REPRESENTATIONS, WARRANTIES AND DUTY TO INSURE: As limited herein, Lessor: (1) warrants its professional services rendered and the goodness and fitness of the Container (resistant to damage from perils such as fire, lightning, wind, hail, smoke, weight of ice, snow or sleet, falling objects); (2) assumes responsibility for protecting and preserving all Contents other than specific excluded property (“Covered Property”) in its possession or care, custody or control from certain losses and shall be liable for loss to Covered Property in excess of a $2,500 deductible for damage caused by Named Storms (as assigned by the World Meteorological Organization) and $100 for all other specified events; and (3) assumes responsibility for purchasing such insurance as Lessor deems necessary to insure or financially back these obligations. Lessor shall only be responsible for damages occurring during such period(s) for which the Tenant has paid Lessor all required rental, transport, storage and/or service fees due.
COVERAGE PERIOD: Coverage commences upon execution of the rental agreement or initial delivery of the first container and continues until the earlier of: the expiration or termination of the Rental Agreement; the date that the Container is returned to Lessor, or non-payment of monthly fees.
COVERAGE TERRITORY: Lessor only covers loss occurring in Australia. Coverage extends while the Container is on Tenant’s departure or arrival destinations, in the course of transit, or warehoused at Lessor’s Facility.
PROPERTY NOT COVERED: Notwithstanding any other provision in this Addendum to the contrary, Lessor does not assume any liability for loss or damage to the following types of personal property: money, bank notes, scrip, securities, accounts, deeds and evidences of debt; letters of credit and notes other than bank notes; bullion, gold, goldware, silver, silverware, platinum, coins, precious medals and pewter; stored value cards and smart cards; manuscripts, personal records, passports, tickets and stamps; jewelry, watches, furs, precious and semiprecious stones, firearms; animals, birds and fish; aircraft, hovercraft, motor vehicles and engines, trailers; property not owned by Tenant or for which Tenant is not legally liable; computer software or programs, media or computer data contained on hard disks or drives.
COVERED CAUSE OF DAMAGE: Lessor will only pay for loss to covered property resulting from: Fire or Lightning; Windstorm or Hail (but not loss caused by rain, snow, sleet, sand or dust unless the direct force of wind or hail damages the Container causing an opening in a roof or wall and the rain, snow, sleet, sand or dust enters through this opening); Explosion; Riot or Civil Commotion; Aircraft or Vehicles; Smoke; Vandalism and Malicious Mischief; Weight of Ice, Snow or Sleet; Accidental Discharge or Overflow of Water or Steam from plumbing, heating, air conditioning or automatic fire protective sprinkler system; Falling Objects, but only if the roof or an outside wall of the Container is first damaged by the falling object; Burglary (excluding on-site storage customers) with evidence of forcible break in and entry; Collapse of the Container or of a building onto the Container, but only if the collapse was caused by a covered cause of loss; Federally Certified Acts of Terrorism (but not to include acts of chemical, biological and nuclear terrorism); Collision, upset or overturn while the Covered Property is in transit to or from a Facility or the tenant’s designated location or at the tenant’s origination or destination location; and any negligent acts by Lessor or Lessor’s representatives in the handling of the Container.
EXCLUSIONS: Lessor does not assume liability for damage caused directly or indirectly by any of the following regardless of any other cause or event contributing concurrently or in any sequence to loss: (1) Damage caused by improper packing, normal shifting or intentional acts; (2) Ordinance or law regulating demolition, clean up or removal of pollutants; (3) Earth Movement, meaning: earthquake, land shock, waves or tremors; volcanic eruption; landslide, mudslide and mudflow including earth shrinking, rising or shifting; or earth sinking, sinkhole collapse, subsidence, rising or shifting including soil conditions which cause settling, cracking or other disarrangement of foundations or other parts of realty; Soil conditions include contraction, expansion, freezing, thawing, erosion, improperly compacted soil and the action of water under the ground surface; (4) Water Damage, meaning: flood, surface water, waves, tidal water, overflow of a body of water, or their spray, all whether driven by wind or not; or mudslide or mudflow; water or water-borne material which backs up from a sewer or drain or which overflows or is discharged from a sump, sump pump or related equipment; or water or water-borne material under the ground surface, including water which exerts pressure on, flows, seeps or leaks through a foundation, wall floor, ceiling, porch, sidewalk, driveway, swimming pool, paved surface, basement, door, window or other opening; (5) War, civil war, insurrection, military action, discharge of any biological or chemical agent or a nuclear weapon, nuclear reaction, radiation, or radioactive contamination; (6) Intentional Acts by or at Tenant’s direction with the intent to cause loss or damage; even if the person committing the act is insane, intoxicated or otherwise impaired; (7) Destruction, confiscation or seizure of property by order of any governmental or public authority; (8) Presence, growth, proliferation or spread of mold, fungus, wet rot, mildew, bacteria, rust, corrosion, dampness, dryness, contamination, spoilage, decay or any expense for testing, monitoring, abatement, mitigation, removal, remediation, restoration, neutralization, detoxification or disposal of such; (9) Wear and Tear, marring and scratching, deterioration, hidden or latent defect; nesting or infestation, or discharge or release of waste products or secretions, by insects, birds, rodents or other animals; (10) Chemical, biological and nuclear terrorism and acts other than Federally Certified Acts of Terrorism; (11) loss occurring prior to or after the Coverage Period; (12) loss occurring prior to or after termination of the Rental Agreement; (13) Burglary for on- site storage customers; and (14) Mechanical/Electrical derangement.
DUTIES IN THE EVENT OF LOSS: Tenant must see that the following actions are performed in the event of loss or damage to Covered Property: (1) Notify the police if a law may have been broken. (2) Provide Lessor notice of the loss or damage including a description of the property involved within 30 days from date of discovery, not to exceed 30 days from the final pick up date of the Container. (3) Provide Lessor or its Insurer a description of how, when and where the loss or damage occurred within 30 days from date of discovery, not to exceed 30 days from the final pick up date of the Container. (4) Take all reasonable steps to protect the Covered Property from further damage, and keep a record of expenses necessary to protect the Covered Property, for consideration in the settlement of the claim. This will not increase the Lessor’s liability. Lessor will not be responsible for any subsequent loss or damage resulting from a cause of loss that is not a Covered Cause of Loss. Also, if feasible, set the damaged property aside and in the best possible order for examination. (5) Tenant will not, except at Tenant’s own cost, voluntarily make a payment, assume any obligation, or incur any expense without Lessor’s consent. (6) As often as may be reasonably required, permit Lessor or its Insurer to inspect the property proving the loss or damage and examine Tenant’s books and records. Also, permit Lessor or its Insurer to take samples of damaged and undamaged property for inspection, testing and analysis, and to make copies from Tenant’s books and records. (7) Lessor or its Insurer may examine Tenant under oath, while not in the presence of any other Tenant and at such times as may be reasonably required, about any matter relating to the claimed loss, including Tenant’s books and records. In the event of an examination, Tenant’s answers must be signed. (8) Send a signed, sworn proof of loss containing the information requested to settle the claim. Tenant must do this within 60 days after such request. Lessor or its Insurer will supply Tenant with the necessary forms. (9) Immediately send copies of any demands, notices, summonses or legal papers received in connection with the claim or suit. (10) Cooperate in the investigation or settlement of the claim.
SETTLEMENT OPTIONS: Lessor’s liability shall not exceed the lesser of the following amounts after deduction of any amounts paid by a third party, and less the applicable deductible: (1) the depreciated Replacement Cost; (2) Tenant’s interest in the Covered Property; and (3) Limit of Coverage secured. The deductible per loss is:
$100 except $2,500 for Named Storms (i.e. name or number assigned by the World Meteorological Organization). If Tenant’s Declared Value is less than ninety (90%) of the Replacement Cost, all loss settlement payments shall be reduced proportionately based upon the relationship that the Tenant’s Declared Values bears to ninety (90%) of the Replacement Cost. If property is recovered for which Lessor or its Insurer have made payment, Lessor is to be notified of such recovery. At Lessor’s option, Lessor may retain such property but there shall be no abandonment of property to Lessor. If there is damage to Covered Property caused by more than one loss, each loss shall be adjusted separately, and the applicable deductible amount shall be applied separately to each loss. At Lessor’s option, Lessor may pay the loss in money, or may repair or replace the damaged or stolen Covered Property. In the event of a total loss, Lessor may require assignment of title. In case of loss or damage to any part of a pair or set Lessor may: repair or replace any part to restore the pair or set to its value before the loss or damage; or pay the difference between the value of the pair or set before and after the loss or damage. In case of loss or damage to any part of Covered Property consisting of several parts when complete, Lessor will only pay for the value of the lost or damaged part. “Replacement Cost” means the cost of reasonably restoring that property to its condition immediately before loss or damage; or the cost of replacing that property with substantially identical property.
LOSS PAYMENT: Lessor or its Insurer will give written notice to Tenant of their evaluation of damages and liability within 30 days after receipt the sworn proof of loss. Lessor will not be liable for more than each party’s financial interest in the Covered Property. Payment shall be made to Tenant as loss payee unless the Covered Property is identified as owned by others. Lessor or its Insurer will adjust losses with owners of lost or damaged property if other than Tenant. If payment is made to owners, such payment will satisfy all claims against Lessor and its Insurer for owners’ property. Owners will not be paid more than their financial interest in the Covered Property. Lessor’s Insurer may elect to defend Tenant against suits arising from claims of owners of property at the Insurer’s expense. Payment for covered loss or damage shall be within 30 days after receipt of the sworn proof of loss if there has been compliance with all the terms of this Addendum and the parties have reached agreement on the amount of the loss; or an appraisal award has been made. Lessor will not be liable for any part of a loss that has been paid or made good by others.
APPRAISAL: Either party may request in writing an independent appraisal of the amount of loss in accordance with the terms of the insurance policy.
RECOVERED PROPERTY: A party must give the other prompt notice if any property is recovered after loss settlement. At Tenant’s option, property will be returned to Tenant. Tenant must then return to Lessor the amount paid for the property. Lessor will pay recovery expenses and the expenses to repair the recovered property, subject to the limits herein.
RIGHT TO RECOVER FROM OTHERS: If any person or organization to or for whom Lessor makes payment has rights to recover damages from another, those rights are transferred to Lessor to the extent of any payment. That person or organization must do everything necessary to secure such rights and must do nothing after loss to impair them. Lessor shall not exercise right of recovery against Tenant or their insurers.
CONCEALMENT, MISREPRESENTATION OR FRAUD: Lessor is relieved from all responsibility and liability in any case of fraud, intentional concealment or misrepresentation of a material fact, at any time, concerning any claim or Tenant’s interest in the Covered Property.
REASSUMING LIABILITY: With advance written notice, Tenant may reassume liability for damage to their Contents at any time. Tenant’s non-payment of any shipping, storage, Container or service fees shall be considered a contractual breach immediately negating Lessor’s responsibility and liability for damage to Contents. Lessor shall have the right to terminate this Addendum at any time, at Lessor’s sole discretion, upon providing Tenant no less than 60 days advance written notice. Termination of this addendum shall not terminate the Rental Agreement.
LESSOR OBLIGATIONS INSURED: This document is not an insurance policy. The responsibilities and liability of Lessor are fully insured by an Inland Marine Transit, Cargo, Warehouse and Personal Property Floater Insurance. Under this Addendum, Lessor is not soliciting or selling insurance to Tenant. Lessor and Tenant are agreeing that the Lessor shall buy insurance protecting the interests and liabilities of both the Lessor and the Tenant. Tenant shall be Loss Payee for all claims and an Additional Insured under the policy where required by law.
TO REPORT DAMAGES: To report damages, please call the following toll free number: 1800 467 637. A representative will be available to assist Tenant between the hours of 8:00 am and 5:00 pm Eastern time. Otherwise, Tenant will have the option of leaving a detailed message to which Tenant can anticipate a response within 24-48 business hours.