All INCOTERMS must be expressed by the appropriate three-letter code and include the naming of a physical place of handover and - in certain cases - the further naming of the carrier or Vessel. The buyer and seller must use the expression INCOTERMS 2000 to conclude the term, thereby clearly indicating INCOTERMS 2000 as the source of reference for definition.

These conditions are the minimum requirements for the use of these terms but the terms can be added to or modified so as to incorporate the buyer and seller's specific needs, provided that such modification does not contradict the basic INCOTERM itself.

Important Note: Certain INCOTERMS are Multimodal certain others are restricted to moves where the main carriage is by sea transport only. The terms must be used for the correct form of transport if they are to offer any protection to the parties involved.