ANY BOOK
TRANSFERS THAT MAY BE NECESSARY TO THE EXTENT THAT THE JET FUEL HAS BEEN
TRANSFERRED TO ANY ONSHORE STORAGE TANKS.
(I)
RISK OF LOSS OF THE JET FUEL AND ANY
RISKS IN RELATION TO THE DETERIORATION OF THE QUALITY OF THE JET FUEL BELOW ITS
SPECIFICATIONS WILL PASS TO THE BUYER AT THE EARLIER OF:
(I)
WHEN IT IS DELIVERED TO THE BUYER IN
ACCORDANCE WITH THE TERMS OF THIS CONTRACT; AND
(II)
THE TIME WHEN THE VESSEL CARRYING THE JET
FUEL HAS REACHED HONOLULU, HAWAII AND:
(A)
HAS ISSUED ITS NOR; AND
(B)
LAYTIME HAS RUN IN ACCORDANCE WITH CLAUSE 8;
AND
(C)
THERE HAS BEEN:
(1)
A BREACH OF THIS CONTRACT BY THE BUYER; OR
9
(2)
A MATERIAL ACT, OMISSION OR DELAY BY THE
BUYER (OR ANY OF ITS REPRESENTATIVES) CONTRARY TO THIS CONTRACT,
THAT PREVENTS THE DELIVERY OF THE JET FUEL OR THAT ALLOWS THE SELLER TO WITHHOLD
THE DELIVERY OF THE JET FUEL IN ACCORDANCE WITH TERMS OF THIS CONTRACT.
(J)
UNLESS DELIVERY OF ANY JET FUEL IS MADE
UNDER CLAUSE 7(H)(B) (IN WHICH EVENT SUCH DELIVERY IS MADE WITHIN THE TERMS OF
THAT CLAUSE WITHOUT ANY REQUIREMENT OF CONSENT FROM THE BUYER) IN THE EVENT THAT
THE SELLER WISHES TO SATISFY ITS OBLIGATIONS TO DELIVER AND TRANSFER TITLE OF
ANY QUANTITY OF JET FUEL IT MUST MAKE AVAILABLE AND SUPPLY ON A SCHEDULED DATE
(AND OTHERWISE IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THIS CONTRACT) BY
MAKING OR PROCURING A BOOK TRANSFER TO THE BUYER OF THAT QUANTITY OF JET FUEL
THAT IS HELD IN ONSHORE STORAGE TANKS IN HONOLULU, HAWAII, THE SELLER MUST,
REASONABLY IN ADVANCE OF SUCH SCHEDULED DATE OF DELIVERY OF SUCH QUANTITY OF JET
FUEL, REQUEST THE CONSENT OF THE BUYER TO THE DELIVERY OF SUCH QUANTITY OF JET
FUEL PURSUANT TO THIS CLAUSE 7(J), AND THE BUYER SHALL BE ENTITLED TO GRANT OR
WITHHOLD ITS CONSENT TO SUCH BOOK TRANSFER AT ITS REASONABLE DISCRETION.
(K)
IF ANY QUANTITY OF JET FUEL IS DELIVERED
UNDER THIS CONTRACT BY WAY OF BOOK TRANSFER, THEN WITH RESPECT TO SUCH QUANTITY
OF JET FUEL ONLY:
(I)
FOR THE PURPOSES OF CLAUSES 7(B) AND 7(F)
THE DELIVERY POINT AND TIME OF DELIVERY WILL BE THOSE TANKS AT THE TIME OF THAT
BOOK TRANSFER IN PLACE OF THE POINT AND TIME DESIGNATED IN CLAUSE 7(B);
(II)
UNLESS DELIVERY IS BEING MADE UNDER CLAUSE
7(H)(B)) (IN WHICH EVENT THIS PARAGRAPH (II) WILL NOT APPLY) TO THE EXTENT THAT
THE BUYER REASONABLY INCURS ANY OPERATIONAL OR OTHER COSTS OR EXPENSES DUE TO
THIS METHOD OF DELIVERY THAT ARE IN EXCESS OF THOSE THAT WOULD HAVE ACCRUED IF
DELIVERY HAD BEEN MADE IN ACCORDANCE WITH CLAUSE 7(B) AND NOT BY WAY OF BOOK
TRANSFER THE SELLER WILL REIMBURSE TO THE BUYER THAT EXCESS AMOUNT UPON RECEIPT
OF AN ITEMISATION IN REASONABLE DETAIL OF HOW SUCH EXCESS WAS INCURRED; AND
(III)
SUCH MODE OF DELIVERY AND TRANSFER OF TITLE
IS WITHOUT PREJUDICE TO ALL OTHER