# Tenn. Code Ann. § 47-7-204: Duty of care - Contractual limitation of warehouse's liability

> Tennessee · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-204

## Section

- **Citation:** Tenn. Code Ann. § 47-7-204
- **Heading:** Duty of care - Contractual limitation of warehouse's liability
- **Jurisdiction:** Tennessee
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** TN Code / Title 47 / Chapter 7 / Section 47-7-204

## Text

(a) A warehouse is liable for damages for loss of or injury to the goods caused by its failure to exercise care with regard to the goods that a reasonably careful person would exercise under similar circumstances. Unless otherwise agreed, the warehouse is not liable for damages that could not have been avoided by the exercise of that care. (b) Damages may be limited by a term in the warehouse receipt or storage agreement limiting the amount of liability in case of loss or damage beyond which the warehouse is not liable. Such a limitation is not effective with respect to the warehouse's liability for conversion to its own use. On request of the bailor in a record at the time of signing the storage agreement or within a reasonable time after receipt of the warehouse receipt, the warehouse's liability may be increased on part or all of the goods covered by the storage agreement or the warehouse receipt. In this event, increased rates may be charged based on an increased valuation of the goods. (c) Reasonable provisions as to the time and manner of presenting claims and commencing actions based on the bailment may be included in the warehouse receipt or storage agreement. Acts 2008, ch. 814, § 1.
(a) A warehouse is liable for damages for loss of or injury to the goods caused by its failure to exercise care with regard to the goods that a reasonably careful person would exercise under similar circumstances. Unless otherwise agreed, the warehouse is not liable for damages that could not have been avoided by the exercise of that care.
(b) Damages may be limited by a term in the warehouse receipt or storage agreement limiting the amount of liability in case of loss or damage beyond which the warehouse is not liable. Such a limitation is not effective with respect to the warehouse's liability for conversion to its own use. On request of the bailor in a record at the time of signing the storage agreement or within a reasonable time after receipt of the warehouse receipt, the warehouse's liability may be increased on part or all of the goods covered by the storage agreement or the warehouse receipt. In this event, increased rates may be charged based on an increased valuation of the goods.
(c) Reasonable provisions as to the time and manner of presenting claims and commencing actions based on the bailment may be included in the warehouse receipt or storage agreement.
Acts 2008, ch. 814, § 1.

## Nearby sections

- [Tenn. Code Ann. § 47-7-101 Short title](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-101.md)
- [Tenn. Code Ann. § 47-7-102 Chapter definitions](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-102.md)
- [Tenn. Code Ann. § 47-7-103 Relation of chapter to treaty or statute](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-103.md)
- [Tenn. Code Ann. § 47-7-104 Negotiable and nonnegotiable document of title](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-104.md)
- [Tenn. Code Ann. § 47-7-105 Reissuance in alternative medium](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-105.md)
- [Tenn. Code Ann. § 47-7-106 Control of electronic document of title](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-106.md)
- [Tenn. Code Ann. § 47-7-201 Person that may issue a warehouse receipt - Storage under bond](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-201.md)
- [Tenn. Code Ann. § 47-7-202 Form of warehouse receipt - Effect of omission](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-202.md)
- [Tenn. Code Ann. § 47-7-203 Liability for nonreceipt or misdescription](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-203.md)
- [Tenn. Code Ann. § 47-7-204 Duty of care - Contractual limitation of warehouse's liability](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-204.md)
- [Tenn. Code Ann. § 47-7-205 Title under warehouse receipt defeated in certain cases](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-205.md)
- [Tenn. Code Ann. § 47-7-206 Termination of storage at warehouse's option](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-206.md)
- [Tenn. Code Ann. § 47-7-207 Goods must be kept separate - Fungible goods](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-207.md)
- [Tenn. Code Ann. § 47-7-208 Altered warehouse receipts](https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-208.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TN_T47_C7_S47-7-204. Check the current official text before relying on it. Not legal advice.