Common use of Claims and Liability for Lost Product Clause in Contracts

Claims and Liability for Lost Product. TLO shall not be liable to TRMC for lost or damaged Product unless TRMC notifies TLO in writing within ninety (90) days of the report of any incident or the date TRMC learns of any such loss or damage to the Product. TLO’s maximum liability to TRMC for any lost or damaged Product shall be limited to (i) the lesser of (1) the replacement value of the Product at the time of the incident based upon the price as posted by Platts or similar publication for similar Product in the same locality, and if no other similar Product is in the locality, then in the state, or (2) the actual cost paid for the Product by TRMC (copies of TRMC’s invoices of cost paid must be provided), less (ii) the salvage value, if any, of the damaged Product.