Free in liner out

Free in liner out, abbreviated FILO, is a freight basis under which the shipper or charterer pays to load the cargo while the owner or carrier pays to discharge it on liner terms. The ‘free in’ half puts loading cost and risk on the cargo side; the ’liner out’ half folds discharge cost into the freight the owner charges. It is one of a family of cost-allocation terms (liner terms, FIO, FIOST, LIFO) used to split who pays at each end of the voyage. FILO suits a trade where the shipper controls loading but the receiver expects the carrier to land the goods.