GENERAL  CONDITIONS  OF   SALE   REPAIR   &   INSTALLATION  OF  DUNCAN  ROGERS (ENGINEERING) LIMITED


GENERAL:

1.  Unless and so far as specifically agreed in writing to the contrary, these conditions shall apply  to  any  order placed with Duncan Rogers (Engineering) Limited ("the company")by any other party ("the Buyer" relating to goods or equipment manufactured or supplied by any other manufacturer or supplier ("the Supplier"). Any conditions of Purchase of the buyer shall not apply to the order including the repair and installation thereof whether expressly repudiated by the Company or not.

2.  No orders submitted orally or by telegram, fax, cable or telephone shall commit or be binding on the Company unless confirmed by the Buyer in writing and accepted by the Company in writing. Oral instruction and promises given by the Company's employees or agents are subject to written confirmation by the Company.

3.   Any data given by the Company are approximate. If the Company shall use marks or numbers for designating the order or parts order, no legal rights shall result therefrom.

4.    Written quotations and estimates given by authorised employees or representatives of the Company shall be binding on the Company for a period of 30 days or such shorter period as shall be stated therein and thereafter subject, to variation without notice.


REPAIR & INSTALLATION:


5.   (a) In the case of orders for repairs the Company is entitled to remedy also those faults which become evident during the actual repair. The Company is entitled to supply services exchange parts, partly or wholly in lieu of executing the repair. Parts replaced become the property of the Company.

(b) The Buyer at its own risk shall place at the disposal of the Company's Service Engineer such skilled and unskilled labour as the Company or its Service Engineer my deem necessary and the Buyer will be held responsible for any damage or loss occurring to Company's Service Engineer's property whilst is on site. The normal working week consists of five working days Monday to Thursday 8.00am to 4.30pm, Friday 8.00am to 3.30pm with half hour break for lunch. The Company's Service Engineer are informed that work outside normal hours must only be undertaken with the approval of the Buyer.Travelling time and expenses are charged at rates appropriate to the journeys undertaken, due allowances being made for journeys which serve more than one job. In the case of dispute the Company reserves the right to calculate these charges as if the journey were undertaken from the Company's works. If due to circumstances beyond the company's control the Service Engineer is unable to work a normal day the Company reserves the right to charge the Buyer full eight hours for that day. If due to sickness or accident the Service Engineer is unable to complete the workcovered by a Buyer's order the travelling expenses of a substitute will be charged to the Buyer. The Service Engineer is entitled to an out-allowance for each full day spent away from the Company's base. If due to lack of suitable accommodation,and his expenses exceed the out-allowance the Company shall charge the Buyer the actual expenses incurred in Lieu of the out-allowance.

(c) An estimate of costs will be submitted to the Buyer only on special request and after the Company has dismantled and examined the product concerned. Any such estimates and offers not confirmed in writing are not binding on the Company. Any expenses incurred by the Company in preparing an estimate are chargeable to the Buyer if the order to repair is not finally executed by the Company.

(d)  Whereas the  Company  will  comply  to  the best of its ability with Buyer's instructions concerning  the  time taken for the repair,  it cannot be held responsible for inability to comply with such instructions.

(e)  The Buyer will accept full responsibility for and will indemnify the Company against all loss of or damage to property and keep the Company fully indemnified against all claims and demands whatsoever for reparation or negligence and loss of or damage to property caused or alleged to be caused or arising out of or in consequence of the execution of the works the subject of these conditions. Further  the Company shall not be held responsible for any damage or loss due to theft, burglary, fire, explosion, flood, strikes, riots, or force majeure, nor for damage  or loss consequent on testing by driving vehicle on the highway nor during other test deemed necessary nor during transportation of goods being repaired.

(f) The Copyright for any drawings supplied to or for the Buyer remain with the Company. Plans required for sub-structures and directions are furnished by the Company free of cost but without engagement. The particulars required for them are to be furnished by the Buyer.

PRICES AND DELIVERY:

6.   The company  reserves  the  right  to vary its prices in the event of any increase in raw materials or labour costs,   cost of components or accessories or variations in  Customs  duty  or  other  tax  or  levy  or rate of exchange occurring within seven  days be or at any time subsequent to the acceptance of any order.

7.    Prices quoted  are either ex glasgow stock or ex-works of other Supplier (depending on quotation).    The  prices   payable are those applicable at the date of despatch  unless  specifically  stated  to the contrary in the Special Conditions of Sale.

8.   The company  is  entitled  to  make partial deliveries and to invoice the Buyer accordingly.   Payment  of such invoices shall be due and payable on the same terms and  in  the  same  manner as applicable to an invoice for the full delivery.

9.    Goods and  equipment  will  be  despatched  ex Glasgow stock or ex other supplier's works.   Unless otherwise stated by the Buyer and agreed in writing by the Company,   the  Company  shall  have  the right to choose the method of despatch.   All deliveries  will  be  at  the  Buyer's  sole risk from time of despatch.   If special  instructions  are  given the  Buyer will reimburse the Company any cost of transport of goods in accordance there with.

10.  The Buyer shall be responsible for the payment of any import surcharge or other tax,   duty  of levy which may now or hereafter be imposed affecting the subject of this  order and  for  obtaining  any  import  or other licences or permissions and complying with any Government or other official requirement.


TERMS OF PAYMENT:


11.   Unless otherwise  specifically  agreed in writing by the Company payment shall be effected in £ Sterling without any deductions.   The Company shall be entitled to despatch consignments C.O.D.

12.   If the Buyer shall fail to make full payment on the due date, The buyer shall pay interest  on  the  amount  due  until payment at the rate of 4% (per annum) over the Bank of Scotland base lending rate current for the time being.

13.   Any objection by the Buyer to the invoice must be notified in writing by the Buyer to  the  Company  within  14  days after the date of invoice and any complaint or claim relating to the goods or equipment or otherwise arising out of the delivery of the consignment and be confirmed immediately in writing. If no such complaint or claim shall be received by the Company in accordance with these conditions then the consignment shall be deemed to be in all respects in accordance with the Contract.

14.   (a)  Except  insofar as the goods and equipment the subject matter of the Contract and purchased  for re sale,  the property in such goods and equipment shall remain vested  in  the  Company  until  payment  of  all  claims  by the Company against the  Buyer  in  respect  of such goods and equipment.   In the case of goods  and equipment purchased by re-sale,  the property therein shall remain vested in  the  Company  until conclusion of a legally binding contract for such re-sale or until payment is full as aforesaid.

      (b)  In the case of the goods and equipment purchased for resale then to the extent of  the  Buyer's indebtedness to the Company in respect of the goods the Buyer shall:-

                 (i)   Hold the proceeds of sale or the right to receive the same on trust for the Company; and

                 (ii)  Place the proceeds of the sale in a separate account of the Buyer in such a way as to be identifiable as in
                       the beneficial ownership of the Company; and

                 (iii) At the  Company's  request  assign the right to receive the proceeds of sale to the Company.

In the event  of  the Buyer becoming sequestrated,   granting a Trust Deed for Creditors,   becoming apparently  insolvent  or  suffering any distress on the execution to be  levied  against  it or entering into any arrangement with its
creditors or (being  an  individual)  becoming  subject to the bankruptcy laws including the Bankruptcy  (Scotland)  Act  1985  or (being a Company) entering into liquidation then  for  the  purposes of amalgamation or reconstruction or having a receiver  appointed  of  the  whole  or any part of its assets,   the Company without prejudices to its other rights under these conditions shall be entitled to enter  upon  any  land  or premises where the goods or any product embodying the goods  may  be  for  the time being,   to detach the goods if so embodied and to recover possession of them.

    (c)  The Company  is  entitled to demand a secured charge over the Buyer's property or collateral  security at any time and in respect of any order.   No counterclaim by the  Buyer  on the Company may be deducted in settlement. In case of delay in payment or deterioration in the financial status of the Buyer after conclusion of  the  execution  of  the  order  all  debts resulting from business transactions with the Buyer become due for immediate cash settlement. This also applies to any bill or cheques not duly met whether notice of dishonour has been  given  or not.   Further the Company is entitled to demand payment in advance  and may annul any contract after due notice has been given and claim damaged  for  consequences  of  non-observance  of  the terms of the contract by the Buyer.


DELIVERY:


15.   Times or  periods  of  delivery or completion of repairs or installation shall not be binding upon the Company unless they have been expressly confirmed in writing  by  the  Company. Subject to such confirmation,  the following terms will apply.

          (a)  Subject to  the  Buyer  having  provided  the Company with all delivery information and details required and provided  that all technical details relating to  the  goods  or  equipment  shall  have  been supplied and accepted by the  Company the delivery period shall begin with the conclusion of the Contract unless the Contract shall expressly provide to the contrary.

          (b)  The delivery period or date shall be extended:

          (i)  In case of delays caused by strikes, lock-outs or other industrial disputes or by damage to plant, delays in the  supply of raw materials or components or other causes whatever  beyond the direct control of the Company or any other supplier or  sub-contractor,  then  the  period  of  delivery  shall  be extended by such time as the Company shall reasonably consider necessary in the circumstances.

          (ii) In case the Company shall fail to deliver within the Contract time in breach of the terms of the Contract and without just
               cause the Buyer  may  claim  from  the  Company  as  liquidated damages and not by way of penalty for each full week of the delay, up to 0.5% of such contract price. Such sum shall be  accepted by the  Buyer  in  full  satisfaction  of  all  claims against the Company in respect or arising out of delay in delivery.

          (c)  The delivery  period  shall be deemed to have been fulfilled if prior the expiration  of  such period or any extension thereof by agreement or under the provisions of these Conditions the goods or equipment shall have been despatched from the works of other  supplier  or  if  they  or  the Company shall have  notified  the  Buyer that the same are ready and available for despatch.

           (d)  If the  despatch  of  the  goods  or equipment is delayed for reasons beyond the  control of the Company for more than one week from notification to the Buyer that they are ready and available for despatch,  the Company may at  their  own  discretion store the good or equipment at the cost and risk in  all  respects  of the Buyer.   In case the goods or equipment are warehoused at the  works  of  the Company or other Supplier,  a weekly storage charge of 0.5% of the contract price of the stored goods may be charged to the Buyer and pro rata for any period less than a week.

            (e)  If the  Buyer shall fail to take delivery of the goods within 14 days after notification of readiness for despatch or after despatch thereof, the Company shall be entitled on giving the Buyer not less than 14 days notice in  writing,  to cancel the Contract and the Buyer shall be liable to pay the Company compensation for non-fulfillment of the Contract.  In such event the Company shall be entitled to claim either:

          (i)  the actual damage sustained by the Company on proof of such damage or

          (ii) estimated liquidated  damages equal to 15% of the selling price of the goods  or equipment of which the Buyer shall have failed to accept delivery and in this case, no further proof of damage shall be required.


GUARANTEE:


16.   (a) Subject as hereinafter provided,   the Company will either repair in their workshops or replace ex-works or ex-stock,  at the Company's option, any goods,   equipment or  parts as are proved to their reasonable satisfaction to have become unserviceable  or  defective owing to inferior materials or faulty design or workmanship.

      (b) Any goods,   equipment  or parts required to be repaired or replaced shall be returned  free  of  postage  or  freight  either  to the works of the Company or the  works of other Suppliers,   as the Company shall direct.   Any parts replaced shall become the property of the Company.

      (c) This Guarantee shall apply only to such defects as shall be reported to the Company  in  writing  within three months after the date of delivery of the goods or  equipment  to the Buyer's premises or despatch from the premises of the Company  or other Supplier as the case may where the goods or equipment are sold ex-works.

     (d) No liability shall arise under this Guarantee if any parts other than genuine parts shall  have  been fitted into any goods or equipment supplied by the Company or  other Supplier,  unless the same shall have been fitted by the Company or other Supplier.

     (e)  In the case of any goods, equipment of parts not manufactured in the workshops of the  Company  or  other  Supplier,   the  Guarantee is limited to transfer to the  Buyer  of any claims which the Company and other Supplier may have against their Supplier.

     (f)  The Company  guarantees  the  proper  workmanship  of repair and the period of guarantee is three months from the date of completion of the work or in the case of an engine after the engine has be in service five hundred hours if earlier.   The  guarantee  is  limited to free replacement or repair in the Company's workshop or  that  of  the  Company's  Accredited Agents or any part which has become defective due to faulty construction or material and does not cover damage caused  by  misuse  or by the fact that the machine has been used for some purpose other than that for which is was intended.  No responsibility can be accepted  nor can any replacement be considered by the Company if Seals
have been broken  or removed by the Buyer.   Whilst every care is taken in its workshop the Company cannot accept liability for consequential loss or damage.The guarantee claims  can be considered only when raised immediately after the
alleged fault have become apparent.

      (g) The foregoing provision are in addition to and in no way retract from the rights  of  the Buyer under the Sale of Goods Act 1893 and re-enacted by the Sale  of Goods Act 1979,   the Supply of Goods (Implied Terms) Act 1973 and the Unfair contract Terms Act 1977.


CLAIMS:


17.   No claim  shall  be  made by  the  Buyer whether under the Guarantee or otherwise howsoever if:

      (a) The Buyer  shall not have paid in full all invoices for the goods or equipment supplied by the Company, or

      (b) The Company's  representative  are  denied  full  and  free right of access to the goods or equipment, or

      (c) The Buyer  permits  any  persons  other  than  the Company or those approved or authorised  by  the  Company to effect any replacement of parts or maintenance, adjustment or repairs to the goods or equipment, or

      (d) The Buyer  has  not  properly  maintained the goods or equipment in accordance with instructions,   pamphlets  or directions given or issued by the Company from time to time.

      (e) If any  loss or  damage  shall  be  caused by reason of any fault or defect in the installation for which the Company has supplied goods,  material or equipment.


TERMINATION OR FRUSTRATION OF CONTRACT


18.   If the  Buyer  shall  commit  any  breach  of  the  Contract  or become sequestered,  grant a trust deed for Creditors, become apparently insolvent or suffer any distress  or  execution to be levied upon the property or assets of the Buyer or make any arrangements or composition with creditors or commit any act of bankruptcy or if any petition or receiving order in bankruptcy shall be presented or made  against  the  Buyer or if,   being a Limited Company,   any resolution or petition to wind up the Buyer's company or business shall be passed or presented  (otherwise  that for reconstruction or amalgamation only) or if a  Receiver of the Buyer's undertaking,   property or assets or any part thereof shall be appointed, the Company shall have the right forthwith to determime any order or part of an order then outstanding upon written notice of such determination being posted or delivered to the Buyer's last known address. On service of such notice any outstanding order shall be deemed to have been determined but without prejudice to any other claim or rights of the Company.

19.  If the  Buyer shall default in paying any sum due under the order as and when it shall  become due  the  Company shall have the right either to suspend further deliveries until the  default be made good or to cancel the order so far as any goods remain to be delivered thereunder.

20.  In the event of war, invasion, act of foreign enemy (whether war has been declared or not),   civil  war,  rebellion or military or usurped power of the Company shall be  relived  of all liabilities under the Contract to the extent to which fulfilment of such obligation is prevented, frustrated or impeded as a consequence of any such event or by any statute, rules, regulations, orders, or requisitions issued  by  any  Government Department,  Council or other duly constituted authority or by any other cause (whether or not of like nature) beyond the Company's control.

21.  The company reserves the right to sub-contract the fulfilment of the order (including any installation) or any part thereof.


MODIFICATION AND RETURN OF PARTS:


22.    The Company  reserves  the  right to  change, without  notice, the specification of parts, part numbers, drawings, provided that no such alteration shall materially affect the quality or operation of the goods or equipment.

23.   No parts  which  have  been supplied to the Buyer in accordance with the Buyer's order shall be returned or surrendered for credit unless:

       (a) The Company's prior written consent shall have been first obtained.

       (b) The parts shall be returned at the cost of the Buyer in the same condition as they were in when despatched to the Buyer.

       (c) The parts  accompanied  by  the original or a photostat copy of the packing or advice note.

       (d) Any handling or re-storage charge required by the Company is paid.

The Company shall be under no obligation to accept the parts or credit and any credit allowed by the Company shall in its absolute discretion.

24.   The place of performance and venue for all claims concerning the sale including claims relating to documents and bills is Glasgow and these conditions and the Contract shall be subject to and be construed in accordance with Scots Law which shall be deemed to be proper law of the contract.