Warehouse to warehouse clause
The clause that runs cargo cover from the moment the goods leave the warehouse of origin until delivery at the final warehouse, transshipments included.
Institute Cargo Clauses 2009, clause 8: cover attaches when the goods are first moved in the warehouse of origin for the purpose of immediate loading. It ends on completion of unloading from the carrying vehicle at the final warehouse at destination. The 1982 version stopped at delivery to the warehouse. The revision effective January 1, 2009 closed the recurring argument about damage during unstuffing. The clause settles one question, when cover exists, and it weighs heavily, since goods spend most of their journey somewhere other than aboard a ship. Between the two ends run the main carriage, transshipments and ordinary stoppages. Two limits protect the underwriter from open-ended exposure. Cover ceases sixty days after discharge from the vessel at the final port, even if the goods have not arrived. It also ceases once the assured puts the goods into a warehouse it elects to use for storage outside the ordinary course of transit, or for allocation or distribution. Gaps in cover open at the interfaces (quay, terminal, bonded warehouse), where a notable share of damage and theft is concentrated.
The revision of the Institute Cargo Clauses effective January 1, 2009 moved the end of transit. Cover now runs until the goods are unloaded from the carrying vehicle at the final warehouse, rather than to mere arrival at the premises. That change closed a recurring argument about damage occurring during unstuffing.
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