1. SPECIFIC TERMS
1.1 The Warehouse Receipt is issued subject to the Warehouse Receipt Terms and Conditions and the Rules, which shall apply to each and every Holder.
1.2 The Warehouse Receipt is issued by the Exchange's Collateral Manager in respect of the Product of the Quantity and Class and Grade as indicated hereon and indicates the Storage Facility where the Product is stored.
1.3 The Collateral Manager is not the owner of the Product either solely, jointly or in common with others unless otherwise stated in this Warehouse Receipt and the Collateral Manager does not warrant title or ownership of the Product to the Holder.
1.4 Only the original of the Warehouse Receipt issued by the Head Office will be valid for delivery of the Product by the Collateral Manager.
1.5 The Warehouse Receipt must be transferred, via the electronic warehouse receipt system, to the account of the Collateral Manager in order to take physical delivery of the Product.
1.6 Upon return of this Warehouse Receipt properly endorsed, and after payment of all Handling and Storage Fees, physical delivery of the Product will be made FOT or FOR alongside the Storage Facility to the Holder, described as transferee on the record of the transfer overleaf.
1.7 No Product shall be delivered should there be any outstanding Handling and Storage Fees. Any outstanding Handling and Storage Fees must be paid in full to the Exchange and the Exchange must have notified the Collateral Manager in writing that all such Handling and Storage Fees have been paid in full before any Product is Dispatched.
1.8 Subject to clause 1.7, the Collateral Manager is obliged to deliver the Product in respect of which this Warehouse Receipt has been issued to the Holder thereof, unless prohibited to do so by applicable law.
1.9 This Warehouse Receipt is transferable..
1.10 The Product is insured against insurable risks by the Collateral Manager. The particulars are available from the Collateral Manager on request. In a case of damage during storage, at the option of the Collateral Manager, a product similar to the applicable Product described in this Warehouse Receipt will be delivered, or a cash amount calculated at the insured value of the Product will be paid.
1.11 Dispatch arrangements in respect of the Product must be made by the Holder with the Collateral Manager at least 7 (seven) Business Days prior to Dispatch.
1.12 Dispatch can take place on any Business Day during the normal working hours of the Collateral Manager at the Storage Facility, or per specific arrangement.
1.13 The Holder shall be responsible to arrange for rail and/or road transportation from the Storage Facility and shall notify the Collateral Manager within 7 (seven) Business Days prior to Dispatch of the identity of the Carrier.
1.14 Unless the Holder enters into a further agreement with the Collateral Manager, the applicable Product must be removed from the Storage Facility before the Maturity Date. If this Warehouse Receipt is presented after the expiry of the Maturity Date, the Class and Grade and Quantity indicated on this Warehouse Receipt shall no longer be valid and the Class and Grade and Quantity of the Product will be recalculated by the Collateral Manager. On the second anniversary of the Maturity Date the Collateral Manager shall be entitled to re-grade the Product and sell it at the then current market price(s) as determined by the Exchange. The proceeds of such sale less the applicable Storage and Handling Fees (including any other costs incurred by the Collateral Manager relating to such sale) will be kept in trust by the Collateral Manager for a further period of one year, after which any claim that the Holder has in respect of the Product or the Warehouse Receipt will irrevocably be forfeited.
1.15 The Holder is responsible for declaring any disputes regarding the Class and Grade and Quantity of the Product before the Product is dispatched. The Collateral Manager is not responsible for any such disputes after the Product has been dispatched. Grading equipment and scales / weighbridges must have updated calibration certificates available from suppliers, tested against local graphs. The Exchange's grading equipment will be used in connection with the resolution of any such disputes pursuant to clause 3 below.
2.1 All disputes in respect of the Warehouse Receipt will be governed by the provisions of this clause 3.1 and the Rules:
2.1.1 The Holder of the Warehouse Receipt is entitled to be present when the Product is sampled, graded and weighed.
2.1.2 If the Holder is not satisfied with the Class and Grade results or the Quantity, he can request the Collateral Manager to repeat the process of grading and weighing. If the Holder is still not satisfied with the results of the second grading and weighing process, the following provisions shall apply:
188.8.131.52 If Quantity is disputed, the scale / weighbridge must be tested by using the test weights. The Quantity will be accepted as the final Quantity if the test weights confirm accuracy. If the scale weighs the test weights incorrectly the scale must be re-calibrating and tested again with the test weights before the Product is weighed again;
184.108.40.206 if the Class and Grade results are disputed, an expert independent grader from the Exchange panel can be requested to grade the samples under dispute;
220.127.116.11 the expert independent grader can only give an opinion on the sample that is disputed;
18.104.22.168 the findings of the expert independent grader are final and must be accepted by all the Parties; and
22.214.171.124 The Party which loses the dispute is responsible for the costs relating to the dispute (including travel costs of the independent grader and his fee), as well as any standing cost of the transport vehicle. Consequential damages are excluded from any dispute.
3. LIMITATION OF LIABILITY
3.1 The Collateral Manager does not accept any liability to the Holder whatsoever and howsoever arising:
3.1.1 as a result of any beach by the Depositor of any of its obligations in terms of the storage agreement between the Collateral Manager and the Depositor;
3.1.2 as a result of any breach by the Exchange of its obligations to the Holder in terms of the Rules;
3.1.3 as a result of any failure, omission, malfunction or suspension of the Exchange;
3.1.4 as a result of the negligence or default of the Holder, including a failure to comply with the rules of the Exchange;
3.1.5 for any lost, stolen, or forged Warehouse Receipts;
3.1.6 as a result of dispute between the Depositor and any Holder or any dispute between subsequent Holders;
3.1.7 as a result of any acts or omissions of the Carrier;
3.1.8 for any loss or profits or business or any indirect, special or consequential damages; or
3.1.9 Any Force Majeure Event.
3.2 No Holder or any other person shall have any claim against the Exchange arising from any breach or wrongful act or omission of the Collateral Manger, including but not limited to non-delivery or defective delivery of the Product, unsuitability or poor quality of the Product or insolvency of the Collateral Manger or otherwise.
4. GOVERNING LAW
Subject to clause 3, the Warehouse Receipt Terms and Conditions shall be governed by the laws of the Republic of Rwanda.