Tire Storage Agreement

TIRE STORAGE AGREEMENT

  1. Customer. For the purpose of this Agreement, the “Customer” is the person named on the Peterborough Tire Company invoice for seasonal tire storage and may also include any person lawfully entitled to the Tires. 
  2. Company. For the purpose of this Agreement, the “Company” is Peterborough Tire Company, having an office at 1057 Highway 7, Otonabee-South Monaghan, Ontario.
  3. Tires. “Tires” means the tires and attached wheels (if applicable) delivered to Peterborough Tire Company by the Customer and accepted by Peterborough Tire Company from the Customer for storage.
  4. Changeover Season.
  • “Winter Changeover Season” is from September 1 to February 28.
  • “Summer Changeover Season” represents the period from March 1 to August 31.
  • “Changeover Season” means either a Winter Changeover Season or a Summer Changeover Season. 

 5. Storage Location. The Customer agrees that Peterborough Tire Company may change the storage location of the Tires from time to time at its discretion with notice to the Customer.

  1. Tire Retrieval. The Customer acknowledges that Peterborough Tire Company requires a reasonable amount of time to retrieve and make the Tires available to the Customer. The Customer agrees to provide no less than twenty-four hours advance request to Peterborough Tire Company for the tires. Upon payment of all amounts owing to Peterborough Tire Company pursuant to this Agreement, Peterborough Tire Company will have the Tires ready for pick up by the Customer.
  2. Payment. The Customer agrees to pay all charges outlined in this Agreement immediately when they become due, as well as all other amounts payable hereunder and all applicable taxes. The Customer will make payment for storage of the Tires for the Initial Term at the time of delivery of the tires to Peterborough Tire Company and at the start of each Renewal Term in accordance with this Agreement until its termination. 
  3. No Refund. No portion of the Customer’s payment for the Initial Term will be refunded once two days have passed after the Customer has delivered the Tires to Peterborough Tire Company for storage, including if this Agreement is terminated before the end of the Initial Term. 
  4. Initial Term. The Term of this Agreement (the “Initial Term”) starts when the Customer delivers the Tires to Peterborough Tire Company and ends on the last date of the second Changeover Season or when the Tires are removed from storage, whichever occurs first. The Customer will pay for the Initial Term at the time of delivery of the Tires to Peterborough Tire Company. 
  5. Renewal Terms.
  • This Agreement will automatically renew for an additional Changeover Season (“Renewal Term”) starting on the expiry of either the Initial Term or previous Renewal Term, unless: (i) the Tires are or are determined by Peterborough Tire Company to no longer be in Peterborough Tire Company’s possession, or (ii) this Agreement has otherwise been terminated.
  • By leaving the Tires in Peterborough Tire Company’s possession, the Customer has agreed to renew this Agreement for each Renewal Term.
  • The Customer will pay Peterborough Tire Company for each Renewal Term, either

(i) the same amount as the previous Term or

(ii) an increased amount equal to not more than 15% of the payment of the previous Term, as Peterborough Tire Company may determine. In addition to any fee for a Renewal Term, the Customer will pay any applicable HST, analogous excise, or sales tax.  

  1. Replacement Tires. The Customer agrees that if the Customer replaces the Tires with a different set of tires for storage by Peterborough Tire Company (e.g. replace winter tires with summer tires), then the replacement tires will be the Tires, that the terms and conditions of this Agreement will apply to the replacement tires as though they were the Tires and this Agreement will continue in full force and effect and unamended except in respect of the Tires. 
  2. Insurance. Peterborough Tire Company has an internal and external insurance policy that will replace damaged tires with like and kind quality in the event of an insurable loss. The Customer acknowledges and understands that there may be situations in which Peterborough Tire Company does not insure and will not insure or guarantee against the damage or loss of Tires stored by Peterborough Tire Company, and Peterborough Tire Company’s liability for loss or damage to the Tires is limited as described in this Agreement. Except as otherwise set out in this Agreement, the Customer hereby waives, releases and indemnifies Peterborough Tire Company from and against any claims against Peterborough Tire Company.
  3. Acts of Default. Acts of default by the Customer include:

(i) The Customer’s failure to pay any sum when due.

(ii) The Customer’s failure to perform any covenant, condition or obligation under any agreement between Peterborough Tire Company and the Customer.

(iii) The Customer suffers any distress, execution, or other legal or statutory process resulting in a lien, claim, judgment, or charge on the Tires or Peterborough Tire Company.

(iv) The Customer becomes insolvent, commits an act of bankruptcy or is the subject of any proceedings under any provincial or federal legislation to protect debtors. 

  1. Notice of Default. Upon an act of default by the Customer, Peterborough Tire Company will provide the Customer with notice of the default using the last contact information the Customer provided and, in the event the Customer fails to respond to Peterborough Tire Company within twenty-one (21) days of such notice, the Customer shall be deemed to have abandoned the Tires. In the event of abandonment, without terminating this Agreement (unless so elected by Peterborough Tire Company), Peterborough Tire Company shall be entitled to take possession of such abandoned property and dispose of it in any manner Peterborough Tire Company deems fit, including by public auction. 
  2. Remedies. Immediately upon any act of default by the Customer, Peterborough Tire Company may, without terminating this Agreement (unless so elected by Peterborough Tire Company), and in addition to any other remedy contained herein, do any or all of the following, at its option:
  • Seize and take possession of the Tires and dispose of them by private or public sale, whether individually or together, and apply the proceeds of such disposition to any outstanding balance payable under this Agreement, as well as to the reasonable expenses incurred by Peterborough Tire Company for seizing, repossessing, holding, repairing or preparing the Tires for sale and any other reasonable expenses incurred by Peterborough Tire Company in enforcing its rights herein;
  • Avail itself of any other remedies available to it under this Agreement, at law or in equity, including under the applicable personal property security act of the province in which the Tires are stored;
  • Terminate this Agreement. 
  1. Authorization. If Peterborough Tire Company takes possession of the Tires, then the Customer authorizes Peterborough Tire Company to do any of the following until Peterborough Tire Company determines how it wishes to dispose of the Tires: replace the Tires in storage, dispose of the Tires, or place the Tires unattended on the ground in a location determined by Peterborough Tire Company. In such a situation, PeterboroughTire Company is not liable for the care or safekeeping of the Tires, except as otherwise set out in this Agreement, and the Customer will pay Peterborough Tire Company for any storage cost, disposal cost and the cost of moving the Tires.  
  2. Continuing Obligation. Termination of this Agreement will not relieve the Customer of any liabilities or obligations incurred prior to such termination, and the Customer will at all times remain fully liable for all damages, costs and expenses incurred by Peterborough Tire Company on account of the Customer’s default under this Agreement, including all costs, legal fees and disbursements. 
  3. Release. Except as explicitly provided in this Agreement, the Customer hereby agrees to waive, release and further discharge all claims against Peterborough Tire Company, its affiliates, employees, contractors, agents or others for whom it is responsible at law (the “Company”), that the Customer has or may in the future have against the Company for any loss, damage, expense or injury, including death, that the Customer or the Company may suffer as a result of the services provided by the Company or the use, storage of the Tires, wheresoever the storage occurs, or the transport of the Tires or damage to the Tires or anything related thereto by the Customer or the Company, including, without limitation, negligence, gross negligence, willful misconduct, breach of this Agreement or any other contract, non-compliance with licencing, or violation of any statutory or other duty of care on the part of the Company or the Customer and specifically:
  • waive, release and discharge the Company from any duty of care it may have pursuant to the Occupiers Liability Act (B.C.) or the equivalent legislation in the province in which the Tires are located and any claim for loss or damage the Customer may have thereunder; and
  • limit the liability of the Company for any claim of the Customer for loss, damage or expense pursuant to the Warehouse Receipt Act (B.C.) or the equivalent legislation in the province in which the Tires are located to a maximum of $500 CAD. 
  1. LIMITED LIABILITY. THE LIABILITY OF THE COMPANY FOR ANY ACTUAL AND DIRECT DAMAGES INCURRED BY THE CUSTOMER (OR ANY OTHER PERSON OR COMPANY) AS A RESULT OF PETERBOROUGH TIRE COMPANY’S ACTS OR OMISSIONS, INCLUDING BUT NOT LIMITED TO NEGLIGENCE CAUSING DAMAGE, FAILURE TO DELIVER, LOSS OR THEFT OR DAMAGE, OR LATE OR DELAYED DELIVERY OF THE TIRES, SHALL BE LIMITED AS PROVIDED IN THIS AGREEMENT AND SHALL IN NO EVENT EXCEED A MAXIMUM OF $500 CAD. UNDER NO CIRCUMSTANCES SHALL PETERBOROUGH TIRE COMPANY BE LIABLE TO YOU OR ANY THIRD PARTY FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE OR CONSEQUENTIAL DAMAGES, INCLUDING LOSS OF PROFITS AND LOSS OF BUSINESS OPPORTUNITIES, THAT RESULT IN ANY WAY FROM THIS AGREEMENT, INCLUDING FROM ANY OF PETERBOROUGH TIRE COMPANY’S ACTS AND OMISSIONS, SUCH AS THOSE DESCRIBED IN THE PRECEDING SENTENCE. 
  2. Redelivery Costs. The failure by the Customer to accept delivery of the Tires within the time confirmed shall render the Customer liable for reasonable costs of storing, handling and redelivery charges incurred by Peterborough Tire Company. The Customer shall pay Peterborough Tire Company at Peterborough Tire Company’s regular rate for each service caused by any act or default of the Customer or the Customer’s agent. 
  3. Further Costs. The Customer will pay all costs (including legal fees and disbursements) incurred by Peterborough Tire Company in enforcing any of the terms, provisions, covenants and indemnities in this Agreement. 
  4. Security Interest. The Customer grants to Peterborough Tire Company a security interest in the Tires to secure the payment of all indebtedness and liabilities, present or future, absolute or contingent, joint or several, including all advances of current or running accounts and all future advances and readvances, and whether the same is reduced from time to time and after that increased or entirely extinguished and after that incurred again. Peterborough Tire Company may register the security interest in the appropriate registry at Peterborough Tire Company’s sole discretion. 
  5. Secured Creditor Remedies. If the Customer defaults under this Agreement, Peterborough Tire Company may enforce its rights as a secured creditor, including any rights to seize and sell the Tires at the time of default. 
  6. Notice. Any notice required under this Agreement may be given verbally, hand-delivered, or sent by mail, electronic text, email or other instantaneous method, except where applicable legislation requires notice to be given in a prescribed form. Any notices sent by mail will be deemed to be received on the third day after mailing. Any other form of notice given by Peterborough Tire Company to the Customer, whether verbally, by hand delivery, electronic text, email or other instantaneous method, will be deemed to be given immediately. 
  7. Binding Agreement. This Agreement is binding upon the parties, their heirs, executors, legal representatives, successors and permitted assigns and will be construed and interpreted in accordance with the laws of the province in which the Tires are stored. 
  8. Assignment. Peterborough Tire Company may assign this Agreement to a third party, at its discretion, without notice to the Customer. 
  9. No Set-Off. The Customer cannot set off for any amounts owing hereunder against any amounts due or alleged to be owing to the Customer by Peterborough Tire Company 
  10. Severability. If any part or provision of this Agreement is found to be invalid or unenforceable, the validity or enforceability in such part or provision may not affect the remaining parts or provisions of this Agreement, which will continue in full force and effect. 
  11. No Waiver of Right. Any forbearance by Peterborough Tire Company in enforcing any of its rights under this Agreement in the event of a default by the Customer will not constitute a waiver of Peterborough Tire Company’s rights, including its right to require the Customer to comply strictly with the terms of this Agreement.