General conditions of sale

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1. The mass of the goods sold shall be as ascertained by the Seller which mass shall be accepted by both parties as correct.

2. All implied or tacit warranties and condition, statutory and otherwise, whether as to quality, conditions or fitness for any purpose of the goods, are hereby expressly excluded.

3. Any advice or assistance given, whether concerning processing or application possibilities relating to the Seller= s products, technical recommendations or similar indications, machinery or otherwise, is given in good faith but without obligation and subject specifically to the exclusion of any liability whatever on the part of the Seller and its staff for damages whether direct or consequential, or otherwise howsoever.

4. Ownership in and to the goods hereby sold shall not pass to the Buyer until payment has been made in full or until the goods have been disposed of or used in a process of manufacture by the Buyer. If third parties try to assert or substantiate rights, the Buyer shall be obliged to inform the Seller of any such action immediately, and the Seller shall be entitled to take whatever action it may see fit to protect its rights, including cancellation of the sale and repossession of the goods. In the event of any such cancellation of the sale, the Buyer undertakes to look after and keep the goods safe until repossessed and upon request from the Seller the Buyer undertakes to hand over and return the goods to the Seller.

5. Where the Buyer collects the goods from the Seller or arranges for the transportation of the goods from the Seller= s premises, then risk in the goods shall pass to the Buyer when the goods are placed on or in the transport. Where the goods are delivered to the Buyer by the Seller then risk in the goods shall pass to the Buyer when the goods enter the Buyer= s premises.

6. Should any dispute or claim arise out of this contract the Buyer shall not reject the goods herein specified, but shall accept and pay for them in accordance with the contract and claim as follows:

(1) All claims by the Buyer of whatsoever nature and howsoever arising shall be made by the Buyer in writing to the Seller within fourteen (14) days of delivery and any claim not so made shall be absolutely barred. The Buyer shall retain the goods in their original packaging.

(2) Any claim by the Buyer on account of quality shall be decided by reference to and on the basis of control samples and the results of the examination of such control samples shall be conclusive in all respects in regard to the quality of the goods. For this purpose, the Seller shall draw representative samples and these samples shall be retained by the Seller for a period of three (3) months after delivery.

7. The Seller shall not be responsible for any indirect or consequential damage or loss whatsoever and the Seller= s liability whether in contract or in delict or howsoever arising, shall not in any case exceed the invoice value of the goods forming the subject of the claim.

8. The Seller shall not be responsible for or liable in respect of any delay in the execution of this contract caused by anything whatsoever beyond the Seller= s control and in the event of any such delay occurring the Seller shall be entitled to suspend deliveries in whole or part and the time for delivery or shipment shall be extended by a period equal to the duration of such delay. In the event of the Buyer having contracted to buy a specific amount of goods such delays shall not excuse the Buyer from its obligations to accept delivery of the full quantity when supplies can be resumed.

9. Specific orders may be executed and delivered by the Seller in instalments and the Buyer shall not be entitled to refuse such part delivery. Each delivery shall be governed by conditions and prices prevailing at the time of such delivery.

10. All sums due to the Seller by the Buyer shall be paid on due date and if the Buyer is in default as regards payment, the Seller may:

(1) Suspend deliveries so long as the default continues; and

(2) Serve notice on the Buyer by letter, telex, fax or cable that unless all sums due are paid within fourteen (14) days the Seller will cancel any uncompleted contracts and if payment be not made in that time the Seller may by further notice treat such contract as repudiated, accept such repudiation and recover damages accordingly; and

(3) Charge interest per month from due date on all outstanding amounts at a rate of two (2) %above the prime overdraft rate levied by First National Bank Limited.

11. The Seller shall be entitled to substitute proceeding against the Buyer in any Magistrates= Court having jurisdiction over the Buyer in terms of Section 28 of the Magistrates= Court Act, notwithstanding that the amount of the claim may exceed the jurisdiction of the Magistrates= Court.

12. Should any amount due to the Seller be handed to an attorney for collection, the Buyer shall pay all legal costs thereby incurred on the attorney and own client scale including collection commission and tracing fees.

13. The goods to be supplied in terms of these conditions are for the use of the Buyer only in its manufacturing processes and are not for resale without the prior written consent of the Seller. The Seller= s trade marks and trade names shall not be used without prior written consent.

14. All contracts are subject to the availability of raw materials required for the manufacture of the goods.

15. The price of the goods is based on the ruling in-store costs of raw materials as at the date of the contract and, where applicable, upon ruling delivery costs from the Seller= s factory to the point of delivery. The Seller reserves the right to alter the price of the goods by giving notice to the Buyer in the event of any fluctuation in such costs or in the event of the Seller having to pay wages in excess of those presently paid by the Seller.

16. These conditions shall apply to all goods supplied now or in the future by the Seller unless expressly varied by the Seller in writing and shall supersede the Buyer= s conditions of purchase.

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