Conditions
of Sale
1. DEFINITIONS
1.1 The term “seller” shall mean Manor Farm Engineering.
1.2 The term “buyer” shall mean the person, firm or company so named in
the purchase order.
1.3 The term “quotation” shall mean the tender or quotation issued by the
seller for the supply or the goods including these conditions, the
specification, drawings or other documents annexed by the supplier to the
quotation.
1.4 The term “purchase order” shall mean the purchase order issued by the
buyer to the supplier for the purchase of the goods.
1.5 The term “goods” shall mean the goods to be supplied by the supplier
as identified in the quotation.
1.6 “The contract” shall mean the contract between the supplier and the
buyer consisting of the seller’s quotation, these conditions of sale and
the purchase order accepting the quotation, but not any terms and
conditions of purchase, other than these conditions, incorporated in or
referred to in the purchase order.
1.7 The term “date for delivery” shall mean the firm date for delivery, if
any, stated as such in the quotation.
1.8 The term “contract price” shall mean the sum stated in the quotation
to be paid by the buyer to the seller for the supply of goods together
with such other sums as may be payable to the supplier under these
conditions of sale.
2. GENERAL
2.1 These conditions of sale and the quotation supersede any other terms
and conditions, or descriptions, or statements as to the delivery, quality
or performance of the goods or their suitability for any purpose appearing
in any advertisements, catalogues, or other literature relating to the
goods and override and exclude other terms and conditions, descriptions
and statements as to quality and performance or suitability of the goods
stipulated or referred to by the buyer whether in the purchase order or
otherwise.
2.2 No representative or agent of the seller has any authority to agree
any terms or make any representations that are inconsistent with these
conditions or the quotation. The seller will not be bound by any
statements made by any person purporting to act on the seller’s behalf as
to these conditions or the quotation or any statements as to the delivery,
quality, performance or suitability of the goods unless any such statement
is specifically confirmed in writing by a duly authorised officer of the
seller and annexed to the contract.
3. SPECIFICATION AND DESCRIPTION SAMPLE AND STANDARD
3.1 The description of the goods given in any advertisement, catalogue or
other literature is for information purposes only and does not constitute
a term of the contract.
3.2 The seller undertakes that the goods will conform with:
3.2.1 The provisions of the quotation (except in minor respects which do
not materially affect the usage of the goods). The seller reserves the
right to change and improve the specification of the goods in line with
its policy of progressive development provided that any substituted
materials shall be of the same or better quality than those specified in
the quotation and that any such change will not materially affect the
usage of the goods.
3.2.2 The seller’s normal standards of manufacture.
3.2.3 The requirements of any legislation in force at the time of the
submission of the quotation.
4. QUALITY AND FITNESS FOR PURPOSE
4.1 The goods shall be in accordance with the quality specified in the
seller’s quotation and if no quality is specified, with the normal
industrial quality for the type of goods in question at the contract
price.
4.2 If the buyer has specified expressly that the goods shall be suitable
for a particular purpose and the seller has agreed in the quotation
expressly to supply goods suitable for that purpose, then the goods shall
be so suitable within the limits specified by the supplier in his
quotation except in minor respects which do not materially affect the
purpose for which the goods have been supplied.
5. DELIVERY
5.1 The seller undertakes as a warranty and not as a condition of the
contract that if a firm delivery date or period has been stated in the
quotation that the seller will deliver the goods by such date or within
such period or any extended date or period as provided for under clause
11.
5.2 The seller shall deliver the goods to the delivery point stated in the
quotation carriage paid, provided that if in accordance with the quotation
the goods are to be given to a carrier for onward transmission to the
buyer, then delivery of the goods to the carrier shall constitute delivery
to the buyer.
6. PASSING OF PROPERTY
6.1 The property in the goods shall not pass to the buyer until payment
has been received by the seller in full for the goods and for any other
goods supplied by the seller or any associated company of the seller to
the buyer.
6.2 For the purpose of this clause the buyer undertakes that until the
buyer has made payment in accordance with sub-clause 6.1:
6.2.1 not to remove, deface or cover up any identification marks on the
goods or marks indicating the goods are the property of the seller
6.2.2 to store the goods separately from those belonging to the buyer or
others
6.2.3 to allow the seller unrestricted access to the buyer’s Works or
other place where the goods are stored for the purpose of removal of the
goods.
7. PASSING OF RISK
7.1 The risk in the goods shall pass to the buyer on delivery as defined
in clause 5 above.
7.2 If delivery is to be made to a carrier for onward transmission to the
buyer, then unless otherwise instructed by the buyer, the seller will
arrange for the benefit of the buyer, insurance of the goods on the basis
of carrier’s risk. The premium for such insurance shall be added to the
contract price and paid for by the buyer.
8. CONTRACT PRICE
8.1 The price stated in the quotation is based on the cost of production
as at the date of the quotation. If because of any rise or fall in the
cost of labour, materials, fuel or transport the cost to the seller of
performing the contract shall be increased or reduced, the amount of such
increase or reduction shall be added to or deducted from the contract
price. No account shall be taken of any increase in cost which has been
incurred by the seller because of any default by the seller.
8.2 If after the date of the quotation the cost to the seller of
performing the contract is increased or reduced by reason of any change in
the laws or regulations affecting the seller in the performance of the
contract, including any changes in taxes, levies or National Insurance
Contributions payable by the seller in respect of his workforce but
excluding income tax, then the amount of such increase or reduction shall
be added to or deducted from the contract price.
9. PAYMENT TERMS
9.1 The seller shall be entitled to invoice for the goods on delivery.
9.2 The buyer shall pay the seller’s invoice within 30 days of its
receipt.
9.3 If the buyer fails to pay the seller’s invoice on the due date then
the seller shall be entitled to:
9.3.1 charge interest on the outstanding amount at the rate of 8% above
the base rate of the Bank of England ruling at the time when payment
became due under clause 9.2 above accruing daily
9.3.2 decline to deliver any further goods to be supplied under this
contract or any other purchase order placed by the buyer with the seller
until payment has been received in full of any amounts outstanding, and
payment has been made by the buyer in advance for any goods not yet
delivered without thereby incurring any liability whatsoever to the buyer
9.3.3 terminate the contract if the delay in payment exceeds 30 days.
10. ACCEPTANCE
10.1 The buyer shall inspect the goods immediately on their receipt and
shall be deemed to have accepted the goods unless within 5 working days
after their receipt the buyer shall have notified the seller that the
goods are rejected as having been found not to be in accordance with the
contract.
10.2 If the buyer does so notify the seller to this effect then the seller
shall be given the opportunity to inspect the goods, and if reasonably
satisfied that the goods are not in accordance with the contract for a
reason for which the seller is responsible, shall at its option repair or
replace such goods.
10.3 At the seller’s request the buyer shall return the goods which it
considers not to be in accordance with the contract to the seller at the
seller’s expense. The seller shall be responsible for all costs involved
in the repair or replacement of the goods and for their re-delivery to the
buyer.
10.4 If the seller shall fail within a reasonable time to repair or
replace the goods as required under sub-clause 2 above, the buyer shall
have the right to purchase elsewhere replacement goods of the same or
similar description and to recover from the seller:
10.4.1 any payment made by the buyer in respect of the rejected goods
10.4.2 the difference between the price of the rejected goods and the
price of the replacement goods.
10.5 The obligation of the seller under sub-clauses 10.2, 10.3 and 10.4
above shall be in full satisfaction of the seller’s liability in respect
of such goods, and the buyer shall not be entitled to claim damages for
breach by the seller of any of its obligations whether under the contract
or otherwise and whether for delay or performance.
11. DELAYED DELIVERY
If the seller shall have included in the quotation a firm date or period
for delivery then the following provisions of this clause shall take
effect. Otherwise any date or period for delivery shall be considered as
indicative only and not contractually binding on the seller.
11.1 The date for delivery shall only constitute a warranty and not a
condition of the contract, time shall not be considered to be of the
essence and the buyer shall not have the right to reject the goods or
terminate the contract by reason of any delay in delivery.
11.2 If the seller is delayed in the performance of the contract by any
act or default of the buyer, or any industrial dispute or any circumstance
beyond the seller’s reasonable control, then the date for delivery shall
be extended by such period as may be reasonable.
11.3 If the seller shall fail to deliver the goods by the date for
delivery or any extended date under sub-clause 2 of this clause, then the
seller shall pay to the buyer as liquidated damages such sum as may be
specified in the quotation, or if no sum is so specified, at the rate of
0.5% of the value of the goods delayed for each week of delay up to a
maximum of 5% of the contract price of the goods delayed, unless it can
reasonably be concluded from the circumstances that the buyer has suffered
no loss.
11.4 The payment by the seller of such liquidated damages shall be in full
satisfaction of the seller’s liability for delay and to the exclusion of
any other remedy of the buyer for the seller’s delay.
12. DEFECTS LIABILITY
12.1 The seller shall repair or replace at the seller’s option any of the
goods which are, or which become, defective within 6 months from delivery
due to faulty workmanship, materials or faulty design if the seller is
responsible for design, provided that the buyer shall have notified the
seller in writing of such defect and have given the seller a reasonable
opportunity to inspect the defective goods.
12.2 All expenses incurred by the seller in connection with the repair or
replacement of the defective goods, including all costs of transportation,
shall be paid by the seller.
12.3 If the seller shall fail to so repair or replace the defective goods
within a reasonable time of having been notified by the buyer, then the
buyer shall be entitled to have the work or repair or replacement carried
out by others, and the seller shall pay to the buyer the costs reasonably
incurred by the buyer in so doing.
12.4 The seller’s liability in respect of defects in the goods shall be
limited to those stated in this clause and subject to Clause 2(1) of the
Unfair Contract Term Act 1977, the seller shall not be liable whether in
contact or in tort, including but not limited to negligence, or by reason
of breach of statutory duty or otherwise, for any damage or loss
whatsoever suffered by the buyer arising out of or attributable to such
defects.
13. LIMITATION OF LIABILITY
13.1 The obligations and liabilities of the seller in respect of the
description of the goods, the quality of the goods or their fitness for
purpose are limited to those which are expressly stated in clauses 10 and
12 above. All conditions, warranties and intermediate terms relating to
the description of the goods, their quality and their fitness for purpose
implied by common law or by statute or otherwise are hereby excluded from
the contract.
13.2 Except as provided for under clause 11 above neither party shall be
liable to the other for any indirect or consequential loss or damage, loss
of profit, loss of use or production or of contracts which the other may
suffer arising out of any breach by a party of its obligation under the
contract and whether the same be due to the negligence of that party or
not.
14. FORCE MAJEURE
Neither party shall be liable to the other for its failure to perform any
of its obligations under the contract to the extent that such failure is a
result of circumstances beyond its reasonable control, provided that the
other party is notified in writing of such circumstances by the party
affected as soon as they become aware of their occurrence.
15. SET-OFF
The buyer shall not be entitled to exercise any right of set-off or
counter-claim.
16. LAW
The contract shall in all respects be governed by and interpreted in
accordance with English law.
17. DISPUTE RESOLUTION
If any dispute or difference shall arise between the parties in connection
with or arising out of the contact which cannot be settled amicably
between the parties, then either party shall give to the other 14 days’
written notice to such effect and such dispute or difference shall be
referred to a single arbitrator agreed between the parties within 14 days
of the date of the said written notice, or in default of agreement, as may
be nominated by the President for the time being of the Chartered
Institute of Arbitrators.