��������Ƶ

How is Wear and tear defined in a legal contract?

• Wear and tear means harm or a decrease in value due to the passing of time, routine usage, or insufficient upkeep. Seen in 62 SEC filings
• Wear and tear means a decline in value due to time, natural deterioration, regular use, depreciation due to usage, damage by exposure to light, lack of maintenance or damage which occurs gradually over a period of time. Seen in 10 SEC filings
• Wear and tear means the slow deterioration linked with normal use and aging of the item in question. Seen in 10 SEC filings
• Wear and tear means the usual expected deterioration of the insured item arising from regular usage and age. Seen in 8 SEC filings
• Wear and tear means harm or the slow decline in operating performance of a covered component which naturally and inevitably occurs as a result of normal use, wear or aging. Seen in 7 SEC filings
• Wear and tear means corrosion, erosion, wasting, wearing away, abrasion or other gradual deterioration including that caused by atmospheric conditions and includes the cost of maintenance, normal upkeep and routine making good. Seen in 7 SEC filings
• Wear and tear means damage to Components which have reached the end of their normal effective working lives because of gradual reduction in operating performance. Seen in 6 SEC filings
• Wear and tear means harm or a decrease in value due to age, regular use or lack of maintenance. Seen in 6 SEC filings

Note: pulled this data out of the SEC EDGAR Database of 500,000 records from the past 22 years of filings. We regularly update this page as new filings and definitions come in.

yourself to verify these results. We are always keen to point people to source documents.

‍

Which definition should you use?

🤔 has combined and improved the above descriptions to create market-standard 'Genie definitions' below, with guidance on which documents and which industry to use for each.

‍

Genie Definition 1

• Wear and tear means the decrease in value or operational performance of an item due to normal use, time, and insufficient maintenance.

Relevant Contract Types

• Lease Agreements
• Property Management Contract
• Vehicle Lease Contract
• Equipment Rental Agreement

Relevant Circumstances

• Asset depreciation over time.
• Accrual of damage during the rental period.
• Physical wear of equipment through standard usage.

Relevant Sectors

• Real Estate
• Vehicle Leasing
• Construction
• Equipment Rental

‍

Genie Definition 2

• Wear and tear means the gradual, inevitable deterioration caused by regular use, age, and exposure to environmental elements.

Relevant Contract Types

• Product Warranty Agreement
• Service Level Agreement
• Manufacturing Agreement

Relevant Circumstances

• Wear generated by regular use over the contract period.
• Deterioration of products due to environmental factors.
• Expected depreciation of assets over time.
• Wear and tear exclusion clauses in insurance contracts.

Relevant Sectors

• Manufacturing
• Product Services
• Technology
• Insurance

‍