General Regulations

NORDIC STORAGE AB
GENERAL REGULATIONS
Applicable from April 1, 2009


1. APPLICABILITY

1.1 These General Regulations are to constitute the contractual terms between the Lessee and NORDIC STORAGE AB, hereinafter called Nordic.

2. DESCRIPTION OF GOODS AND SPECIAL METHODS OF GOODS-HANDLING

2.1 Before the Lessee signs an agreement with Nordic, the Lessee must hand over to Nordic a written description of the goods, as well as information concerning the properties of these insofar as such information may be of importance to Nordic and/or is required with regard to environmental requirements. All documentation needed as well any registration of product concerning REACH is entirely the responsibility of the Lessee and Nordic has no obligations whatsoever to register products according to REACH.

2.2 In the event that a special method for handling the goods is required, the Lessee shall notify Nordic of this in writing in such ample time that Nordic can take the necessary preparatory measures.

2.3 In the event that the Lessee has not notified Nordic in accordance with item 2.1 and 2.2 above, Nordic shall not be liable for any loss and/or damages to the goods due to faulty handling. If such failure to notify has caused Nordic any damage, the Lessee must compensate Nordic for such damage.

2.4 If special measures for handling the goods are agreed between the Lessee and Nordic, or if such measures are required due to the nature of the goods, Nordic shall be entitled to make special charges for the same.

3. INSPECTION AND CLEANING

3.1 Before the goods are delivered to Nordic, the Lessee or controller appointed by him shall be entitled to inspect the leased tank for approval with regard to cleanliness (suitability and condition).

3.2 If the Lessee fails to carry out inspection or to complain with regard to deficient cleanliness, Nordic shall not be held liable for any loss or damage to the goods due to inadequate cleanliness.

After the expiry of the contract period, the Lessee must return the tank in the same condition as when storage commenced.

3.3 On behalf of the Lessee, and at his expense, Nordic shall undertake to clean or have cleaning carried out at the end of the contractual period, and/or in the event of cleaning ordered by the Lessee during the contract period, and/or cleaning required due to the nature of the goods, and/or which is required when the tanks are emptied, in the event that Nordic calls for its right, according to these regulations, to remove or dispose of the goods.

4. QUANTITIES

4.1 In connection with pumping goods in or out the Lessee, or controller appointed by him, and Nordic shall jointly have a measurement made of the volume and/or weight in the tank.

4.2 If the Lessee fails to measure the volume and/or weight, the volume and/or weight measured by Nordic shall be binding on the parties.

5. CHANGE OF TANK

Without previously notifying the Lessee and at its own expense, Nordic reserves the right to pump over the goods from one tank to another at the same terminal, provided that the new tank meets the demands made on the old one.

6. GENERAL FEES

6.1 All taxes, duties, contributions, levies, fines and/or other charges or costs, howsoever named, with respect to the goods or related to the goods, imposed on Nordic by national, municipal or other authorities, will be for account of the Lessee, who is obliged to pay these amounts to Nordic upon Nordic´s first request.

6.2 The Lessee shall unconditionally irrespective of reason thereof pay the full amount of taxes, general fees or other charges or duties imposed on Nordic by state, municipal or other authorities if released product not reaches the tax-or customs storage appointed by the Lessee, or in case product released by Nordic is delivered to a facility not approved as tax- or customs bond storage.

7. ENVIRONMENTAL FEES AND ENVIRONMENTAL INVESTMENTS

7.1 If the undertakings of Nordic are burdened with additional environmental fees, environmental requirements, technical requirements or other costs and charges through decisions or new regulations imposed by the Authorities, Nordic shall have the right to re-negotiate the terms of the Storage Agreement to recover these additional costs and charges from the Lessee in proportion to the Lessee’s usage of the relevant terminal. In the event that Nordic and the Lessee are unable to agree a mutually acceptable revision to the terms, Nordic shall have the right to terminate the Agreement with one year prior written notice.

8. MEASURES IN CONNECTION WITH LOADING AND UNLOADING OF GOODS

8.1 In order to avoid unnecessary delays, the Lessee shall notify Nordic, at least two working days in advance of the arrival of a vessel, inland or rail transport, so that Nordic can reserve a berth or similar.

8.2 Nordic has the right to reject any vessel(s) that does not meet the minimum requirements at each location/terminal however any such rejection shall not be taken unreasonably.

8.3 Nordic shall not be liable to pay or repay any expenses for demurrage or expenses or compensation for loss of time or other for damages for delays or disturbances in connection with the company’s undertakings. It is the responsibility of the Lessee to indemnify Nordic with regard to any demands made by a third party for losses in this connection.

8.4 All costs associated with the use of tank trucks to empty any quantity of product from the bottom of the tanks shall be recharged to the Lessee.

9 RECEPTION OF BALLAST WATER

9.1 Nordic is not liable, vis-à-vis the Lessee, to receive ballast water, flushing water or other slops from a vessel or other means of transportation used for the delivery of the goods to/from Nordic.

9.2 If, due to a decision on the part of an authority or for some other reason, Nordic is ordered to receive ballast water, flushing water or other slops from a vessel or other means of transportation used for the delivery of the goods to/from Nordic, all the expenses incurred with such reception and handling shall be defrayed by the Lessee.

10 LIABILITY FOR DAMAGES TO THE GOODS

10.1 Nordic undertakes to take reasonable measures to ensure that the goods which the company has in its possession are handled with due care.

10.2 In no event is Nordic obliged to compensate for damage to property or consequential economic loss.

10.3 The goods shall be considered to have been transferred to Nordic’s possession:

10.3.1 if they are pumped from a vessel’s tanks: immediately after they have passed the connection to the stationary piping at the tank terminal;

10.3.2 if they are pumped from another associated pipeline: immediately after having passed the valve between that pipeline and Nordic’s pipeline;

10.3.3 if they arrive by ship or barge and are unloaded in a way other than that indicated under item 10.3.1 above: after the goods have been discharged at the tank terminal.

10.3.4 if the goods arrive by rail tank car or road tanker: after Nordic has received the goods at its tank terminal but not before the rail tank car or road tanker has been unloaded.

10.4 The goods shall be considered to have left Nordic’s possession:

10.4.1 if they are transported by a tanker vessel: after they have passed the connection to the stationary pipeline at the tank terminal;

10.4.2 if they are pumped over to a pipeline belonging to another party: immediately after passing the valve between that pipeline and Nordic’s pipeline.

10.4.3 if they are collected by a vessel or barge and loaded in a manner other than that indicated under item 10.4.1 above: after the lifting device or equipment with which it is loaded has been attached at the tank terminal.

10.4.4 if bulk goods are collected by rail or road-bound tanker: after the goods have passed the connection to the tanker.

10.4.5 if general cargo is collected by rail tank car or road tanker: after the cargo has been loaded on the rail tank car or tanker in question.

11 RIGHT OF RETENTION

11.1 The Lessee grants that Nordic shall be entitled to retain a reasonable quantity of the goods stored by the Lessee with Nordic so that, at any time, it can guarantee Nordic’s outstanding claims according to this agreement or any other future claim that Nordic might have on the Lessee, regardless of whether such a claim is connected to the stored goods or is due to other reasons.

10.2 Nordic is entitled to sell as large a quantity of the retained goods as required for Nordic to obtain full cover for its claims in relation to the Lessee.

12 PLEDGING

A pledge to a third party of the product stored by Nordic may only be made subject to Nordic’s right of retention according to this agreement.

13 SALE OF GOODS IN THE EVENT OF BREACH OF CONTRACT BY THE LESSEE

If the goods in a rented tank have not been emptied on expiry of the agreement, Nordic shall be entitled, at the expense of the Lessee, to empty and clean the tank, as well as sell the goods. This applies even if the Lessee’s negligence is due to force majeure or other circumstances beyond his control.

14 SUB-LEASING

The Lessee must not transfer this agreement to another party, nor sub-lease the rented storage space.

15 LIABILITY/INSURANCE

15.1 For any damages to or loss of goods in Nordic’s possession, Nordic shall be liable only if the damage/loss is caused by negligence on the part of Nordic or person employed by Nordic.

15.2 The stored goods shall be insured by the Lessee. It is the responsibility of the Lessee to ensure that the insurance cover is sufficient and maintained throughout the rental period. The insurance cover shall include, but not be limited to, events such as fire, theft, leakage, contamination and all other damages that might occur during storage and handling.

15.3 Nordic has no liability for damages which can be compensated by the Lessee’s valid insurances or, if no such insurances exists, for damages which would have been compensated by an insurance policy if this had been available.

16 FORCE MAJEURE

16.1 In the event of state intervention, war, machinery breakdown, pipeline breakdown, pump breakdown or tank breakdown or any other circumstances, of whatever kind beyond the control of Nordic, which obstructs Nordic’s possibilities of fulfilling its obligations vis-à-vis the Lessee, Nordic shall not be liable to fulfil its commitments during the period that force majeure or its consequences obstruct or prevent Nordic from discharging its obligations.

16.2 Notwithstanding what is stated above under item 15.1, during the period of time intended in said item, Nordic shall have the right to fulfil its obligations. In the event that the expenses for this preclude a reasonable margin of profit in relation to the agreed charges, Nordic shall be entitled to payment from the Lessee by the amount required to provide for such a profit margin.

17 CONSEQUENCES OF DELAYS OR OBSTACLES

17.1 Nordic shall not be liable for delays, slow-ups, expenses or damages – even if reservations have been made in advance – regardless of who is the cause of them, due to a dock, jetty, landing stage, moorage, loading or discharge wharf being inaccessible, unserviceable or already occupied.

17.2 Regardless of the cause, it shall be at the risk and responsibility of the Lessee that goods, which were to be received according to agreement, are not available to Nordic at the time of delivery. Nordic shall be entitled to storage charges or damages, compensation for demurrage and/or compensation wherever applicable, for useless expenses, loss of time and/or other expenses irrespective of type, which might ensue because of the delay.

18 LIMITATION OF LIABILITY

In the event that Nordic is liable for a loss or damage, such liability shall be limited to an amount corresponding to the current market value of the goods to which the loss or damage relates, though Nordic’s liability shall in no case exceed a maximum amount of SEK 5,000,000 (Five million) per damage or series of damages caused by the same incidence of damage.

19 EXTENT OF LIMITATION OF LIABILITY

Each sub-supplier, agent, representative, employee or other principal, whose services are utilised by Nordic, shall be entitled to the same limitations and be able to refer to the same liability limitations and exemptions from liability as apply with regard to Nordic according to these conditions or according to a special agreement between the parties.

20 COMPLAINTS AND LIMITATIONS

20.1 Nordic shall not be held liable for anything connected with the agreements which the parties have entered into with regard to loss or damages to the goods or otherwise, unless a written complaint concerning the claim has been received by Nordic at its official address within a period of thirty days after discharge of the goods or, the event of loss or destruction of the goods, within thirty days of the day on which the goods should have been discharged. The Lessee shall specify his claim within the same period.

20.2 Even if a complaint has been made according to the previous item, the claim shall become statute-barred one year after discharge of the goods or after the day that the goods would have been discharged unless the Lessee has formerly notified Nordic of selection of an arbitrator.

21 LIABILITY FOR ERRONEOUS INFORMATION; PARTICULARS AND/OR DIRECTIONS

Nordic shall in no event be responsible for the consequences of erroneous, misleading and/or insufficient descriptions, particulars, information and/or directions received by the company by or on behalf of the Lessee concerning goods, packing or packaging, nor for the consequences of defective goods, packing or packaging which have not been notified in advance, even if such consequences cannot be attributed to the negligence of the Lessee. In addition the Lessee shall indemnify Nordic for any damages incurred by the company for such a reason.

22 ARBITRATION – APPLICABLE LAW

Any dispute arising from this agreement, or legal relations due the agreement, shall be settled finally by means of arbitration in accordance with the Swedish Arbitration Act. However, the parties shall be entitled to bring action before a court of law with regard to payment of amounts due according to the rental agreement and with regard to other claims, the capital amount of which comes to less than four times the base amount.

Any meeting concerning arbitration shall be held in Göteborg.
Swedish law shall apply to these General Regulations.