Dear Sir,
GENERAL CONDITIONS OF SALE
1Price lists issued by ArcelorMittal South Africa Limited from time to time, are for information only and do not constitute offer for sale.
2Quotations are subject to formal confirmation in writing by ArcelorMittal South Africa Limited after receipt of notification that the order parameters offered by ArcelorMittal South Africa Limited are acceptable to the customer.
3Orders are accepted at prices, transport tariffs and other formally announced ruling conditions at the confirmed expected delivery date, unless otherwise specifically agreed in writing. Prices and rates are as per ArcelorMittal South Africa Limited’s Price Lists as published from time to time. Prices and rates on the Price lists are exclusive of Value Added Tax (VAT).
4After acceptance by ArcelorMittal South Africa Limited, orders shall not be subject to cancellation, or to amendment in any manner whatsoever.
5Purchasers shall not return goods for any reason without having obtained ArcelorMittal South Africa Limited’s prior written agreement. Where such agreement has been obtained, purchasers shall facilitate the return of such goods in accordance with ArcelorMittal South Africa Limited’s arrangements not later than four weeks from the date of such agreement. Rejected goods shall not be sold as scrap or otherwise disposed of without ArcelorMittal South Africa Limited’s prior written approval.
6CLAIMS
6.1Claims in respect of shortages shall be made in writing immediately upon receipt of a consignment of goods, and no claim for any shortages will be recognised unless lodged with ArcelorMittal South Africa Limited within seven days of receipt of the consignment in respect of which a shortage is alleged. In the event of non-delivery of any consignment, whether by rail or road, purchasers shall notify ArcelorMittal South Africa Limited thereof in writing within twenty-one days of the date of receipt by them, or by the consignee, of a copy of the relevant rail or road consignment note.
6.2Claims of a different nature than those mentioned in par. 6.1 should be made within the periods and subject to the requirements as outlined in the most recent applicable ArcelorMittal South Africa Limited Price Lists, Data Sheets, Claims Allowance Policy and Packaging Specification.
7PAYMENT TERMS
7.1ArcelorMittal South Africa Limited’s terms are cash with order. However, arrangements for payment may, at ArcelorMittal South Africa Limited’s discretion, be extended to approved purchasers, in which event accounts for all goods dispatched during any month shall be due and payment reflected in ArcelorMittal South Africa Limited’s bank account on or before the last day of the following month, which shall be deemed to be the due date. Where the last day /days of the month falls on a Sunday and/or Public Holiday, payment should be effected the previous day.
7.2Purchasers shall not under any circumstances be entitled to deduct or set-off any amount from or against amounts due as indicated in ArcelorMittal South Africa Limited ’s monthly statement, unless ArcelorMittal South Africa Limited has given such purchaser prior written authority to do so.
7.3Failure to settle an account by due date shall entitle ArcelorMittal South Africa Limited to disallow any settlement discount, and to charge the purchaser interest at a rate three-percentage point above the ruling prime overdraft rate as determined by Standard Bank of South Africa. Furthermore, ArcelorMittal South Africa Limited may elect to cease deliveries of any other orders until the account has been settled in full.
7.4Where ArcelorMittal South Africa Limited prices are subject to a settlement discount, this discount is offered specifically in return for early payment and will be allowed only in respect of payments reflected inArcelorMittal South Africa Limited ’s bank accounton or before the last day of the month during which the payment falls due. Where the last day /days of the month falls on a Sunday and/or Public Holiday, payment should be effected the previous day.
7.5No interest will be payable to the purchaser as a result of any advance payment. Payments for advance dispatches, requested by the customer, may not be deducted from the balance due at the end of that particular month.
- WARRANTY AND LIMITATIONS
General
ArcelorMittal South Africa Limited undertakes to see that goods supplied by ArcelorMittal South Africa Limited will conform to specifications and/or to any requirements specifically accepted by ArcelorMittal South Africa Limited on the Order Confirmation in respect of each order. However, ArcelorMittal South Africa Limited gives no warranty, express or implied, in respect of goods, workmanship or fitness of material for any particular purpose, whether such purpose be known to ArcelorMittal South Africa Limited or not, even if ArcelorMittal South Africa Limited ’s advice regarding such specifications and/or requirements was solicited and/or obtained.
Consequential damages
In the event of the goods proving not to be in accordance with the aforesaid specifications or requirements, ArcelorMittal South Africa Limited shall not be responsible for consequential damages (loss of purchaser’s profit or any direct or indirect or consequential loss or damage) or charges, which may arise there from.
ArcelorMittal South Africa Limited’s liability shall, subject to the Claims Allowance Policy, be limited to compensating the purchaser in its discretion either:
- by way of credit, taking into account its scrap value in cases where it was agreed that goods would not be returned to ArcelorMittal South Africa Limited , plus transport charges incurred by the purchaser in the delivery of goods to him;
- or replacement of the rejected goods, to the same specification and delivered to the originally specified address. Requests for either credit or for the replacement of goods must be submitted together with the complaint, in all cases not later than twelve months after initial delivery. A replacement order has to be placed, and a reasonable time be allowed for such replacement. Replacement cannot be considered in cases where the mass of the rejected goods is less than the minimum order mass, which can be accepted for the product.
- DELIVERY DATES
Delivery dates and/or periods are approximate and are given solely for information purposes. As such, these shall under no circumstances be essential terms.
A delay in delivery including delivery later than the date or dates provided in the contract documents shall not constitute a breach of contract rendering the buyer entitled to cancel the contract or claim any other remedy unless the Seller has guaranteed the date of delivery in a separate written warranty which expressly modifies the provisions of this condition.
10PACKAGING
When goods are dispatched in containers, such as drums or crates, or on spools, such containers or spools are sold together with the goods, unless otherwise agreed in writing. Where applicable, the value of/or deposit on the containers or spools will be indicated separately on the invoice, and it is due and payable at the same time that payment is due for the goods dispatched in this manner.
11DELIVERY AND OWNERSHIP
11.1ArcelorMittal South Africa Limited retains the right to effect delivery by rail or road at the purchasers cost unless otherwise agreed in writing prior to placing an order.
11.2Ownership of the goods shall remain with ArcelorMittal South Africa Limited, until ArcelorMittal South Africa Limited has been paid in full.
11.3The risk of loss or damage shall pass to the Purchaser on delivery of the goods at the specified address by ArcelorMittal South Africa Limited’s transport contractor, or when control of the goods is taken should the Purchaser’s agent, in special cases, be responsible for delivery.
12OWN TRANSPORT
12.1Prior written approval, should the purchaser wish to appoint his own representative/s or agent/s to effect delivery of the goods, written approval has to be obtained from ArcelorMittal South Africa Limited. If approved, the purchaser assumes all risk and/or responsibility for delivery and risk in the goods transfer to the Purchaser as soon as the Purchaser or its Agent takes control of the goods. The purchaser shall have no claim against ArcelorMittal South Africa Limited, who shall not be bound by any terms or conditions contained in such contract of delivery. The purchaser indemnifies ArcelorMittal South Africa Limited against all and any claims of whatsoever nature arising out of such contract/s.
12.2Should the purchaser and/or his representatives and/or agent/s fail to effect delivery of the goods within fourteen (14) calendar days after being informed by ArcelorMittal South Africa Limited that the goods are ready for dispatch, the purchaser will be invoiced as if the goods had been despatched. The risk of loss or damage with respect to the goods shall pass to the purchaser upon the expiry of the aforesaid fourteen (14) day period.
12.3Where a purchaser fails to take delivery of the goods tendered by ArcelorMittal South Africa Limited within the above-mentioned 14 calendar days, ArcelorMittal South Africa Limited shall be entitled to store or have such material stored on behalf of purchasers. All costs and damages relating to the failure of the purchaser shall be for the account of the purchaser. ArcelorMittal South Africa Limited shall in such event be indemnified against any loss or damage, which may be suffered by the purchaser, resulting from such storage.
13INDEMINITY
13.1Purchasers hereby indemnify ArcelorMittal South Africa Limited against all claims, demands, damages, penalties, costs and any expenses to which ArcelorMittal South Africa Limited may become liable by reason of any infringement or alleged infringement of patent letters or registered design arising out of ArcelorMittal South Africa Limited ’s performance of a contract in accordance with the purchaser’s specification.
14SUSPENSION OF DELIVERIES
ArcelorMittal South Africa Limited is hereby granted the right to, without notice and without prejudice to any of its rights and without the insurance of any further liabilities as a result of such suspension, suspend deliveries of its products in terms of this contract between ArcelorMittal South Africa Limited and the purchaser or deliveries of any of its other products, if the purchaser should fail to fulfil any of its obligations in terms of this contract or in connection with any further order by reason of any act of God, war (whether declared or not), force majeure, governmental control, storm, fire, strikes, lockouts, riots, civil commotion, breakdown or partial failure of plant or machinery, inevitable accident or any other circumstances beyond its control, ArcelorMittal South Africa Limited is prevented wholly or in part from fulfilling its obligation under this contract.
If the purchaser should fail to fulfil any of its obligations in terms of this contract (or in connection with any further order) be it by reason of any Act of God, war (whether declared or not), force majeure, governmental control, storm, fire, strikes, lockouts, riots, civil commotion, terrorism, breakdown or partial failure of plant or machinery, inevitable accident or any other circumstances beyond its control, or ArcelorMittal South Africa Limited is prevented wholly or in part from fulfilling its obligation under this contract –ArcelorMittal South Africa Limited is hereby granted the right to suspend deliveries of its products in terms of this contract between ArcelorMittal South Africa Limited and the purchaser, or deliveries of any of its other products, without notice and without prejudice to any of its rights and without the insurance of any further liabilities as a result of such suspension.
15OFF-LOADING MATERIAL (‘SLINGING’) AT THE CLIENTS PREMISES
The duty of the Transporter is to deliver the material to the Customer’s desired destination. This does not include the physical off-loading of the material from the truck. This function lies in the duties of the Customer’s personnel.
Should a driver be ordered to off-load material the legal ramifications are as follows:
Extracts of the Occupational Health & Safety Act No 85 of 1993 of specific relevance are;
- 37. “As the driver of the Contractor uses the machinery of the Client to off-load the steel and this machinery is utilized by the user as well as other contractors and the Contractor obtains no benefit from the use of the machinery, the Client remains responsible for this machinery and has an obligation towards, the Contractor’s driver in terms of Section 9 of the Act.”
- Extract from “Driven Machinery Regulations”: “Sub regulation 11 determines that a user of lifting machines and lifting tackle is not allowed to permit any person to use this machinery unless such a person is trained in the use of the specific machine … “
Should Clients therefore insist that the Contractors’ drivers off-load the steel at their premises, they will be responsible for the health and safety of these drivers in terms of the Act and are responsible for training of these drivers.
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