Common use of Ownership, Title and Risk Clause in Contracts

Ownership, Title and Risk. Title and risk in the Goods passes to SPTS on delivery of the Goods in accordance with the Order, without prejudice to any right of rejection that SPTS may have under these Conditions or otherwise. The Supplier shall transfer to SPTS the ownership of all items such as models, dies, moulds, jigs, gauges, tools and drawings specifically acquired or manufactured by the Supplier for the execution of an Order, immediately upon such items having been supplied to the Supplier or when the manufacture of such items has been completed by the Supplier. All items including all material and components ("Materials and Components") that were transferred to the Supplier for the execution of an Order shall remain property of SPTS. The Supplier shall have no right, title or interest in or to the Materials and Components (save the right to possession and use of the Materials and Components subject to the Terms and Conditions). The risk of loss, theft, damage or destruction of the Materials and Components shall pass to the Supplier on delivery of the same. The Materials and Components shall remain at the sole risk of the Supplier until such time as the Materials and Components are redelivered to SPTS. The Supplier shall ensure that the Materials and Components are insured and that the insurance policy has sufficient coverage in respect of loss or damage of the Material and Components whilst in the care of the Supplier. The Supplier shall store such Materials and Components separately and shall clearly mark these items as the property of SPTS. SPTS shall at all times be entitled to regain possession of such items. The Supplier shall not use such items on behalf of third parties nor allow third parties to use such items in connection with any purpose other than the execution of an Order. Upon receipt of any of the items referred to above, the Supplier shall inspect such items for damage, defects and fitness for the purpose for which they have been supplied and the Supplier shall report its findings to SPTS. The Supplier shall be liable for all costs and expenses for any damages and defects not reported to SPTS immediately after receipt of the item.