Supplier Terms and Conditions

ACCEPTANCE OF ORDER
Commencement of work of any or all items (which includes without limitation, raw material, piece parts, subassemblies, secondary operations and services) or performance or shipment of all or any portion of this order shall constitute acceptance by the seller of this order upon the terms and conditions and prices set forth herein.

CUSTOMER COMMUNICATION
KomTek Forge quality assurance must be notified if any changes that may affect quality. This must be documented and communicated this includes but not limited to change of key personnel, change of location, inspection techniques etc.

RIGHT OF ENTRY
KomTek Forge and its customers and regulatory agencies reserve the right of entry to any place necessary to determine and verify the quality of the contracted work, records, and material.

EQUAL OPPORTUNITY
The seller warrants that all goods and services are produced in compliance with all government equal opportunity regulations.

WARRANTIES
In addition to all warranties, expressed or implied, established by statutes or common law or set forth in this order seller hereby expressly warrants that all goods and services covered by this order will conform to all specifications, drawings, samples and any other description, furnished or adopted by seller will be of best quality and sufficient for the purpose intended and free from all patent and latent defects. The warranties of the seller together with its service warranties and guarantees, if any, shall run to the purchaser and its customers for a period of one year after acceptance, unless the seller has a standard warranty in excess of one year in which the longer warranty shall control.

SHIPPING
Each package or shipment must be accompanied with a packing slip showing our purchase order number, our part number, item, quantity and weight where necessary. Our order number and item must appear on the invoice and bill of lading. We reserve the right to cancel all or any part of this order upon which deliveries have been delayed beyond our specified time and charge seller with any cost incurred unless deferred shipment has been authorized.

INSPECTION/REJECTION:
Payment for any goods or services under this purchase order shall not constitute acceptance thereof and Buyer reserves the right to inspect all goods or services purchased hereunder at Buyer’s discretion and to reject non-conforming goods or services or revoke acceptance of non-conforming goods or services. At Buyer’s option and at Seller’s risk and expense, Buyer may return non-conforming goods or services to Seller, require Seller to grant a full refund or credit to Buyer for non-conforming goods or services, hold non-conforming goods or services for disposition by Seller or rework non-conforming goods or services to detect and correct non-conformities. In the case of value-added type services rendered against KomTeK owned goods, resulting in a non-conformity or damage of any kind to said goods in excess of 2% of the purchase order quantity, Buyer may require Seller to grant a credit to Buyer in an amount not less than KomTeK’s manufacturing costs to date, as well as any additional costs incurred by KomTeK as a result of the non-conformity or damage. In the event of nonconforming goods or services, Seller shall, within 20 days from notice thereof by Buyer, submit a written corrective action report to Buyer. Such report shall identify the root cause of the nonconformance, identity of affected goods and services, and a corrective action plan, for Buyer’s review and approval. Acceptance of any part of the goods ordered hereunder shall not bind Buyer to accept future shipments or waive its right to revoke acceptance of goods previously delivered.

INSURANCE
Seller will maintain at its own expense adequate automobile and property insurance and workman’s compensation in accordance with state regulations. The seller further agrees that in furnishing materials or the performing of any service under this order that it will hold harmless and defend the buyer from any and all claims by others, not caused by negligence of the buyer, and will assume all costs and expenses in connection therewith.

ASSIGNMENT
Seller shall not assign or subcontract this purchase order or any rights hereunder without the consent of the purchaser.

DRUG AND ALCOHOL
Seller must ensure that they maintain a drug and alcohol-free workplace. KomTek Forge requires that all subcontracts maintain an active drug and alcohol policy and may request relevant documents pertaining to such policies.

DELIVERY
Time is of the essence in this contract and if delivery of items or rendering of services is not completed by the time promised purchaser has the right without liability and in addition to its other rights and remedies, to terminate this contract by notice effective upon receipt by seller as to stated items not yet shipped or services not yet rendered and to purchase substitute items or services elsewhere and charge seller with any loss, expenses, or incidental or consequential damages incurred or suffered. Shipments sent C.O.D. without purchases written consent will not be accepted.

PAYMENT
Regardless of shipment or payment terms, payment for any article hereunder shall not be deemed an acceptance hereof. If payment by installments is permitted under this order. Seller waives any right to accelerate the amount due by reason of a failure by Purchaser of whatever duration to pay one or more installments.

PREVENTION OF COUNTERFEIT PARTS
The supplier shall have a policy or procedure to cover and apply requirements practices and methods to mitigate risk of providing counterfeit parts or materials to Komtek.

AWARENESS
The supplier shall ensure that persons performing work under its control are aware of their contribution to product safety including Foreign Object Damage (FOD) and the importance of ethical behavior.

SUPPLIER PERFORMANCE
The suppliers will be monitored on a continuing basis to evaluate their performance.

Revisions Description of changes Date
1 Original document  
2 Added “Drug and Alcohol” section  
3 Added CUSTOMER COMUNICATION 4/28/15
4 Changed KomTek Technologies to KomTek Forge 6/30/16
5 Added Prevention of Counterfeit Parts & Awareness 7/21/17
6 Added Supplier Performance 1/30/24