§1Model wording
10.1 Insurance. The Seller shall maintain commercial general liability (including products) and automobile liability insurance with limits not less than those in Schedule E, and provide certificates on signing and on renewal.
10.2 Indemnity. The Seller shall indemnify the Buyer against third-party claims for injury or property damage to the extent caused by Non-conforming Pallets or by the Seller's personnel or vehicles on the Buyer's premises.
Values in [square brackets] are yours to set. Have counsel review before use; this is not legal advice.
§2Negotiation notes
Ask your risk team for the limits; they depend on your exposure, not on pallet industry norms.
This is the clause most worth showing to counsel before use.
Ask for the certificate before the first delivery and diary its expiry date. Certificates lapse quietly, and an expired policy is only noticed when a claim is made.
Match the indemnity to the risks pallets actually carry: a collapsed pallet in racking, a failed load in transit, or untreated wood at an export port. Your risk or legal team will know which of these matter for your operation.