Common use of Packages and Packing Clause in Contracts

Packages and Packing. 7.1.1. Loading, unloading, packaging, blocking, bracing, all material handling and all load securement systems involving the Freight will be for the account of and at the risk of the User or the parties designated by the User and will not be a part of any of the Services and therefore KCSM is released from any liability or obligation derived from such operations. The User may perform the loading and unloading of the Freight within the Free Period referred to in Clause 9.2 of this Agreement. 7.1.2. All loading, blocking, bracing and packaging must comply with the applicable Mexican Railway Service Regulations, Mexican Commerce Code, Association of American Railroads Open Top, Enclosed Car Loading Rules, Pamphlets or General Information Series Publications, Mexican Official Norms, as well as any other KCSM specifications as may be applicable from time to time. Any modification to those rules must have the written approval of KCSM Damage Prevention Services prior to shipment. 7.1.3. When hazardous material, hazardous waste or dangerous material is shipped, the loading, blocking and bracing must comply with all Mexico Regulatory Laws and United States Bureau of Explosives pamphlet SC and any other Mexican or US federal agency regulations governing shipments of such materials. Packaging for shipments of such materials must comply with United States Bureau of Explosives 6000 series Provisions. 7.1.4. In the event of a load shift when it is determined by KCSM that there was insufficient or improper blocking and bracing, the Shipper shall be responsible for all expenses resulting from such load shift including but not limited to repair or replacement of damaged equipment, expenses incurred in adjusting or transferring cargo, loss of or damage to cargo, charges, administrative fees, civil fines, storage and demurrage. All such expenses identified are due and payable before subject railcars will be released by rail KCSM. 7.1.5. The Shipper agrees to indemnify KCSM against any and all claims, lawsuits or other demands made against KCSM as a result of a load shift when it is determined by KCSM that there was insufficient or improper blocking and bracing. 7.1.6. It is the sole responsibility of the Shipper to apply appropriate and adequate tamper indicative, barrier seal security devices necessary to protect the cargo while in transit. KCSM does not apply seals or security devices except in the case of a breach of shipment integrity while in transit. KCSM does not in all cases inspect shipments for seal integrity nor the adequacy of seals or security devices. In the event that a seal or security device is broken or missing, the absence or breach of a seal will not create a presumption of contamination or theft without actual physical evidence. As a condition precedent to recovery for loss of, or damage to goods caused by a breach of shipment integrity while in transit, the Shipper is responsible for the documentation of the application of tamper indicative barrier seal type and identification numbers at origin and seal number(s) and type must be included on any claim presented for such losses. KCSM is not responsible for loss or shortages of any kind without proof that Shipper applied appropriate and adequate seal security devices.