1. Receipt of a 'purchase order' forms the basis of the supply agreement. M.P.A.reserves the right to refuse acceptance of a 'purchase order'. 'Verbal' purchase orders are accepted at the discretion of M.P.A. and will be covered by the same terms set out below.
2. M.P.A. limits their liability on production of 'design'(s) to the creation of the drawing(s) / image(s). Approval of the functionality of the design is the responsibility of the customer. M.P.A will endeavour to assist the customer in this approval by production of 'prototype' samples if requested. The design will be deemed to be accepted upon receipt of the 'tooling' order.
3. M.P.A. retains ownership of any design which has been created by M.P.A. and which has not been paid for in the terms of the initial agreement. Design work is either charged as a 'fee' or included in the tooling cost, this will be made clear at the start of any project.
4. 50% of tooling cost must be received before manufacture of tooling begins and confirms acceptance of the design.The drawings, 3D models and specifications whether produced by M.P.A. or supplied by the customer, at this stage are the 'final' designs. Any design changes or modifications required after this date will incur additional charges:-
i. Should the tooling require replacement or modification.
ii. Or specification changes result in an increase in material or production costs.
5. Samples will be provided for approval after completion of tooling. Should any changes be required at this stage due to the components not being approved to current drawings or specifications, new sample(s) will be produced to correct any non conformances to the specification, which was agreed at acceptance of tooling order. Changes required due to an alteration of the specification or requirement since the agreement at acceptance of tooling order may incur further charges for tooling replacement or modification.
6. Receipt of the remaining 50% of tooling cost confirms approval of the design and acceptance of the suitability of the samples provided.
7. Upon complete payment of the tooling cost, ownership of the tooling passes to the customer. If the tooling is required to be moved to an alternative supplier or imported into the UK, all costs for this are the responsibility of the tooling owner, including any packaging, freight, VAT and duty payments. Any maintenance costs, repair or replacement costs are also the responsibility of the tooling owner. Due to the variance in layout, operation and specification of the machines on which the tooling could be used, no guarantee is made that the tooling produced will operate successfully on alternative machines or equipment. The tooling is manufactured and designed only for the machines and equipment for which it is initially intended to be used on. The responsibility for the successful operation of the tooling on alternative machines and equipment remains with the tool owner. M.P.A. has no responsibility for the tooling once the ownership has passed to the customer.
8. Production quantities will not be produced until all tooling costs have been paid and samples have been approved.
9. M.P.A. reserves the right to refuse purchase orders for components or products if specifications or design are changed without completing further sample approvals.
10. Quotations will be valid for a period of 20 days from receipt, however increases in material cost, exchange rate (changes between US dollar and GB pound) or freight cost greater than 5% may cause an alteration in the quoted price within this time period.
11. M.P.A. reserves the right to alter quoted prices throughout the lifetime of the supply to reflect changes in costs.
12. Payment terms are to be negotiated during the initial discussions, these are negotiable, however the standard payment terms will be 100% of the purchase order value on receipt and acceptance of the goods.
13. Information on rejected goods must be received by M.P.A in writing within 3 working days of receipt of goods, otherwise the goods will be deemed to have been accepted.
14. M.P.A. limit their liability to the replacement of any goods rejected due to poor workmanship or failure to meet the specification. Replacements will be produced within the standard supply time frame. Any replacement parts required to be shipped by an alternative means (for example airfreight) will be at the customers cost. The standard supply timeframe will be 6 weeks for production and 6 weeks for delivery. M.P.A will endeavour to reduce this timeframe where possible, if a reject / replacement situation occurs.
15. M.P.A. will not be responsible for additional cost incurred by the customer due to the customers terms and conditions. For example late delivery penalties or costs incurred through re-call of parts.
16. M.P.A. reserves the right to make alterations to the Terms and Conditions at any time. The detail of these terms and conditions can be supplied in writing to any customer who requests them. Agreement to deal with M.P.A. either confirmed in writing or implied by action shall be deemed to be acceptance of these terms and conditions.
Material Procurement Asia - M.P.A.
Purchase Order - A request for production of goods or supply of services.
Verbal Order - A spoken request for production of goods or supply of services.
Design - The creation of drawings or models to the customers specification.
Prototype - Initial sample manufactured outside of the normal production methods to assist in approval of designs.
Fee - Payment for services carried out, other than the supply of goods.
Tooling - Equipment required for the manufacture of a component or product.
Final Design - The drawings / models and specifications which are accepted at the placement of the tooling order whether created by M.P.A. or supplied by the customer.