Common use of Liability for Collateral Clause in Contracts

Liability for Collateral. So long as the Buyer employs reasonable practices regarding the safekeeping of the Collateral in the possession or under the control of the Buyer, (i) the Buyer shall not be liable or responsible for: (a) the safekeeping of the Collateral; (b) any loss or damage to the Collateral; (c) any diminution in the value of the Collateral; or (d) any act or default of any carrier, warehouseman, bailee, or other Person; and (ii) the Seller bears all risk of loss, damage or destruction of the Collateral.

Liability for Collateral. So long as Collateral Agent and the Buyer employs Purchasers comply with reasonable practices regarding the safekeeping of the Collateral in the possession or under the control of Collateral Agent and the BuyerPurchasers, (i) Collateral Agent and the Buyer Purchasers shall not be liable or responsible for: (a) the safekeeping of the Collateral; (b) any loss or damage to the Collateral; (c) any diminution in the value of the Collateral; or (d) any act or default of any carrier, warehouseman, bailee, or other Person; and (ii) the Seller . Company bears all risk of loss, damage or destruction of the Collateral.