos to the Seller, irrespective of currency fluctuations between Quote and payment. Currently, Invoices from Seller must be denominated in US$ as will purchase orders and payments from Freightos. Other currencies may be offered in the future.
6.7.8 Net Payment to Sellers
Freightos Seller’s Fees are set above in Section 5.
Payment will be made to the Seller by Freightos, net of the Seller’s Fee and any applicable withholding tax. Invoices to Freightos must NOT have the Seller’s Fee deducted from them. Freightos will issue an invoice to the Seller for the Seller’s fee.
6.7.9 Two Payment Cycles per Month
Payments will be made twice a month (close to the beginning and close to the end of each month). A six month payments schedule is published by Freightos for the exact dates on which payment will be made.
Payment will be issued to the bank account specified by the Seller.
6.7.10 Payment Report
Seller will receive a payment report for each shipment on that payment cycle. This report records the total amount of the Seller Invoice, the total amount of the Freightos Invoice for the Seller’s Fee, and the net payment received for this shipment(s).
7. Seller’s Freightos Presence
7.1 Show Seller logo on Quotes
Freightos will use your logo when showing your Quote, on your Seller Profile Page, and in other places for marketing purposes. You agree to such use of your logo and agree that your company name, logo(s) and Rates shared on Freightos can be used as part of Freightos’ marketing efforts to attract Buyers in order to generate business for Sellers. Such marketing efforts may include email marketing, digital advertising, press mentions and more.
7.2 Seller Profile Page
Freightos creates a page for Sellers to share basic information with Buyers about their organization, services offered and reviews. You should provide Freightos with accurate details and add any information that you would like Buyers. Freightos is not obligated to publish all of the provided information nor is Freightos responsible for validating the content of the Seller profile page. Sellers assume all responsibility for the content published.
Freightos will publish Buyers’ reviews of your services. This gives Buyers additional information when choosing a Quote in order to help select a Seller that provides good service. All reviews are solely the opinion and responsibility of the person posting the content and Freightos takes no responsibility and assumes no liability for reviews posted by Buyers.
Should the Seller wish to contest a review, the Seller should email email@example.com. These requests will be reviewed on an individual basis however Freightos will only remove reviews if they are deemed malicious, obscene or libelous.
Freightos also reserves the right to publish and share metrics about Seller’s performance collected through use of Freightos, such as actual transit times, in the Reviews sections and/on Seller’s profile page.
Freightos invests significant efforts and resources into finding Buyers and Sellers. When Freightos introduces a Buyer and a Seller, they must transact exclusively through Freightos for 12 months following the first transaction (with an exemption if the Seller had sold directly to the Buyer in the previous 6 months prior to their first transaction on the Freightos Marketplace, as evidenced by an actual invoice, or with respect to other services, e.g. warehousing, while those services are not offered on Freightos).
Any transactions done between a Buyer and Seller directly during this non-circumvention period shall be deemed to have taken place through Freightos with respect to Seller Fees. Any Buyer that approaches a Seller during the non-circumvention period should be redirected back to the Freightos Marketplace to Book the Order.
9. Shipment Lifecycle Communication
A central pillar of Freightos is transparency and a high level of customer service throughout the shipment lifecycle. To that end, Freightos provides Sellers with a platform to update Buyers with critical shipment milestone data through both direct communication and an online shipment portal.
- Direct Communication: Using the Freightos messenger functionality via the Freightos platform or emails, Sellers can contact and respond to Buyers. This ensures documented communication that mitigates misunderstanding. Customer satisfaction is contingent upon a timely response and is used by Freightos as one metric for evaluating Seller responsiveness.
- Milestone Reporting: Another method to ensure customer satisfaction is prompt communication of shipment milestones via direct TMS integration or manual updates. The required milestones and SLAs for timely lifecycle communication can be found in Appendix A. There are two ways to keep the milestones up to date in Freightos:
a. TMS integration via CSV/XLS
b. Manual updates to Freightos shipment pages.
While the Order is an agreement directly between the Buyer and the Seller, Freightos would like to help both sides have a mutually beneficial experience on Freightos, providing a framework for Sellers and Buyers to resolve disputes directly.
A Buyer may initiate a dispute by submitting a dispute form within five Business days of any charge being added. The Seller will then have five business days to reach out to Buyer to attempt to reach a settlement. firstname.lastname@example.org must be copied on all correspondence. If a settlement is not reached within that timeframe, Freightos will adjudicate. Any charge exceeding $10,000 USD will need to be settled directly between you and the Buyer.
By agreeing to this SOP you agree that any and all disputes or claims that have arisen, or may arise, between you and Buyer that relate in any way to or arise out of services booked and provided through Freightos up to a sum of 10,000 USD shall be resolved exclusively through this clause, rather than in court or arbitration or directly between the Seller and Buyer, and Freightos shall be the final arbiter of such disputes.
Should any legal actions be taken by you outside of this clause in respect of any shipment, whether through arbitration or court or directly between the Seller and Buyer, the Freightos Payment Guarantee shall not cover such shipment.
These rules are important to all Sellers and Buyers in order to provide an optimal international freight experience on Freightos. To ensure this, Freightos reserves the right, at its discretion which may differ from case to case depending on the circumstances, to enforce these rules. Users who do not adhere to these rules may be subject to a range of actions, including limiting their use of Freightos, suspension of their account, application of fees, and recovery of any expenses incurred in policy monitoring and enforcement.
If a Seller fails to comply with the Freightos terms as detailed in the Freightos Master Services Agreement, this SOP, or any of the policies mentioned here, or if Freightos has received legitimate complaints about the Seller’s services from Buyers, Freightos reserves the right at its sole discretion to suspend the Sellers account or their participation on Freightos. Sellers may choose to leave Freightos at any time by deactivating their Tariffs and contacting email@example.com. In the event of removal by Freightos or by the Seller’s choice, they will remain bound to provide any services for any Quotes saved or booked prior to their tariff’s removal and service any outstanding Quotes, Orders and Shipments in accordance with this SOP.
Freightos values the privacy of all Buyers and Sellers, as well as the confidentiality of their data. Should any Seller share any of a Buyer’s data or any unauthorized information, this is cause for immediate termination of Seller’s account.
Milestones and SLA
|Planned pickup Date||1 Business Day After Order verified||1 Business Day After Order verified||1 Business Day After Order verified||1 Business Day After Order verified||1 Business Day After Order verified|
|Port ETD||2 Business Days After Order verified Day but not more than 4 days before planned pickup||2 Business Days After Order verified Day but not more than 7 days before planned pickup||2 Business Days After Order verified|
but not more than 3 days before planned pickup
|Port ETA||2 Business Days After Order verified Day but not more than 4 days before planned pickup||2 Business Days After Order verified Day but not more than 7 days before planned pickup||2 Business Days After Order verified|
but not more than 3 days before planned pickup
|Estimated Date Delivery||2 Business Days After Order verified Day but not more than 4 days before planned pickup||2 Business Days After Order verified Day but not more than 7 days before planned pickup||2 Business Days After Order verified|
but not more than 3 days before planned pickup
|1 Business Day After Pickup||1 Business Day After Pickup|
|Actual Delivery Date||1 Business Day After Delivery||1 Business Day After Delivery||1 Business Day After Delivery||1 Business Day After Delivery||1 Business Day After Delivery|
|MBOL/MAWB/ Container numbers||1 Business day before ETD||1 Business day before ETD||2 Business Days After Order verified|
but not more than 3 days before planned pickup
|Tracking Number||N/A||N/A||N/A||1 Business Day After Order verified||1 Business Day After Order verified|