Common use of Trading Limits Clause in Contracts

Trading Limits. 11.1 The Vessels shall be employed and Manager undertake to employ the Vessels in lawful trades for the carriage of suitable lawful merchandise worldwide always in conformity with the terms of the contracts of insurance (including any warranties expressed or implied therein) and within (i) the limits of the current Institute Warranty Limits (IWL) and excluding the following areas; Areas outside IWL and any areas / countries embargoes by the Flag State, UN, EU and USA are prohibited. The Parties agree to re-address exclusions from time to time as circumstances and political climate change. Vessels shall only break IWL and enter into war risk zones declared by a Vessel’s War Risks with Insurer’s consent and complying with such requirements as to extra premia or otherwise as Owners’ Insurers may prescribe. 11.2 Manager also undertakes not to employ the Vessels or suffer their employment in any trade or business which is forbidden by the law of the country to which the Vessels may sail or is otherwise illicit or in carrying illicit or prohibited goods in any manner whatsoever which may render her liable to condemnation, destruction, seizure or confiscation.