Equipment Breakdown Clause Samples
The Equipment Breakdown clause defines the responsibilities and coverage related to the failure or malfunction of machinery and equipment within a contract or insurance policy. Typically, this clause outlines what types of equipment are covered, the circumstances under which breakdowns are included, and any exclusions or limitations, such as wear and tear or improper maintenance. Its core practical function is to allocate risk and provide financial protection for losses or damages resulting from unexpected equipment failures, ensuring that parties are clear on how such incidents are managed and compensated.
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Equipment Breakdown. 23.1 In the event that the Hired Goods breaks down or becomes unsafe, the Customer must:
a) immediately stop using the Hired Goods and notify the Supplier;
b) take all steps necessary to prevent injury occurring to persons or property as a result of the condition of the Hired Goods;
c) take all steps necessary to prevent any further damage to the Hired Goods; and
d) not repair or attempt to repair the Hired Goods without the Supplier’s prior written consent.
Equipment Breakdown. (a) If any Equipment breaks down or becomes unsafe to use during the Hire Period you must:
(i) immediately cease using the Equipment;
(ii) immediately notify us of the issue;
(iii) take all necessary steps to prevent injury to any Operator as a result of the condition of the Equipment;
(iv) take all necessary steps to prevent further damage to the Equipment; and
(v) not attempt to repair the Equipment without our written consent.
(b) If the Equipment breaks down or becomes unsafe to use (through no act or omission of the customer or an Operator including misuse, recklessness and negligence), we will:
(i) repair the Equipment or provide suitable alternative Equipment when reasonably possible; and
(ii) request the Equipment be returned to our possession to carry out repairs; or
(iii) Off-hire the Equipment until repaired or replace.
(c) If the Equipment breaks down or becomes unsafe due to any act or omission of the customer or Operator, you will be liable for:
(i) all costs of repair or replacement of the Equipment; and
(ii) all Hire Fees for the duration of the Hire Period including while the Equipment is being repaired or replaced.
Equipment Breakdown. At full replacement cost. The policy must specify that proceeds will be payable whether or not any damaged or destroyed Improvements are actually rebuilt. The policy must include an endorsement that waives any provision of the policy that requires a building or structure to be replaced at its original site, provided that, such endorsement does not operate to increase the insurance company’s liability under the policy.
Equipment Breakdown. In the event that the Bike n’ Blend Equipment breaks down or becomes unsafe to use during the Hire Period:
(i) the Customer must immediately
a. stop using the Bike n’ Blend Equipment and notify Bike n’ Blend;
b. take all steps necessary to prevent injury occurring to persons damage as a result of the condition of the Bike n’ Blend Equipment; and
c. prevent further damage to the Bike n’ Blend Equipment.
(ii) Subject to clause 5(g), Bike n’ Blend will repair the Bike n’ Blend Equipment or provide a suitable substitute Bike n’ Blend Equipment when reasonably possible after being notified by the Customer. Bike n’ Blend will provide a refund for that portion of the Hire Period the Bike n’ Blend Equipment could not be used and will not charge the Customer for the costs associated with any repair or replacement of the Bike n’ Blend Equipment.
Equipment Breakdown. 9.1 If the Equipment breaks down or becomes unsafe to operate, the Customer must: (a) immediately notify the Company; (b) stop using the Equipment and ensure it does not sustain any further damage; (c) prevent the Equipment from causing injury or damage to any person or property; and (d) not repair or attempt to repair the Equipment without the Company’s prior written consent.
9.2 The Company will use reasonable endeavours to repair or replace the Equipment at the Company’s discretion as soon as reasonably practicable after receiving notice under clause 9.1. If the Equipment has broken down or become unsafe to use as a result of the Customer’s negligence or breach of the Agreement, the Customer will be liable for the costs associated with the repair or replacement of the Equipment and for the rental charges for the period during which the Equipment is being repaired or replaced.
Equipment Breakdown. 13.1 In the event that the Equipment breaks down or becomes unsafe to use during the Hire Period You must:
(a) immediately stop using the Equipment and notify Us;
(b) take all steps necessary to prevent injury occurring to persons or property as a result of the condition of the Equipment;
(c) take all steps necessary to prevent any further damage to the Equipment itself; and
(d) not repair or attempt to repair the Equipment without Our written consent.
13.2 Except if clause 14.1 applies, upon receiving notice from You under clause 13.1, We will:
(a) take all steps necessary to repair the Equipment or provide suitable substitute Equipment as soon as reasonably possible after being notified by You; and
(b) not impose a hire charge for that portion of the Hire Period for which the Equipment was broken down or unsafe, nor the costs associated with any repair or replacement of the Equipment.
Equipment Breakdown a. Equipment breakdown means a sudden and accidental:
1) mechanical breakdown;
2) electrical breakdown; or
3) bursting, cracking or splitting of covered home equipment that results in direct physical damage and requires repair or replacement of all or part of the damaged covered home equipment.
b. None of the following is an
1) rust, corrosion (including pinhole leaks), erosion, deterioration or gradual loss of efficiency or functionality of covered home equipment;
2) leakage or seepage at or from any connection, valve, fitting, shaft or seal;
3) complete or partial interruption of electrical power, fuel or water supply, whether deliberate or accidental;
4) any condition which can be corrected by resetting, recalibrating, or by the performance of maintenance; or
5) cosmetic or other damage that does not impair functionality.
Equipment Breakdown. 12.1. If the Equipment breaks down, becomes damaged or unsafe to use during the hire period the Hirer must:
a. Immediately stop using the Equipment.
b. Take all steps necessary secure the Equipment to prevent injury, damage to property or prevent further damage to the Equipment.
c. Immediately notify Owner and provide all relevant particulars of the incident. The Owner will provide a break down confirmation and may require a report form to be completed.
d. For incidents involving theft or vandalism, promptly report the incident to police and provide Owner with the written police report.
e. Not repair or attempt to repair the Equipment without the Owner written consent.
12.2. If the Equipment breaks down, becomes unsafe, or is damaged due to Fair Wear and Tear or the Owner’s actions, upon receiving notice from the Hirer (Clause 12.1), the Owner will:
a. Take all reasonable steps to repair the Equipment or provide a suitable replacement, at the Owners cost, as soon as reasonably possible.
b. Not impose a Hire Charge for that portion of the Hire Period during which the Equipment was broken down or unsafe.
12.3. If the Equipment breaks down, becomes unsafe, or is damaged for reasons other than Fair Wear and Tear or the Owner’s actions, the Owner will take reasonable steps to repair or replace it promptly after receiving notice from the Hirer (Clause 12.1). The Hirer will be liable for:
a. The costs and expenses suffered or incurred by the Owner to recover, repair or replace the Equipment, and
b. The Hire Charges for the portion of the Hire Period during which the Equipment was broken down, unsafe, damaged and/or being recovered, repaired or replaced.
Equipment Breakdown. Comprehensive equipment breakdown insurance at full replacement cost and covering consequential business interruption losses. The policy shall specify that proceeds shall be payable whether or not any damaged or destroyed improvements are actually rebuilt. The policy shall include an endorsement that waives any provision of the policy that requires a building or structure to be replaced at its original site, provided that, such endorsement shall not operate to increase the insurance company’s liability under the policy. Coinsurance shall not apply to the coverage. Landlord, to the extent of its interest, shall be an additional insured and loss payee on the policy.
Equipment Breakdown. The term Covered Cause of Loss includes the Property Coverage Equipment Breakdown as described and limited below.