Sr

Terms & Condition

PRICES

TAXES & DUTIES

STATUTORY
OBLIGATIONS

DELIVERY

PAYMENT

INSPECTION

GUARANTEE/WARRANTY

PERFORMANCE
GUARANTEE

DRAWINGS & QAPs

10

TEST CERTIFICATES

11

PACKING/ DISPATCH
INSTRUCTIONS

12

LIQUIDATED DAMAGES

I) FOR DELAYS

II) SERVICE RESPONSE

DURING OPERATION

13

SHORTAGE

14

INSURANCE

15

CANCELLATION OR
SUSPENSION

16

EFFECTIVE DATE OF
CONTRACT

17

JURISDICTION

Note

Jyoti Terms & Condition

The above price is FOR SITE, exclusive of Excise Duty reversal and Sales Tax. No pri
variation will be acceptable till execution of the order. The Testing & inspections charg
at your works and at site and all incidental services towards Supply, packing & forwardi
charges and transportation charges up to site are included in above prices.

Excise duty:12.5%.
Sales Tax
: 2% CST against C-form
# During the course of erection/testing/commissioning. There are occasions where
JYOTI/CLIENT may incur certain expenditure on companys account/ contractor account. All
such expenses pertaining to contractor`s scope of work shall be recovered from the
contractor`s billNot applicable

# The contractor will follow and fulfill all local/state/central statutory obligations
regarding labors force to be employed by the contractor. As a proof of fulfillment of
statutory obligations, the contractor will submit documents like ESI,PF., and Insurance, PA
number; Service tax registration no. etc. without which payment will not be processed at ou
end.Not applicable

The delivery mentioned in the schedule is the date of last material to be received at site.
The schedule also includes the time required for inspection, rectification, packing and
forwarding and transportation.
The delivery may be staggered (in complete sets) but shall not exceed the above schedule.
Supplier has to consider all the above and issue the inspection call accordingly, however
supplier shall give at least 15 days advance notice for the inspection.

In any case and circumstances the supplier is unable to meet the schedule; MDCC shall not b
issued, and the material shall not be lifted till further clearance is received from the
customer and Jyoti Limited.
In the event of above, Jyoti Limited shall not be liable to pay any extra cost for
repacking, storage, demurrage etc.

10%advance with order, 10% advance against Drawing approval, 70% against Proforma/LC of 45
days & 10% against PBG valid for warranty period
Subject to any deductions which the Jyoti Limited may be authorized to make under the
contract, the XXXXX Limited shall be entitled to receive payment in the following manner.

90% payment with all taxes & duties shall be paid to you against 150 days irrevocable Lette
of Credit Usance period. Usance period will start from the date of material receipt note &
pre accepted sight draft.LC opening charges, LC acceptance charges, LC payment charges, LC
negotiation charges and LC amendment charges will be in your scope. LC Shall be open after
inspection and acceptance of material.

10% payment shall be released after commissioning against submission of PBG valid up to the
guarantee period of equipment.
Release of payment is subject to the submission of following documents
1. Three copies of invoice showing description of goods, quantity, unit price and amount
claimed.
2. Guarantee Certificate
3. Detailed packing list (Bill of Material)
4. Test Certificates and Report
5. Consignment / L.R. copy of Bank approved Transporter.
6. Material Receipt Note..to be removed
7. Pre-accepted sight draft.to be removed
8. 3 copies of XXXXXXX certificate stating that the sub assembly dispatched under the
consignment is complete in all respect.
9. Certificates of origin

The material has to offered for inspection in one lot only. All expenses towards traveling
from place of customer / consultant to your works, lodging, boarding and local conveyance
shall be to your account. Incase jyoti ltd. has made such expenses the same shall be debite
to you and recovered while releasing of paymentInspection in staggered & charges not to ou
account

Ordered equipment shall be inspected as per approved QAP, prior to dispatch by our
representative/Customer/Third Party. You have to give us 15 days notice to depute our
representative for inspection. Please submit us all test reports in 6 sets for taking
dispatch clearance from client. Material should be dispatched only after dispatch clearanc
given by us with dispatch details in writing.

If client insist for re-inspection of valves or any other equipments, all inspection charge
will to suppliers accountto be removed

Material to be supplied against this order shall be guaranteed for performance against any
design / manufacturing defects or faulty workmanship for period of 24 months from the date
of commissioning. Any defects found after supply shall be rectified by you within 7 days.
Alternatively, Jyoti will carry out the repairs at your risk and cost in case of delay from
your side and charges shall be recovered from you. Acceptance of any material in terms of
quality shall be at the sole discretion of Jyoti. If any equipment needs to be brought back
to works for repair during Guarantee/Warranty period, then the cost of to & from
transportation, insurance and any other incidental cost will be to your account. Faulty and
Damage Material will be replaced free of cost under guarantee period. ..24 Months from the
date of dispatch or 18 Months from the date of commissioning whichever is earlier

A bank guarantee equal to 10% of order value shall be furnished to us as per

enclosed
format towards performance of the equipment that will be valid up to the guarantee period a
stated above.

The drawings shall be submitted in Hard as well as and soft copy editable. 6 sets of a
relevant drawings and data sheets shall be forwarded to us within one week from the date
receipt of this order or LOI for our onward submission to ultimate client for taking the
approval. It shall be the suppliers responsibility to get the drawings and documen
approved from the customer/consultant. Jyoti shall provide all necessary cooperation f
getting approval of the drawings, QAP and data sheets from client. If required, supplier m
require to make visits to the customer/consultant for approval of the drawing/document
During approval stage, if client insists any change in technical data, there shall not
any price implication. All the charges for such visits shall be to suppliers account. T
material will be manufactured as per approved drawing only after the manufacturing clearan
release by us.

Please send 6 copies and CD of Test Certificates for Chemical composition/Physic

properties/Ultrasonic test along with your challan/s. Heat No. should be punched on t
component and it should tally with T.C. Please keep all Test Certificates ready whenever o
inspecting people visit for inspection.

In principle recyclable packaging materials should be used. Packaging should be durable and
environmentally compatible in production, use and disposal. Warning notices and information
on disposal must be enclosed. The Supplier commits himself to adhere to all environmentally
relevant laws.
Inevitable exposures during transport require a shipping package protecting the goods
adequately. The outer packaging must be of such design that the package can be moved by
hoisting devices and/or floor trucks.

It has to be designed in such a way that no damage is done to the packed good or the packag
by tilting, moving, scouring, oscillating, lifting etc.
Small packing units like cartons, light cargo crates etc. that are endangered to be lost
should be pooled to larger units.

Climatic influences of sea transport (e.g. contact with sea water, ship's sweat, salty air,
variations in temperature) respectively storage in open space and time of storage of at
least 12 months on site have to be considered when choosing the packaging.

Material shall be delivered to site as per the dispatch instruction given to you at the tim
of dispatch clearance.
Packing shall be suitable for storage at site for a minimum period of one year from
receipt at site.

Time is the essence of the Purchase Order. The supplier shall deliver the supplies as per
delivery schedule in the purchase order. In case of delay in delivery as per the agreed
terms, liquidated damages will be imposed @ .5 % for delay of each full week or part
thereof, subject to a maximum of 10 % of the total order valueUndelivered portion The
Purchaser`s right to receive liquidated damages shall be without prejudice to the other
rights and remedies of the Purchaser in law or in contract.
For delays beyond agreed schedule Jyoti Limited has the option of delaying the dispatch
further till necessary funds arrangements are made with the customerto be removed

XXXXX agreed service response should be maximum two working days from the date of service
call received during DLP and O&M.

Any shortage found in any consignment will be to your account. Our liability for payment
confirmed only to such quantities as are received at our works/site in absolutely sou
condition.

Goods will be insured by us during transit. You have to provide the necessary documents
intimate insurance agency. In case of non or late receipt of these documents loss suffer
by us, if any, shall be made good to us by supplier/contractor.

In the event of strikes, accidents or other unforeseen circumstances resulting in change

project or production schedule this order can be suspended or cancelled by us and t
supplier/contractor shall not be entitled to any compensation whatsoever. If the order
cancelled, the supplier/contractor shall be bound to refund any deposit or advance amount
part payment made by us. No interest will be paid on such payments To be removed

Effective date of contract with respect to time completion shall be the date of release
this Purchase Order or LOI whichever is earlier.

Any dispute that may arise in connection with this order shall be subject to the exclusi
jurisdiction of Vadodara Court (Gujarat State, India) only.

# Minimum three visits during pre commissioning testing at site. All expenses during th
visit i.e. lodging, boarding and local conveyance from your place to site; carry testi
equipments will be borne by you.

# You have to visit every year during O & M period as per requirement by Jyoti for p
commissioning checks at site. All expenses during this visit i.e. lodging, boarding a
local conveyance from your place to site will be borne by youtill warranty period

# In case of Breach of any of the terms and conditions mentioned here on and herein, t
supplier/contractor shall be liable to pay damages for the same.

# Material to be supplied against this order shall strictly

specifications and drawings enclosed herewith.

conform

to

the

technic

# Relevant Work Standard & Drawings are enclosed /available with you.

# All factory tests are to be carried out as per tender specifications and approved QAP se
by us in presence of our/client's representative.

# It is obligatory to apply Red Primer Coating / Zinc Chromate Coating as anticorrosi

layer on all Castings & Fabricated Components (other than S.S.) and put Drawing No.
Purchase Order No. on all components, after inspection but before dispatch, both either
the form of Punch and with Paint/Marking ink. Painting will be done as per the tend
specifications attached herewith and the procedure approved by customer.

Elecon Comments/Remarks

Acceptable

Not applicable