PURCHASE ORDER GENERAL TERMS & CONDITIONS - KSA
CONSIGNMENTS: Unless otherwise stated, allspices are deemed fixed and include delivery to the location specified in the order. Goods must be consigned to the Stores Controller, and a receipt obtained clearly reflecting the name of the person signing the receipt. The Supplier shall adequately and securely pack all goods to prevent damage during transit. All packages must include a packing slip indicating the Supplier's name and detailing the contents. Packages must be clearly marked and addressed using oil paint or suitable labels. Unless otherwise stated on the Order, all packing materials shall remain the Purchaser's property. All items must be agreed upon in terms of quantity and type as ordered.
IDENTIFICATION: Waybills must accompany every consignment, showing the Order and job number, net and gross weights, and quantities.
INVOICES: An original invoice, with attached proof of delivery bearing the Order and job numbers, shall be sent directly to the Purchaser at the postal address shown on the face of the Order, on the day the goods are delivered to the site specified in the Order.
TERMSOF PAYMENT: Payment against original invoices with attached proof of delivery, received by the 7th of the month, will be made on or about the last day of the following month, provided the goods have been accepted as satisfactory by the Site Representative or Stores Controller. Payments will be made by cheque and posted at the supplier’s risk.
SUPPLIER'SRISK: All goods supplied in terms of the Order shall remain at the Supplier’s sole risk until off-loaded at the site specified in the Order and signed for by the Purchaser.
INDEMNITYAGAINST INFRINGEMENTS OF PATENT, ETC.: The Supplier indemnifies the Purchaser against any claims for unauthorized use or infringement of patent rights, trademarks, or protected rights related to the goods supplied. All royalties and expenses arising from the use of such rights shall be payable by the Supplier.
CESSION: The Supplier shall not cede, assign, transfer, or sub-let the Order or any portion thereof without obtaining the Purchaser's express written consent.
SPECIFICATIONS: All materials used in the manufacture of the goods must comply with the specifications or quality laid down in the Order. If no specification is provided, they must be of a quality suitable for the required purpose. Additionally, the finish must meet the quality standard of the goods ordered.
INSPECTION: The Purchaser reserves the right to inspect goods during manufacture or progress and may reject any goods not in accordance with specifications or drawings. Final inspection and acceptance of the goods shall be at the site, or the location specified in the Order.
GUARANTEE: If defects in the goods manifest within twenty-four months from the date they are received by the Purchaser, the Purchaser reserves the right to call upon the Supplier to remedy such defects at the Supplier's expense. If the Supplier fails to do so within the specified time, the Purchaser may reject the goods, require their removal at the Supplier’s cost, and reclaim all payments made or reduce the Order value.
PASSING OF OWNERSHIP: Ownership and title of the goods shall pass to the Purchaser upon delivery to the site or as otherwise instructed in the Order.
CANCELLATION: The Supplier acknowledges that time is of the essence in fulfilling the Order. If the goods are delayed beyond the delivery date or the Supplier breaches any Order conditions, the Purchaser reserves the right to cancel the Order in whole or part without compensating the Supplier. In the event of cancellation, the Purchaser may purchase a similar quantity of goods, and the Supplier shall be liable to reimburse the Purchaser for any associated costs or losses.
ACKNOWLEDGEMENT: The Supplier is requested to acknowledge receipt and acceptance of the Order and its terms within fourteen (14) days. Failure to do so, or the dispatch of goods, will be deemed as acceptance of the Order and its terms.
GENERALGENERAL: Nothing in these conditions shall prejudice any warranty (expressed or implied) or other rights or remedies to which the Purchaser is entitled in relation to the goods. Unless otherwise agreed in writing, every condition herein is considered essential to the Order.
PURCHASE ORDER TERMS & CONDITIONS FOR
ALL RENTAL EQUIPMENTS - KSA
GENERAL: These terms and conditions apply to the rental by ALEC SAUDI ARABIA ENGINEERING & CONTRACTING SINGLESHAREHOLDER LLC (KSA) (referred to as "ALEC") of certain equipment (the “Equipment”) pursuant to any purchase order referencing these terms and conditions (the “Purchase Order”).
ACKNOWLEDGEMENT: The Supplier (as defined in the Purchase Order) is requested to acknowledge receipt and acceptance of any Purchase Order issued by ALEC. If ALEC does not receive such acknowledgment within fourteen (14) days from the date of the delivery of the Purchase Order to the Supplier, the Supplier shall be deemed to have unconditionally accepted the Purchase Order.
OPERATION: If ALEC has requested the provision of operator(s) for the Equipment per the Purchase Order, the Supplier shall ensure operators with the highest skills, expertise, and competencies (the "Operator(s)”) accompany the Equipment to operate it during the specified times and at the designated site (the “Site”). The Supplier shall ensure that the Operators hold all necessary licenses, permits, and certificates required for operating the Equipment. ALEC reserves the right to request the removal or replacement of an Operator if deemed inadequate at ALEC's sole discretion.
RENTALCHARGES: Except as otherwise stated in the Purchase Order, the rental charges specified are deemed to be fixed and all-inclusive. These charges include transportation and delivery to the Site, all costs associated with the installation and operation of the Equipment (including mobilization and demobilization fees, Operator expenses such as salaries, benefits, accommodation, etc.), insurance costs, and fuel charges.
SUPPLIER'SRISK: The Equipment shall remain at the sole risk of the Supplier at all times until delivered and accepted at the Site.
DELIVERYAND RECEIPT: The Supplier must take all necessary precautions to prevent damage to the Equipment during transportation and installation on-site. If the Equipment is packed, packages must contain a packing slip with the Supplier’s name and a detailed description of the contents. All packing materials (if any) shall remain Alec's property unless otherwise stated in the Purchase Order. The Equipment is considered delivered only upon receipt by ALEC’s authorized representative, evidenced by a signed receipt (the “Receipt(s)”).
IDENTIFICATION: Upon delivery, the Supplier must provide ALEC with a certificate listing the Purchase Order number, job number, and Equipment details, including net and gross weights and quantities.
SPECIFICATIONS: The Equipment must comply with the specifications set out in the relevant Purchase Order. If no specifications are provided, the Equipment must be suitable for its intended purpose and of the highest quality and standards.
INVOICES: Original invoices, along with copies of the Receipts, must be sent directly to ALEC with the relevant Purchase Order and job number.
TERMS OF PAYMENT: Unless otherwise stated, payment against original invoices (with Receipts attached) received by the seventh (7th) day of the month will be made on or about the last day of the following month, provided that the Equipment and operation are satisfactory. Payments will be made by cheque at the Supplier's risk unless otherwise agreed by ALEC. Invoices received after the seventh (7th) day of the month will be paid within eighty (80) business days of receipt.
GENERAL INDEMNITY: The Supplier shall fully indemnify and hold ALEC, its affiliates, employees, officers, and agents harmless from any claims, actions, demands, or losses arising out of or related to the Equipment or its operation. This includes all costs, expenses, and legal fees incurred by ALEC.
INDEMNITYAGAINST INFRINGEMENTS OF PATENTS, ETC.: The Supplier indemnifies ALEC against any claims related to unauthorized use or infringement of intellectual property rights, including patents, trademarks, or other proprietary rights, in connection with the Equipment.
INSURANCE: The Supplier is required to obtain and maintain comprehensive insurance policies throughout the Rental Period, covering the Equipment on-site, during transportation, and for third-party liability. These policies must meet the standards and requirements specified in Annex 1 and must include the following clauses:
- Primary Clause: The Supplier's insurance is primary to any other insurance covering the same risk.
- Indemnity to Principal Clause: ALEC, its affiliates, officers, employees, and agents are indemnified under this policy.
- Evidence of payment for insurance premiums and copies of insurance certificates must be provided to ALEC upon request.
CESSION: The Supplier may not assign, transfer, or sublet the Purchase Order without ALEC’s written consent.
INSPECTION: ALEC reserves the right to inspect the Equipment upon delivery or while in operation. If the Equipment does not meet the specifications or is defective, ALEC may reject it or require the Supplier to make corrections.
WARRANTIES: If defects arise in the Equipment during the Rental Period, ALEC may require the Supplier to promptly remedy or replace the Equipment at the Supplier’s expense. If the Supplier fails to do so, ALEC may reject the Equipment and claim a refund or continue the rental with a reduction in charges.
CANCELLATION: If the Supplier fails to deliver or operate the Equipment on time or breaches any conditions, ALEC may cancel the Purchase Order without compensation. ALEC may rent similar equipment from a third party, and the Supplier shall reimburse ALEC for any additional costs incurred.
ALEC'S RIGHTS: These terms and conditions do not prejudice any other rights or remedies ALEC may have under the law or the Purchase Order.
NOTICES: All notices, approvals, or communications must be sent by registered letter, fax, or email to the parties' addresses listed in the Purchase Order.
SEVERABILITY: Each provision of these terms and conditions is enforceable independently. If any provision is found invalid, it will be modified to be valid, and the remaining provisions will remain in effect.
AMENDMENTS: No amendments to these terms and conditions will be effective unless agreed upon in writing and signed by ALEC's Project Manager or Commercial Manager.
APPLICABLE LAW: These terms and conditions are governed by the laws and regulations of the respective jurisdiction: Riyadh, KSA for KSA Purchase Orders.
JURISDICTION: The courts of Riyadh, KSA, shall have exclusive jurisdiction for disputes arising from KSA Purchase Orders.
ANNEX 1 – INSURANCE POLICIES
A. Equipment insurance on Site and during Transportation
- Coverage: Physical loss or damage to the Equipment on an all risks basis, including war risks during transportation under any marine cargo insurance policy, if applicable.
- Insured: Supplier
- Period Insured: From commencement of the Rental Period until removal of the Equipment from the Site.
- Insured Value: The total replacement cost value of the covered property.
B. Third Party Liability Insurance
- Coverage: Against legal liability to third parties for any loss or damage to properties, death or personal injuries, and which result or are presumed to result or arise out of or occur while the Equipment is being delivered and/or operated on the Site.
- Insured: Supplier
- Additional Insured(s): ALEC and any other parties as may be agreed upon by the Parties, all for their respective rights and interests.
- Period Insured: From commencement of the Rental Period until removal of the Equipment from the Site.
- Limit of Indemnity: AED [●] each and every event minimum.
- Deductible: AED [●] for material damage only, NIL for bodily injury or death.
- Permitted Exclusions: To include:
auto liability; aircraft liability; pollution and contamination unless caused by sudden, identifiable, unintended and unexpected events; fines; and damages of a punitive or exemplary nature.
Main Extensions: To include: cross liability clause; sudden and accidental pollution; primary clause; and subrogation waiver clause in favour of ALEC and/or any other parties as may be agreed upon by the Parties.
C. Workmen’s Compensation Insurance
- Coverage: Workmen’s compensation coverage to include all activities to comply fully with all applicable laws including UAE Labour Law 1980 Chapter VIII and subsequent amendments or any other applicable laws in respect of the Insured’s employees.
- Insured: Supplier
- Period Insured: From commencement of the Rental Period until removal of the Equipment from the Site.
- Insured Value: The limit required by applicable laws.
Main Extension: To include: primary insurance clause; and subrogation waiver clause in favour of ALEC and/or any other parties as can be agreed upon by the Parties.
D. Employer’s Liability Insurance
- Coverage: Employer’s liability in respect of Insured’s employees.
- Insured: Supplier
- Period Insured: From commencement of the Rental Period until removal of the Equipment from the Site.
- Insured Value: Combined single limit of not less than AED [●] per occurrence or if higher the limit required by applicable laws.
Main Extension: To include: primary insurance clause;subrogation waiver clause in favour of ALEC and/or any other parties as can be agreed upon by the Parties; and indemnity to principal clause.
E. Motor Vehicle Insurance
- Coverage: Liability for damage to property or bodily injury to third parties arising out of the ownership, the use or maintenance of motor vehicles owned, leased or hired by the Supplier, in accordance with applicable laws, conditions and limits in line with local practice.
- Insured: Supplier
- Period Insured: From commencement of the Rental Period until removal of the Equipment from the Site.
-Insured Value: Not less than the limit required by applicable laws.
