1. Payment
1.1 The Supplier shall comply with and/or aid Astley in complying with the requirements of any electronic e-procurement system being used generally or on a designated project relating to the Provision of Goods and as amended from time to time.
1.2 In consideration of the Supplier providing the Goods, Astley shall pay all valid invoices for charges as detailed in the Purchase Order or specific Works Instruction within 65 days of the later of the date of the invoice or the date upon which Astley received the invoice. Such invoice only being issued by the Supplier following both the confirmed receipt and acceptance by Astley of the Goods from the Supplier, such confirmation being, either a signed Delivery Note completed by the relevant authorised representative of Astley or any other specific ‘Sign – Off’ procedure applicable and required by Astley at that time, including providing Astley with a written or electronic record of the same.
1.3 All prices, rates and charges referred to in this Agreement are exclusive of value added tax (“VAT”) but inclusive of packaging, insurance, carriage and all other charges, taxes and duties. The Supplier shall identify any part of any invoice that is zero-rated for or exempt from VAT with a full explanation.
1.4 Astley shall have the right to set off any payment due to the Supplier or which at anytime may become due under a valid invoice against any sums owed to Astley by the Supplier under this Agreement or otherwise.
1.5 If any sum due and payable under this Agreement is not paid by Astley in accordance with the agreed payment terms, the Supplier shall be entitled (without prejudice to any of its other rights) following receipt by Astley of written notice from the Supplier, to charge interest at the rate of 1 percent above the base rate of the Bank of England from time to time in force from the
date of such notice until the date of actual payment. Interest shall not accrue or be payable where monies are set off or withheld pursuant to Paragraph 1.4. The parties agree that the right to claim interest under this Paragraph is a substantial remedy for late payment and is in substitution for any statutory or other right to claim interest and/or other remedy for late payment under the Late Payment of Commercial Debts (Interest) Act 1998 as amended.
2. Intellectual Property Rights and Data Protection
2.1 Unless agreed between the parties, this Agreement does not assign or otherwise transfer any Intellectual Property Rights (which for the purposes of this Agreement is defined as all intellectual property rights whether or not registered or registerable and including all extensions, renewals and applications thereof and including without limitation all copyright, trade marks, trade names, design rights, goodwill, database rights, confidential information, trade secrets or know-how) existing at or prior to the date of this Agreement (the “Pre-Existing IPR”). Neither party may assert ownership of the other party’s Pre-Existing IPR.
2.2 The Supplier hereby assigns to Astley with the fullest extent possible and for Astley to hold absolutely, with full title guarantee an free from all third-party rights and encumbrances, all Intellectual Property Rights and all items created through the performance of its obligations under this Agreement.
2.3 Each party hereby grants to the other a nonexclusive, royalty free licence of its Pre- Existing IPR for the duration of this Agreement:
(a) in the case of such licence granted to the Supplier, to the extent required to provide the Goods and otherwise comply with its obligations under this Agreement; and
(b) in the case of such licence granted to Astley, to enable Astley to receive, use and enjoy the required Goods.
(c) Neither party may assign, licence, grant security over or otherwise transfer the other party’s Pre-Existing IPR.
2.4 The Supplier shall ensure and undertake to procure that all moral rights in the Goods and any other deliverables are waived irrevocably and unconditionally and are not asserted.
2.5 Neither party shall use any trade name, logo or other trademark of the other, without their prior written agreement.
2.6 Each party shall indemnify, keep indemnified and hold the other harmless from all claims and all direct, indirect and consequential liabilities, costs, proceedings, damages, losses and expenses (including legal and other professional expenses), awarded against, or incurred or paid by, the other party or its supplier(s), sub-supplier(s) and/or subcontractor(s) as a result of or in connection with any proven or accepted claim that the Goods themselves or the use or provision of the Goods infringes the Intellectual Property Rights or any other rights of a third party or is otherwise unlawful.
2.7 In the event that a party fails to comply with the provisions of Paragraph 2.6 then it shall defend, indemnify, keep indemnified and hold the other harmless on demand against all losses, costs, fines, claims and proceedings arising from such failure to comply.
3. Indemnity
3.1 The Supplier shall indemnify, keep indemnified and hold Astley harmless from all claims and all direct, indirect and consequential liabilities, costs, proceedings, damages, losses and expenses (including legal and other professional expenses), awarded against, or incurred or paid by, Astley or its other suppliers or subcontractors, as a result of or in connection with the following:
(a) with regards to the rules on remoteness, any breach of any of the Supplier’s contractual obligations under this Agreement or any statutory or regulatory breach.
(b) any claim made for any liability, loss, damage, injury, cost or expense to the extent that any such liability, loss, damage, injury, cost or expense was caused by, relates to or arises from a direct or indirect breach or negligent performance, or any fraud, dishonesty or illegality or failure or delay in performance of the Agreement by the Supplier; and
3.2 The entire liability of Astley to the Supplier arising out of or in connection with this Agreement for any direct, indirect and consequential liabilities, costs, proceedings
damages, losses and expenses (including legal and professional expenses) whether arising from contract, tort, negligence or otherwise, shall be limited in each year of the term of this Agreement to 100% of the sum paid to the Supplier by Astley under this Agreement in that year.
3.3 Nothing in this Agreement excludes or limits the Supplier’s or Astley’s liability in respect of:
(a) death or personal injury caused by its negligence (including negligence of its employees, agents, supplier(s), sub suppliers and/or sub-contractors); or
(b) fraud or fraudulent misrepresentation.
4. Insurance
4.1 The Supplier shall obtain and maintain at all times:
(a) all insurance necessary to insure any necessary and relevant Goods against all risks (including, but not limited to, the risks of carriage and product liability and risks related to consumer protection legislation or other laws which impose liability as a result of the manufacture, sale or distribution of products)until such time as risk in the Goods passes to Astley in accordance with Paragraph 7.1;
(b) all insurance necessary to insure all other risks which may arise in connection with this Agreement;
(c) Employers Liability and Public liability insurance; and
(d) all other insurance required by law. Such insurance cover shall be of an amount adequate to cover everything a reasonably prudent supplier would insure when providing Goods similar to those of the Supplier in order to cover its obligations under this Agreement but shall in no event be less than any Statutory or other designated market minimum.
4.2 The Supplier shall take all reasonable steps to ensure that (if generally commercially available) the general interest of the Supplier’s customers (including Astley) is noted on each insurance policy and, if requested by Astley, the Supplier shall provide Astley with documentary evidence of the existence of such insurance policies and of the payment of the relevant premiums.
5. Warranty
5.1 The Supplier shall warrant, represent and undertake that at all times:
(a) its obligations under this Agreement shall be performed with all reasonable diligence, skill and care, and in accordance with the Goods specification previously agreed and set out in the Purchase Order or specific Works instruction and otherwise in accordance with the relevant best industry practice and this Agreement (in the event that there is any conflict between these standards, the higher standard shall prevail).
(b) all Goods shall be free from all encumbrances and shall be of satisfactory quality (within the meaning of the Consumer Rights Act 2015) and fit for any purpose held out by the Supplier or made known to the Supplier by Astley or of which the Supplier was or should have reasonably been aware.
(c) all Goods shall be free from defects in design, material and workmanship and should be both warranted and guaranteed by the Supplier for the specific period stated within the relevant accepted Tender, Purchase Order, specific Works Instruction or as otherwise specifically agreed.
(d) it shall comply with all applicable statutory and regulatory requirements including any applicable codes of practice having the force of law or otherwise.
(e) it shall ensure that all of its staff perform this Agreement without causing any damage to Astley’s business, public image, reputation and goodwill; and
(f) the Goods required, and Astley’s use of such Goods shall not infringe the Intellectual Property Rights or other rights of any third party or contain any material which is defamatory, libellous, which breaches any rights of privacy, or which is otherwise unlawful or illegal.
6. Delivery and Acceptance
6.1 Subject to and without limitation or prejudice to Paragraph 7.2, Astley shall not be deemed to have accepted any Goods until Astley has confirmed both its receipt and acceptance of such Goods from the Supplier. Such confirmation being either a signed Delivery Note completed by the relevant authorised representative of Astley or any other specific ‘Sign –off’ Procedure applicable and required by Astley at that time, including providing Astley with a written or electronic record of the same.
6.2 If any Goods delivered to Astley do not comply with Paragraph 5.1, or any other terms of this Agreement, then, without limiting any other right or remedy that Astley may have, Astley may reject those Goods and:
(a) require the Supplier to remove and replace the rejected Goods at the Supplier’s risk and expense within five (5) business days of being requested to do so or within such shorter time as Astley may specify; or
(b) require the Supplier to compensate Astley in an amount equal to the price paid or payable regarding the rejected Goods; and
(c) claim consequential and any other damages for any other costs, expenses or losses resulting from the Supplier’s delivery of Goods which are not in conformity with the terms of this Agreement.
6.3 The Supplier shall deliver the Goods in accordance with the terms of this Agreement and to the address set out in the Purchase
Order or specific Works instruction, unless otherwise advised in writing by an authorised representative of Astley. Time shall be of the essence for delivery of all Goods and for the performance by the Supplier of its other obligations under this Agreement. If the Goods are not delivered in accordance with the details set out in the Purchase Order or specific Works Instruction then, without limiting any other right or remedy Astley may have under this Agreement in law or in equity, Astley may at their option:
(a) in relation to the required Goods, refuse to take any subsequent attempted delivery of such Goods; and
(b) obtain substitute goods as applicable from another supplier and recover from the Supplier any costs and expenses reasonably incurred by Astley in obtaining such substitute goods.
6.4 The rights and remedies of the parties in connection with this Agreement are cumulative and, except as expressly stated in this Agreement, are not exclusive of any other rights or remedies provided by this Agreement, law, equity or otherwise. Except as expressly stated in this Agreement (or in law or in equity in the case of rights and remedies provided by law or equity) any right or remedy may be exercised wholly or partially from time to time.