Does NEC 680.7 apply to factory and field installed lugs, the way I read it is the first sentence would apply to factory lugs and the second sentence would apply to field installed lugs.
You would have to ask code panel 17 and they may not have an immediate answer for you.
But your interpretation wouldn't necessarily be incorrect - equipment that comes with lugs from the factory would be "listed for use." It is just if you install something in the field, then it has to be listed for direct-burial use.
Here is how they worded it in the 2020:
Terminals used for bonding and equipment grounding shall be identified for use in wet and corrosive environments. Field-installed terminals in a damp, wet, or corrosive environment shall be composed of copper, copper alloy, or stainless steel and shall be listed for direct burial use.
So if I wanted to field-bond a metal part that isn't underground, then my terminal or lug would have to be identified for direct burial use. So there you have it. Clear as mud.
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