Under a shipment contract, the seller passes title to the buyer when the goods arrive.

Shipment Contract

An agreement in which the seller is obligated to send goods to a buyer, but the risk of loss passes to the buyer when the goods are delivered to the carrier.

Title Passes

The point at which ownership of property is transferred from one party to another according to the terms of a contract.

Goods Arrive

The event or process where purchased or ordered products reach their destination or the buyer's location.