Conditions of Sale

1. Acceptance

These terms and conditions are the complete and exclusive statement of the terms of sale of goods by ROTEX GLOBAL, LLC, (“Rotex”) to Buyer. Buyer agrees to all these terms and conditions by its issuance of a purchase order, acceptance of any part of the goods, or otherwise. The acceptance by Rotex of any order is expressly conditioned upon Buyer accepting all these terms and conditions and any additional or different terms or conditions contained in Buyer’s order or otherwise will be deemed rejected and of no effect. Rotex reserves the right to accept or reject all orders.

2. Terms of payment

Terms of payment, unless otherwise stated, are net thirty (30) days from date of invoice. Rotex will ship goods contingent upon reasonable assurance of payment. Payment will be made in full without deduction, delay, set-off or counterclaim. Time is of the essence and all delinquent amounts will accrue interest at 1-1/2% per month or the maximum rate permitted by law, whichever is less.

3. Shipment

Unless otherwise agreed, for United States domestic shipments: F.O.B (Rotex’s facility). For international shipments: Ex Works (Incoterms). Title and risk of loss to the goods will pass upon delivery to carrier. Shipments will be routed according to Buyer’s instructions, or if not specified, according to Rotex’s convenience. If agreed, Rotex will pre-pay transportation charges, which will be added to the purchase price. Partial shipments will be made only on approved request. If Buyer refuses shipment, or requests Rotex hold goods pending shipment, Buyer will reimburse Rotex one percent (1%) of the purchase price for each week shipment is delayed. Such fees are due upon invoice by Rotex and goods will not be shipped until such fees are paid in full.

4. Cancellation

Unless otherwise agreed, if Buyer cancels an order prior to shipment, Buyer agrees to pay Rotex, as liquidated damages and not as a penalty, a cancellation fee, payable upon cancellation, in an amount equal to the following:

Approval Drawings Issued 5% of order value
Approvals Returned and Certified Engineering Complete 10% of order value
Materials Purchased and Received 30% of order value
Major Component Fabrication Started 50% of order value
Major Component Fabrication Complete 80% of order value
Final Assembly Complete 100% of order value

Upon the failure of Buyer to meet any stipulated commitment dates for its performance, Rotex may, at its option: a) deem Buyer’s non-performance as acceptance/consent and proceed with performance of this Agreement; b) provide Buyer with written notice of a deadline extension; or c) deem Buyer’s failure to meet the deadline as Buyer’s cancellation of this Agreement subject to the fees described above.

5. Taxes

Prices do not include any duty or any national, state, provincial or local taxes, or other governmental charges. Buyer will pay all such taxes and charges.

6. Warranty

For one year from date of shipment, all Rotex goods will be free from defects in material and workmanship and will conform to the standards and specifications set forth in Rotex’s proposal and/or any drawings furnished by Buyer and/or approved by Rotex. THE FOREGOING WARRANTY IS IN LIEU OF ALL OTHER WARRANTIES, WHETHER EXPRESSED OR IMPLIED, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. This warranty does not cover expendable items subject to normal wear such as screen clothing, connecting sleeves or sealing strips. Rotex makes no warranty for goods or material not manufactured by Rotex. Such goods or materials will carry only the warranty of their manufacturer.

7. Remedies

In the event of a breach of Rotex’s warranty, Rotex will, at its option, either: i) refund the purchase price; or ii) repair or replace the goods, or any part thereof, Remedies do not extend to any goods which have been subject to misuse, neglect, accident, incorrect wiring, improper installation, or to goods used in violation of instructions furnished by Rotex, or to goods which have been repaired or altered by anyone other than personnel authorized by Rotex. In the event of a claim, Buyer will: (i) insure the goods are intact for examination by Rotex; (ii) provide written notice of the specific defect within ten days of the appearance and/or occurrence of the defect. The foregoing is Buyer’s sole and exclusive remedy for any claim.

8. Returned Merchandise

Rotex will not accept returned goods for credit without its prior written consent. All items are subject to a 25% restocking fee, which will be deducted from your original balance.

9. Limitation of Liability

In no event will Rotex be liable for any incidental, consequential, punitive or special damages of any kind. In no event will Rotex’s total liability exceed the purchase price of the goods in question.

10. Force Majeure

Neither party will be held responsible for being unable to carry out this Agreement due causes beyond its reasonable control including, but not limited to, strikes, fires, accident, explosion, riots, war, acts of government or Acts of God, which prevents it from fulfilling its obligations under this Agreement or which reduces utilities, raw materials or other items needed to fulfill its obligation under this Agreement. The impacted party will advise the other party of the occurrence of such an event within fourteen days thereafter. If such event lasts for more than sixty (60) days, the unaffected party may, with written notice, terminate this Agreement without penalty.

11. Governing Law and Compliance with Law

These terms and conditions will be governed by the laws of the State of Ohio, U.S.A., without regard to conflict of laws statutes. The parties agree to perform their obligations under these terms and conditions in full compliance with all relevant laws, rules and regulations applicable in connection with the sale, shipment or use of the goods, including, but not limited to, the U.S. Foreign Corrupt Practices Act, U.S. export control regulations, export regulations of all U.S. agencies, U.S. embargo regulations, export control or anti-bribery laws and any other applicable anti-corruption or anti-bribery act.

12. Assignment

A party will not sell, assign, or transfer this Agreement, or any part hereof, or any performance due hereunder, without the prior written consent of the other party. Each party will give prompt written notice of any material change in its financial standing, ownership, organization or any other operational change that may affect its performance under this Agreement. In the event of any adverse material change, the unaffected party reserves the right to cancel or terminate this Agreement without penalty or further obligation other than to pay Rotex for any completed and satisfactory performance to the date of such cancellation or termination.

13. Change Requests

Buyer may request changes in the goods by written notice to Rotex. Change requests will be in writing and signed by a duly authorized representative of Buyer. Rotex will respond to Buyer in writing within fifteen (15) business days of receipt either accepting the change, with a written proposed adjustment in price or schedule (if any), or rejecting the change. Buyer will be deemed to have accepted any change unless objected to in ten (10) days.

14. Confidentiality

All data, designs, documents, drawings, specifications, communications and other information, revealed or disclosed in any form or manner (whether written, oral, electronic, visual, graphic, photographic, observational, or otherwise), including any documents or other tangible items supplied, or produced or created hereunder (collectively defined as “Confidential Information”) are proprietary and confidential to the disclosing party and will be used solely for purposes of performing this Agreement. All such Confidential Information will be treated and protected by the receiving party as confidential, and will not be disclosed to any third party without the prior written consent of disclosing party and may be disclosed within receiving party’s organization only on a need-to-know basis. The provisions protecting Confidential Information in any separate confidentiality, secrecy, or nondisclosure agreement heretofore executed by the parties in connection with this Agreement, or any other contract pertaining to the goods, are hereby expressly incorporated within this Agreement, and these provisions are in addition to such agreement. Upon request of disclosing party, receiving party will immediately return to the disclosing party any Confidential Information provided, either upon demand, or upon completion of the warranty period hereunder, including all copies made by receiving party. The obligations in this Section 14 will survive the termination or expiration of this Agreement for three (3) years.

15. Default and Termination for Cause

In the event of a party’s: (a) actual or anticipated breach of or default of this Agreement, which has not been cured within thirty (30) days of written notice of such; (b) organizational or operational change that may adversely affect a party’s performance hereunder; or (c) any actual or threatened bankruptcy, reorganization, receivership, insolvency, making an assignment for the benefit of creditors, liquidation, dissolution, or other financial or organizational instability; the other party has the right, in addition to any rights or remedies, at law or in equity, to require appropriate assurances of performance, including a performance bond, letter of credit, or other type of guarantee. Should the defaulting party not do so, the non-defaulting party may immediately terminate this Agreement for cause by written notice without any costs of cancellation.

16. Intellectual Property Rights

Rotex will defend Buyer from any third party claim that the goods infringe any third party’s existing United States patent, trademark, or copyrights and will pay Buyer any final assessment of damages incurred as a result of any proved infringement of any third party’s United States patent, trademark or copyright. Buyer guarantees that any specifications, projects, designs, information or services rendered by Buyer will be of such nature that will not cause any infringement to third parties intellectual property rights by Rotex. Buyer will indemnify, defend and hold Rotex harmless from any such infringement claims.

17. Relationship of the Parties

Neither party undertakes, by this Agreement or otherwise, to perform or discharge any liability or obligation of the other party, whether regulatory or contractual, or to assume any responsibility whatsoever for the conduct of the business or operations of the other party. Nothing contained in the Agreement is intended to give rise to a partnership or joint venture between the parties or to impose upon the parties any of the duties or responsibilities of partners or joint ventures.

18. Non Waiver and Variations

Any failure, delay or omission of any party in exercising its rights under this Agreement will not constitute a waiver, nor will any single or partial exercise of any right preclude any other future exercise thereof. Any change this Agreement will be effective only by a written addendum executed by both parties.

19. Severability; Survival

Should any clause, portion or paragraph of this Agreement be unenforceable or invalid for any reason, such unenforceability or invalidity will not affect the enforceability or validity of the remainder of this Agreement. Neither termination nor expiration of this Agreement for any reason will release either Party from liabilities or obligations set forth herein which either: (a) the Parties have expressly agreed will survive such termination or expiration; (b) remain to be performed; or (c) by their nature would be intended to survive, including, but not limited to, confidentiality.

20. Software

To the extent Rotex sells to Buyer goods incorporating computer software, including firmware and user documentation (“Software”) in any medium (which goods provided by Rotex may also be referred to as “Microprocessor-Based System(s)”), the following will apply:

a. Buyer is hereby granted a non-transferable (except as provided in subparagraph (C) hereinafter) and non-exclusive license to use the Software only in Microprocessor-Based System(s) supplied by Rotex.

b. Buyer acknowledges the Software constitutes valuable proprietary, confidential and trade secret information of Rotex. Without prior written consent of Rotex, Buyer will not do, or permit or assist others to do, any of the following: (i) allow the Software or any part thereof (including but not limited to the microcode) to be used by any person or entity except Buyer’s employees or agents, and then only to the extent necessary in the scope of employment or agency; (ii) copy or otherwise reproduce, disassemble, modify, update, translate, transform into other form, or enhance the Software; (iii) read-out or display, in whole or in part, the Software stored in memory in Microprocessor-Based System (s); (iv) use the Software with any equipment other than Microprocessor-Based System(s) supplied by Rotex; and (v) disclose or permit access to the Software to any person or entity, except to the extent necessary to facilitate permissible use thereof as set forth in subparagraph (b)(i) hereinabove.

c. Buyer will not assign or otherwise transfer the license to Software granted herein except in conjunction with the assignment or transfer of all Buyer’s rights to Microprocessor-Based System(s) and then only if the assignee or transferee agrees in writing to be bound by the terms hereof.

d. Buyer warrants that all persons having access to the Software will observe and perform the obligations set forth in subparagraph (b) and (c) hereinabove.

e. Buyer understands and agrees that the Software is an unpublished work and agrees that the existence of any copyright notice will not be construed as an admission or presumption that publication has occurred.

f. Buyer acknowledges, notwithstanding the license granted in subparagraph (A) hereinabove, that the Software, and all rights thereto, are exclusively owned by Rotex.