Shrinkage Allowance. (a) A Shrinkage Allowance of 0.6% of the quantity of the original Consignment delivered will be deducted from the total Receival Tonnage. For clarity, if 100 tonnes of Product is received, after allowing for the Shrinkage Allowance only 99.40 tonnes will be Outloaded or Outturned. (b) After the Shrinkage Allowance has been deducted, title in the shrinkage residue (being a volume of Product representing the shrunk tonnage) will be taken to have transferred to QBT. (c) Any dust extracted from the Facility during the Outloading or Outturning of a Consignment is included in the Outload Tonnage or Outturn Tonnage (as applicable) and remains the property of the Client. Unless the Client requests otherwise, QBT will dispose of dust following the Outloading or Outturning of a Consignment. (d) The Client acknowledges and agrees that: (i) Receival Fees and Storage Fees payable by the Client in accordance with this Agreement will be levied against the Receival Tonnage; and (ii) Outload Fees or Outturn Fees (as applicable) will be calculated on the tonnage after applying the Shrinkage Allowance. (e) If the Outload Tonnage or Outturn Tonnage (as applicable) for a Consignment (after accounting for the Shrinkage Allowance) is more than the Receival Tonnage, then the Client must (as QBT requires): (i) pay to QBT the fair market price at the time of Outloading or Outturning for the excess amount of Product that was Outloaded or Outturned; or (ii) replace the excess Product Outloaded or Outturned with Product of the same type and Grade. (f) If the Outload Tonnage or Outturn Tonnage for a Consignment is less than the Receival Tonnage (after accounting for the Shrinkage Allowance), then QBT will (at its discretion): (i) make available to the Client for Outloading or Outturning an additional amount of Product equivalent to the shortfall of the same type and Grade; or (ii) pay to the Client the fair market price at the time of Outloading or Outturning for the Product not received, having regard to its type and Grade. (g) If at any time the Client’s Entitlement of a particular type and Grade is less than one tonne, the Client’s Entitlement will be deemed to have no value and neither party will have any liability to the other in respect of it. (h) QBT will keep separate records of the Receival Tonnage and Outload Tonnage or Outturn Tonnage (as applicable) determined in accordance with this Agreement for each type and Grade of Product received and Outloaded or Outturned (as applicable).
Appears in 1 contract
Sources: Bulk Storage and Handling Agreement
Shrinkage Allowance. (a) A Shrinkage Allowance of 0.6% of the quantity of the original Consignment delivered will be deducted from the total Receival Tonnage. For clarity, if 100 tonnes of Product is received, after allowing for the Shrinkage Allowance only 99.40 tonnes will be Outloaded or Outturned.
(b) After the Shrinkage Allowance has been deducted, title in the shrinkage residue (being a volume of Product representing the shrunk tonnage) will be taken to have transferred to QBT.
(c) Any dust extracted from the Facility during the Outloading or Outturning of a Consignment is included in the Outload Tonnage or Outturn Tonnage (as applicable) and remains the property of the Client. Unless the Client requests otherwise, QBT will dispose of dust following the Outloading or Outturning of a Consignment.
(d) The Client acknowledges and agrees that:
(i) Receival Fees and Storage Fees payable by the Client in accordance with this Agreement will be levied against the Receival Tonnage; and
(ii) Outload Fees or Outturn Fees (as applicable) will be calculated on the tonnage after applying the Shrinkage Allowance.
(e) If the Outload Tonnage or Outturn Tonnage (as applicable) for a Consignment (after accounting for the Shrinkage Allowance) is more than the Receival Tonnage, then the Client must (as QBT requires):
(i) pay to QBT the fair market price at the time of Outloading or Outturning for the excess amount of Product that was Outloaded or Outturned; or
(ii) replace the excess Product Outloaded or Outturned with Product of the same type and Grade.
(f) If the Outload Tonnage or Outturn Tonnage for a Consignment is less than the Receival Tonnage (after accounting for the Shrinkage Allowance), then QBT will (at its discretion):
(i) make available to the Client for Outloading or Outturning an additional amount of Product equivalent to the shortfall of the same type and Grade; or
(ii) pay to the Client the fair market price at the time of Outloading or Outturning for the Product not received, having regard to its type and Grade.
(g) If at any time the Client’s Entitlement of a particular type and Grade is less than one tonne, the Client’s Entitlement will be deemed to have no value and neither party will have any liability to the other in respect of it.
(h) QBT will keep separate records of the Receival Tonnage and Outload Tonnage or Outturn Tonnage (as applicable) determined in accordance with this Agreement for each type and Grade of Product received and Outloaded or Outturned (as applicable).
Appears in 1 contract
Sources: Bulk Storage and Handling Agreement