Standard Trading Conditions

EFS COMPANY LTD formerly known as “Express Forwarding Services (A division of Um Fawaz Trading Est)” is a registered company in Saudi Arabia offering freight forwarding activities to general public. Our business activities are according to the below mentioned Standard Trading Conditions.

The customer’s attention is drawn to the clauses hereof which exclude or limit the company’s liability and these which require the customer to indemnify the company in certain circumstances.

1. Applicability

1.1 These rules apply when they are incorporated, however this is made, in writing, orally or otherwise, into a contract by referring to the FIATA (International Freight Forwarder’s Association) model rules for freight forwarding services.

1.2 Whenever such reference is made, the parties agree that these rules shall supersede any additional terms of the contract which are in conflict with these rules, except insofar as they increase the responsibility or obligations of the freight forwarder.

2. Definitions

2.1 Freight forwarding services means services of any kind relating to the carriage, consolidation,

storage, handling, packing or distribution of the goods as well as ancillary and advisory services in

connection therewith, including but not limited to customs and fiscal matters, declaring the goods

for official purposes, procuring insurance of the goods and collecting or procuring payment or

documents relating to the goods.

2.2 Freight forwarder means the “company” concluding a contract of Freight forwarding services

with the customer.

2.3 Carrier means any person actually performing the carriage of the goods with his own means of

transport (performing carrier) and any person subject to carrier liability as a result of an express or

implied undertaking to assume such liability (contracting carrier).

2.4 SDR means a Special Drawing Right as defined by the International Monetary Fund.

2.5 Valuables means bullion, coins, money, negotiable instruments, precious stones, jewellery,

antiques, pictures, works of art and similar properties

3. ROLE OF FORWARDER

The company offers its services on the basis of these conditions that apply to all activities of the Company in arranging transportation or providing related services, such as, but not limited to, warehousing and any other kind of logistics services. The Company may provide its services as either principal or agent. The Company acts as agent of the Customer, except:

a) where it issues a transport document evidencing its obligation for the delivery of goods, or

b) to the extent it physically handles goods by its own employees and equipment in the course of performing any service in which cases it acts as principal, but whether acting as principal or as agent these conditions govern the rights and liabilities of the Customer and the Company. Advice and information that is not related to instructions accepted by the Company is provided gratuitously and without liability. Advice is for the Customer only and is not to be furnished to any other party without prior written consent.

2. Hindrances

If at any time the company’s performance is or is like to be affected by any hindrance or risk of any kind (including the conditions of the goods) not arising from any fault or neglect of the company and which cannot be avoided by the exercise of reasonable endeavor, the company may abandon the carriage of the goods under the respective contract and, where reasonably possible, make the goods or any part of them available to the customer at a place which the company may deem safe and convenient, whereupon delivery shall be deemed to have been made, and the responsibility of the company in respect of such goods shall cease. In any event, the company shall be entitled to the agreed remuneration under the contract and the customer shall pay any additional costs resulting from the above mentioned circumstances.

5. Method and route of transportation.

The company shall carry out his services according to the customer’s instructions as agreed. However if the instructions are inaccurate or incomplete or not suitable for the special circumstances arise or not according to the contract, the company may at the risk and expense of the customer act as he deems fit with or without prior notice to the customer. Unless otherwise agreed, the company may without notice to the customer arrange to carry the goods on or under deck and choose or substitute the means, route and procedure to be followed in the handling, stowage, storage and transportation of the goods.

6. CLAIMS AGAINST OTHERS

These Conditions also apply whenever any claim is made against any employee, agent or independent contractor engaged by the Company to perform any transport or related service for the Customer's goods, whether such claims are founded in contract or in tort, and the aggregate liability of the Company and all such persons shall not exceed the limitations of liability in these conditions. For purposes of this Clause the Company acts as agent for all such persons who may ratify such agency at any subsequent time.

7. ROLE AS AGENT

When acting as an agent, the Company acts solely on behalf of the Customer in engaging the services of third parties on the usual terms and conditions on which the third parties offer such services for the carriage, storage, packing or handling of any goods, or for any other service in relation to them, thereby establishing a direct contract between the Customer and the provider of such services capable of being enforced by the Customer as principal, whether or not the Customer is identified in the contract. The Company shall on demand by the Customer provide evidence of any contracts made on its behalf.

8. OTHER SERVICES

Where requested by the Customer the Company may

a) issue a transport document or electronic record by which it as principal undertakes carriage of particular goods; or

b) guarantee in writing proper performance of the terms of any contract between the Customer and a third party whose services the Company has engaged on behalf of the Customer. As guarantor the Company is liable only to the same extent as the third party whose actions have been guaranteed, as may be limited by the conditions on which that party customarily offers its services. Where it issues a transport document or electronic record, or provides a guarantee, the rights and obligations of the Company will be governed by the special conditions therein in addition to these Conditions. In the event of any inconsistency the special conditions prevail.

9. SERVICES REQUIRING SPECIAL ARRANGEMENTS

The Customer must give instructions in writing to the Company a reasonable time before the tender of goods for storage or transport where it requests the Company to: a) arrange for the departure or arrival of goods before specific dates; b) arrange for goods to be carried, stored or handled separately from other goods; c) arrange for the transport of goods that may taint or affect other goods, or may harbour or encourage vermin or pests;. d) make a declaration of value or special interest in delivery to any carrier or terminal; e) direct carriers or delivery agents to hold goods until payment of any amount or until surrender of a document; f) arrange for the transport of goods of unusual high value, luxury goods, currency, negotiable Instruments or securities of any kind, precious metals or stones; antiques or art; human remains, livestock or plants, or any other comparable cargos. Where for any reason it does not accept such instructions, the Company must promptly so advise the Customer by any means of communication used in the ordinary course of business. If it continues to use the Company's services for the contemplated transport, the Customer assumes all risks connected with the nonperformance of such instructions, whether caused or contributed to by the Company's negligence or not.

10. THE COMPANY'S GENERAL RESPONSIBILITIES

11. CUSTOMER'S GENERAL RESPONSIBILITIES

A. The Customer shall be deemed to be competent and to have reasonable knowledge of matters affecting the conduct of its business, including terms of purchase and sale, the need for insurance and the extent of coverage available for the type of goods being tendered for shipment, the need for care to avoid transmitting viruses by electronic communications, the need for confidential handling of information relating to high value goods, and all other matters relating thereto.

B. The Customer warrants that all information in whatever form relating to the general and dangerous character of the Goods, their description, Bar-Coding, marks, number, weight, volume and quantity of the Goods, as furnished by the Customer or on its behalf, was accurate and complete at the time the Goods were taken in charge by the Company or any third party whose services it has engaged. The Customer further undertakes to provide independent confirmation of such particulars on the request of the Company.

12. CUSTOMER'S RESPONSIBILITY FOR PACKAGED AND CONTAINERIZED GOODS

A. Except where the Company has accepted instructions in respect of the preparation, packing, stowage, labeling or marking of the goods the Customer warrants that all goods have been properly and sufficiently prepared, packed, stowed, labeled and/or marked, and that the preparation, packing, stowage, labeling and marking are appropriate to any operations or transactions affecting the goods and the characteristics of the goods.

B. Unless the Company has accepted instructions to arrange for or to perform the loading of a transport unit by its employees, the Customer warrants that:

a) the transport unit has been properly and competently loaded;

b) the goods are suitable for carriage in or on the transport unit; and

c) the transport unit is in a suitable condition to carry the goods loaded therein (save to such extent

as the Company has approved the suitability of the transport unit).

13.QUOTATIONS AND INVOICING

A. The Company does not assume a role as principal by delivering a fixed price quotation or invoice. The Customer acknowledges that the difference between the amounts payable to third parties retained to carry out the Customer's instructions and the fixed price represents the Company's gross profit for its services. A Customer agrees that the Company is an agent as provided in Section 1 where the Customer

a) accepts a fixed price quotation,

b) does not within fifteen days after receipt of the invoice object to the Company charging a fixed price for its services.

B. Quotations are given on the basis of immediate acceptance and are subject to withdrawal or revision. Unless otherwise provided in the quotation the Company may, after acceptance, revise quotations or charges upon notice in the event of changes beyond the Company's control, including changes in exchange rates, rates of freight, carrier surcharges, or any charges applicable to the goods.

14.C.O.D. SHIPMENT

When goods are accepted or dealt with upon instructions to collect freight, duties, charges or other expenses from the Consignee or any other person the Customer shall remain responsible for the same if they are not paid by such Consignee or other person immediately when due.

15.CHANGED CIRCUMSTANCES/FAILURE TO TAKE DELIVERY

If events or circumstances, including a Customer's failure to take delivery, occur that affect performance of the Customer's mandate, the Company shall take reasonable steps to obtain the Customer's further instructions. If for whatever reason it does not receive timely instructions, the Company may

a) store the goods at the sole risk and expense of the Customer, or

b) sell the goods immediately and without further notice, and hold any net proceeds for the account of the Customer or

c) authorize any third party to abandon carriage and make the Goods or any part of them available to the Customer at a place that is reasonable in the circumstances.

16. DANGEROUS GOODS

A. The Customer undertakes not to tender for transportation any goods that are of a dangerous, inflammable, radioactive, hazardous or damaging nature without giving full particulars of the goods to the Company. The Customer undertakes to mark the goods and the outside of any packages or container in which they may be placed to comply with any laws or regulations that may be applicable during the carriage. In the case of goods where the place of receipt is a point within Canada, the Customer further warrants that the goods, the packaging and marking thereof comply in all respects with the provisions of any legislation or regulations governing the transportation of dangerous goods. B. If it fails to comply with the requirements of Sub-clause (A), the Customer shall indemnify the Company against all loss, damage or expense arising out of the goods being tendered for transportation or handled or carried by or on behalf of third parties retained by the Company.

C. Goods which in the opinion of the Company or the person who has custody or possession thereof are or may become dangerous and present a hazard may at any time or place be unloaded, destroyed or rendered harmless without liability on the part of the Company.

17. INSURANCE

No insurance will be effected by the company, except upon express instructions given in writing by the customer on it’s goods prior to a reasonable time before they tender the goods for storage or transport. All insurance effected are subject to the usual exceptions and conditions of the policies of the insurance company or underwriters taking the risk. Unless otherwise agreed in writing the company shall not be under any obligation to effect a separate insurance on each consignment, but may declare it on any open or general policy that held by the company. The Company is not liable if the Customer for any reason whatsoever fails to recover a loss in whole or in part from the insurer under the policy, even though the premium charged by the insurer is different from the Company's charges to the Customer. If coverage under its open marine cargo policy is not satisfactory, the Company will recommend an insurance broker to arrange insurance appropriate to the customer's needs. After making this recommendation, the Company has no further duty regarding insurance, and no liability for loss of or damage to the goods during transport or storage that could have been covered by insurance on the goods, whether such loss or damage has been caused or contributed to by its negligence or breach of these conditions, or otherwise.

18. NOTIFICATION OF CLAIMS

The Customer on its own behalf and on behalf of the Owner of the goods shall notify the Company in writing of any claim a) in case of loss and/or damage to goods within 7 days of the completion of transit. b) in case of delay in delivery or non-delivery within 14 days of the date when the goods should have been delivered, c) in any other case within 30 days of the event giving rise to the claim. If a claim was not discoverable by the exercise of reasonable care within the applicable time period, the Customer must give notice forthwith after receiving information as to events that may give rise to a claim. Failing notice as required by this clause, the claim is barred and no action can be brought against the Company to enforce the claim.

19. LIABILITY & LIMITATION

The Company’s liability (except as principal)

19.1 Basis of liability.

19.1.1. The company’s duty of care. The company is liable if he fails to exercise due diligence and

take Reasonable measures in the performance of the freight forwarding services, in which case he,

subject to article # 20, shall compensate the customer for loss or Damage as well as for direct

financial loss resulting from breach of his due of care.

19.1.2. No liability for third parties. The company is not liable for acts and omissions by third

parties, such as, but not limited to, carriers, warehousemen, stevedores, port authorities and other

freight forwarders, unless he has failed to exercise due diligence in selecting, instructing or

supervising such third parties.

20. The Company’s liability as principal

20.1 The company’s liability as carrier The freight forwarder is subject to liable as principal not only when he actually performs the carriage himself by his own means of transport (Performing Carrier), but also if, by issuing his own transport document or otherwise, he has made an express or implied undertaking to assume carrier liability (contracting carrier). However, the Freight Forwarder shall not be deemed liable as Carrier if the Customer has received a transport document issued by a person other than The Freight Forwarder and does not within a reasonable time maintain that The Freight Forwarder is nevertheless liable as Carrier.

20.2 The Freight Forwarder's liability as principal for other services. With respect to services other

than carriage of Goods such as, but not limited to, storage, handling, packing or distribution of the

Goods, as well as ancillary services in connection therewith, the Freight Forwarder shall be liable as

principal:

1. When such services have been performed by himself using his own facilities or employees or

2. If he has made an express or implied undertaking to assume liability as principal.

20.3 Exclusions The company shall in no even be liable for:

1. Valuables or Dangerous goods unless declared as such to the company at the time of the

conclusion of the contract.

2. Loss following from delay unless expressly agreed in writing.

3. Indirect or consequential loss such as, but not limited to, loss of profit and loss of market.

4. The cargo which is not collected or rejected by the consignee. All the destination charges will

be debited to shipper or the agent who is the booking party.

5. Any customs inspection at the transshipment port will be debited on the shipper, agent or

consignee account.

20.4 Assessment of compensation.

The value of the Goods shall be determined according to the current commodity exchange price

or, if there is not such price, according to the current market price or, if there is no commodity

exchange price or current market price, by reference to the normal value

of the Goods of the same kind and quality.

21. Limitation of the liability.

21.1 In case of claims for loss or damage to goods.

The company shall not be or become liable for any loss of or damage to the goods in an amount

exceeding the equivalent to SR.12.00 per kilogram of gross weight of the goods lost or damaged

with a maximum limitation of SR.50,000.00 per shipment when company act as agent only &

SR.100,000.00 per shipment when company acting as agent & principal unless a larger amount

is recovered from a person for whom the company is responsible.

21.2 In case of claim against delay.

If the Company is liable in respect of loss following from delay, such liability shall be limited to

an amount not exceeding the remuneration relating to the service giving rise to the delay.

21.3 Compensation for any claim for which the Company is liable shall not in any event exceed 2 SDR

(SDR = Special Drawing Rights) per kilo (Equivalent to approximate - SR.11.86 - may fluctuate

depends on the exchange rate) of the gross weight of the goods that are the subject of the

claim. Without prejudice to any other conditions herein or other defences available to the

Company, in no circumstances whatsoever shall the Company be liable to the Customer or

owner for

a) consequential or indirect loss, including loss of market, except as provided for in

paragraph

b) loss of, damage to or consequential or indirect loss caused by delay or deviation in

connection with the transport of goods in a sum in excess of twice the difference between

the charges invoiced by the Company and amounts paid by the Company to third parties

for transport or other service related to those goods;

c) amounts in excess of a maximum

recoverable of 50,000 SR per transaction. Upon the Customer's written request, the

Company may accept liability in excess of these limits provided the Customer pays the

Company's additional charges for such increased liability. The Customer can obtain

details of these charges from the Company.

22. INDEMNITY

The Customer shall indemnify the Company against all duties, taxes, payments, fines, expenses, losses, claims and liabilities, including any liability to indemnify any other person against claims made against such other person by the Customer or by the Owner

a) for which the Company may be held responsible unless caused or contributed to by any negligence

or breach of duty of the Company, or

b) in excess of the liability of the Company in accordance with these Conditions, resulting from or

connected with the actions of the Company related to any service to which these Conditions apply.

23. SET OFF AND COUNTERCLAIM

The Customer shall pay to the Company in cash, or as otherwise agreed, all sums immediately when due without reduction or deferment on account of any claim, counterclaim or set off.

24. RIGHT OF DETENTION AND LIEN

All goods (and documents relating to goods) shall be subject to a particular and general lien and right of detention for monies owing either in respect of such goods, or for any particular or general balance or other monies owed, whether then due or not, by the Customer, sender, consignee or owner of the goods to the Company. If these monies remain unpaid for 28 days after the Company sends notice of the exercise of its rights to these persons by any means of communication reasonable in the circumstances, the goods may be sold by private contract or otherwise at the sole discretion of the Company, and the net proceeds applied on account of the monies owing. The Company will not be liable for any deficiencies or reduction in value received on the sale of the goods nor, will the Customer be relieved from the liability merely because the goods have been sold.

25. TIME BAR

The Company shall, unless otherwise expressly agreed, be discharged of all liability under these Conditions unless suit is brought within 9 months from

a) the date of delivery of the Goods for claims to damage to goods, or

b) the date when the Goods should have been delivered for claims for delay in delivery or loss of

goods. With respect to loss or damage other than loss of or damage to the Goods, the 9 months

period shall be counted from the time when the act or omission of the Company giving rise to the

claim occurred.

26. CUSTOMARY REMUNERATION RECEIVED FROM THIRD PARTIES

The Company shall be entitled to be paid and retain all brokerages paid by carriers, commissions, documentation allowances, profits on foreign exchange and other remunerations paid by third parties as is customary in the trade.

27. APPLICABLE LAW AND JURISDICTION

The Parties agree that where they have used electronic communications to transact in whole or in part any business, such communications will be given legal effect in accordance with the provisions (so far as they may be applicable) of the UNCITRAL Model Law on Electronic Commerce as elaborated in Articles 16 and 17 of said law.

Otherwise the law of the Country or Region within which the Company has its principal place of business shall govern these Conditions. By accepting the services provided under these Conditions, the Customer irrevocably attorns to the exclusive jurisdiction of said Country or Region.