Common use of Location of Bullion Clause in Contracts

Location of Bullion. The Bullion comprising the Account Balance must be held by us (i) at our London vault premises unless otherwise agreed in writing between the Parties and/or (ii) if so otherwise agreed in writing, at the vault premises of a Sub-Custodian. We shall use commercially reasonable efforts to promptly (i) transport any Bullion held for you by a Sub-Custodian to our London vault premises or (ii) substitute the Bullion held for you by a Sub-Custodian by a book entry debit from the Allocated Account of such Sub-Custodian and corresponding credit of Bullion to the Allocated Account at our London vault premises. If we allocate Bullion to the Allocated Account and such Bullion is held by a Sub-Custodian (but only if such Sub-Custodian is approved by you in writing) and such Bullion is physically transported from the Sub-Custodian’s vault premises to our London vault premises, then: (i) we accept liability for all costs related to the transportation of such Bullion, including insurance, from the Sub-Custodian’s vault premises to our London vault premises; and (ii) we bear the risk of loss of such Bullion during transportation, whether due to theft, destruction or otherwise. We agree that all delivery and packing shall be in accordance with the Rules and good market practices of the Relevant Association, and if there is a change in the delivery or packing due to a change in the Rules, we shall promptly provide you with the reasons for the change.