Whole Section

  • 5.3 Disclaimer of Exchange Liability for Physical Delivery and Warehousing

    • 5.3.1 Title Documents and Transfer of Title

      The Exchange accepts no liability and does not guarantee the satisfactory discharge of any physical delivery obligations under any deliverable Futures Contract. The Exchange further disclaims any liability arising from or in connection with:

      (a) the delivery or non-delivery of Title Documents by any Clearing Member; and
      (b) any irregularities in the transfer of title in the underlying Commodity from the Seller to the Buyer.
    • 5.3.2 Exchange Does Not Check Commodity, Documents or Designated Ports or Factories

      The Exchange is under no obligation to:

      (a) check any Commodity or document received from or delivered through a Clearing Member in relation to an obligation to make or take delivery under an open deliverable Futures Contract; or
      (b) check the availability or suitability of any Designated Ports, factories, surveyors, samplers, analysts or other organisations or marks as identified in the relevant Contract Specifications.

      The Exchange disclaims any liability and does not in any way guarantee quality or suitability of fitness of any Commodity, document, Designated Port, factory, surveyor, sampler, analyst or other organisation or marks.

      Amended on 5 December 20065 December 2006 and 13 October 201413 October 2014.

    • 5.3.3 Forged Documents

      The Exchange accepts no liability with respect to any claim arising from:

      (a) forged or irregular documents relating to a deliverable Futures Contract cleared through a Clearing Member; or
      (b) any non-fulfilment of an open deliverable Futures Contract arising from such forgery.