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Conditions of Contract

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The file contains important conditions required in any type of contract along with sample examples of their importance and implication

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Tamnar Packages

Presented ByDeepika Garg General Conditions of Contract Clauses..Repeat Order/ContractTHE CLAUSE STATES THAT...The Owner reserves the right to place repeat order/Contract of Goods & Services or a part of order/Contract of goods and services of same specifications & rating upto one year from the date of signing of Contract/date of release of Order for the Owners Raigarh project or for any other project of associate/ subsidiary/ group company of the Owner at the same price and terms & conditions agreed in this Contract provided the scope, layout, technical specifications and Site conditions (Including seismic zone) are identical to this Contract. In case of any change on account of scope, layout, technical specifications, Site conditions (Including seismic zone), the variation in Contract Price on this account shall be mutually discussed and agreed between the Owner and the ContractorEXPLANATION. Repeat Order can be placed to the Contractor of identical equipments within one year from the date of Order or signing of Contract

This clause is applicable for order placed in Jindal group or its subsidiary

The scope shall remain the same including Layout Technical SpecificationSite Conditions(Seismic Zone)

In case of any change in scope the variation is mutually discussed (Saving of time /approved vendor/able to meet urgent requirement)

Patent Rights & RoyaltiesEXPLANATION. Patent means Any royalty or fees for patent used in the work shall be deemed to be included in the Contract Price Contractor shall be liable for any claim or damages for patent infringement and shall protect the Company, its representatives & employees against any action, claim or proceedings Contractor at his own cost shall defend all suits & proceedings instituted against patent infringement, and in case where the suits are against the Owner, same shall be immediately notified to Contractor & shall be defended at the cost & expenses of the Contractor In case of any damage, Contractor shall pay for the damages In case such infringement take place while complying to the directions issued by Owner, then Contractor shall pay any such royalties & same shall be reimbursed only if the use was the result of drawing or specification issued after submission of tender The taxes (Octroi/Sales tax) and other duties on material obtained from any source shall be borne by Contractor Engineer-in-charge can carry out test as specified in Contract other than those for which satisfactory proof already submitted at the cost of the Contractor & same shall provide all such facilities. In case where the test are not specified & such test are required then Contractor shall bear such charges only in case where the test disclose that the said material are not in accordance with provision of the contract Cost of material consumed in test shall be borne by Contractor in all cases except when otherwise stated Contractor shall perform/submit at his own cost such test/sample as may be required by Engineer-in-charge out of the material issued by Company, except the cost of material used in such test.After Sales ServicesEXPLANATION. Within the Defect Liability Period Contractor at his own cost whenever asked for by Owner shall attend to the equipment supplied against the Contract

After the Defect Liability Period Contractor at Owners Cost shall attend to the equipment supplied against the Contract

TRANSFER OF OWNERSHIPEXPLANATION. For Imported goods(incl. spares, tools & tackles) ownership transfer upon loading on to the mode of transport from the country of origin For domestic goods ownership transfer upon loading on to the mode of transport & upon endorsement of dispatch document in favour of Owner Ownership of the equipment used by Contractor/sub-contractor shall remain with them Ownership in excess of requirement shall revert to Contractor upon completion or as agreed between Owner & Contractor (provided quantity stipulated in Contract shall be property of owner whether or not incorporated in works) Till Completion of work care & custody together with risk of loss or damage shall remain with Contractor

CONTRACTORS REPRESENTATIVEEXPLANATION.For supervision of work - Contractor shall depute competent representative at site whose name already approved in writing by Owner He shall be present during the working hours/writing orders/instructions by Owner or his duly authorized representatives Contractors representative shall be stationed at site when owner informs in writing

CONTRACTORS CO-OPERATION WITH THE OWNEREXPLANATION.In case where the performance of the work by Contractor affects the operation of system facilities of Owner, such work shall be scheduled in manner stipulated by Owner & shall be acceptable to Contractor

The Owner may impose restriction such as Electricity etc as he may think fit in the interest of the Owner & Contractor shall strictly adhere to such restrictions & co-operate with the Owner.

WITHHOLDING PAYMENT FOR CIVIL, STRUCTURAL & ARCHITECTURAL WORKSEXPLANATION. The Owner may withhold the payment whole or part of any payment for Civil, Structural & Architectural works claimed by Contractor, which in the opinion of the Owner is necessary to protect himself from loss of a/c of: Defective work not remedied or guarantees not met Claim field against the Contractor Failure by the Contractor to make payment for material or labor employed by him Damages caused to another Contractor In sufficient progress

When the grounds for withholding payments are removed, the Owner without delay shall make payment of the amount due to Contractor.

PROTECTION OF PROPERTY AND CONTRACTORS LIABILITYEXPLANATION.The Contractor shall be responsible for any damage resulting from his operation He shall also protect all persons including members of public & employees of the owner & other contractors / sub-contractors & public or private property incl structures, building, other plants & equipment & utilities either above or below ground Contractor shall display adequate safety equipment such as barriers/signboards/warning lights/alarms etc to provide protection to person & property Contractor shall give reasonable notice to Owner and the Owner of public or private property and utilities when such property and utility are likely to get damaged or inhered during perfromance of his work Contractor shall make all necessary arrangement with such Owner related to removal and/or replacement or protection of such property and utility

PAINTINGEXPLANATION. Contractor shall adhere to painting requirement as detailed in Specification The painting requirements vary from Equipment to Equipment The Contractors are asked to furnish sufficient quantity of touch up paint for application at site For e.g. fro Switchgear Package following is specified to Contractor:All surface shall be sand blasted (act of propelling fine dust at high pressure), pickled (to remove tightly adhered oxide films due to welding high temperature treatment etc for electro polishing etc) & grounded as required to produce a smooth, clean surface free of scale, grease and rust.

After cleaning, the surfaces shall be given a phosphate coating (spraying or immersion on steel parts for corrosion resistance or as foundation for subsequent coating or painting) followed by 2 coats of high quality primer and stoved after each coat.

The switchgear shall be finished with two (2) coats of RAL 7032 (pebble gray) paints. Inside panel painting shall be as per manufacturers standard. The coating shall be done electro statically followed by stoving.