General Terms and Conditions of Sale
VEGA Instruments Canada, Ltd.
PURCHASE AGREEMENT
VEGA Instruments Canada Ltd. (“Seller”) agrees to sell and provide to the Buyer the products, equipment and parts (collectively, “Goods”) and services (“Services”) as specified in the order confirmation, subject to the terms and conditions in these Terms and Conditions of Sale (the order confirmation and these Terms of Sale are, collectively, the “Agreement”).
PRODUCTION, SHIPPING, DELIVERY
Production. On those orders where approval drawings are required, manufacturing of the equipment will not begin until Seller has received the approved equipment outline drawings. The shipment schedule is subject to change based on the timely receipt of the approved drawings. Any agreements regarding shipping dates will be considered invalid should the delay in shipment be a result of the Buyer not providing the required information for approved drawings to be created in a timely manner. If required, a detailed production schedule can be provided specifying the dates by which the approved drawings must be received by Seller in order to comply with a requested shipment date.
Shipment. Unless otherwise expressly agreed by the Parties in writing, Seller shall select the method of shipment of and the carrier for the Goods.
Late Delivery. Any time quoted for delivery is an estimate only; provided, however, that Seller shall use commercially reasonable efforts to deliver all Goods on or before the requested delivery date. Transfer of Title. Title to Goods passes to Buyer upon tender of the Goods to the carrier. Receiving, unloading, and storing goods will be the responsibility of the Buyer. The Buyer shall keep the Goods free and clear of all liens, encumbrances, security interests and rights of other persons.
Risk. The Buyer hereby assumes all risk regarding the Goods, including without limitation, risk of loss, theft, damage or destruction (and whether or not insured against) upon delivery of the Goods by Seller to the carrier.
If for any reason, Buyer fails to accept delivery of any of the Goods on the agreed-upon delivery date, or if Seller is unable to deliver the Goods on such date because Buyer has not provided appropriate instructions, documents, licenses or authorizations: (1) Risk of loss to the Goods shall pass to Buyer; (2) The Goods shall be deemed to have been delivered; and (3) Seller, at its option, may store the goods until Buyer picks them up, whereupon Buyer shall be liable for all related costs and expenses, including without limitation storage and insurance. If storage is required, Seller is hereby granted a warehouseman’s lien.
DOCUMENTATION/ENGINEERING TIME
The documentation supplied to meet an order’s requirements will consist of Seller’s standardized drawings and documentation. Drawings may be general in nature and used to support a variety of applications. Notes and dimensions in the drawings may or may not be applicable to the user’s specific requirements. Seller reserves the right to charge for additional engineering time required for client-specific modifications or additions to standard drawings and documentation. Multiple revisions of drawings and documentation due to changing client circumstances are subject to additional charges and lead times.
EXPORT
Buyer is solely responsible for compliance with all applicable import and export control laws, in any jurisdiction, relating to the Goods and Services. Buyer shall undertake all necessary actions to comply with such laws, including, but not limited to, processing of all necessary customs procedures, payment of import/export duties and import/export taxes, completion and maintenance of documentation and provision of accurate information to all customs authorities. Buyer shall indemnify and hold harmless Seller against all damages, costs, expenses and attorney’s fees arising from or alleged to arise from any violation, alleged violation, or failure to comply with, the terms of this provision by Buyer or any person for whom Buyer may be responsible. Seller reserves the right to withdraw a quotation or cancel an order at any time without the incurrence of penalties or damages if, at Seller’s sole discretion, the export or re-export of any item on such quotation or order would violate any applicable import and export control laws. Seller may terminate this agreement if any governmental authority imposes any penalties on goods.
EXPEDITING/REPORTING
Monthly progress reports will be provided only with prior agreement by Seller.
INSPECTION/REJECTION OF NON-CONFORMING GOODS
Buyer shall promptly inspect the Goods upon receipt. Buyer will be deemed to have accepted the Goods unless it notifies Seller in writing of any non-conforming goods within ten (10) days of the delivery of the goods and furnishes such written evidence or other documentation as required by Seller. Non-conforming goods means any item that does not match the documentation or quantity stated in the Buyer’s purchase order.
If Buyer timely notifies Seller of any non-conforming goods, Seller shall, in its sole discretion:
- Replace such nonconforming goods with conforming goods, or
- Credit or refund the price for each nonconforming item together with any reasonable shipping
and handling expenses incurred by Buyer in connection therewith.
With prior authorization, Buyer shall ship the non-conforming goods to Seller’s facility. If Seller exercises its option to replace non-conforming goods, Seller shall, after receiving Buyer’s shipment of non-conforming goods, ship to Buyer, at Seller’s expense and risk of loss, the replaced goods.
PRICING AND PAYMENT TERMS
Price of Goods and Services: The price for Goods shall be the price set out in the order confirmation. The price of the Goods is exclusive of all costs and charges of packaging, insurance, and transport of the Goods. The price for Services shall be based either on a time and materials basis or a quoted lump sum basis and shall be calculated in accordance with Seller’s standard fee rates and service rate schedule, which is available upon request.
Buyer will pay, in addition to the stated prices, all charges for transportation of Goods and any applicable sales, service, use and excise taxes and any other similar taxes, duties, and charges of any kind imposed by any federal, provincial, or territorial governmental or regulatory authority on any amounts payable by Buyer hereunder.
Invoices are payable within forty-five (45) days from the invoice date unless otherwise approved in writing by Seller. If at any time the financial condition of the Buyer does not warrant shipment of product on the above terms (in the sole judgment of Seller), Seller may require full or partial payment prior to shipment. TIME IS OF THE ESSENCE FOR SUCH PAYMENT OBLIGATIONS. In the case of delay in payment, Seller may charge Buyer interest on the overdue amounts including all amounts due pursuant to this clause from the date such amount became due at the rate of 1.5% per month, and Buyer will be liable for all of Seller’s costs and expenses to collect such overdue payments.
The following items are critical and Seller may elect to tie payments to any or all of these milestones:
- Buyer receipt of approval drawings
- Completion of manufacturing
- Delivery of major component
- Buyer receipt of all required documentation
Unless otherwise stated, all stipulated amounts shall be in CAD dollars.
Seller shall be entitled to suspend the delivery of any goods if Buyer fails to pay any amounts when due. Buyer shall not withhold payment of any amounts due and payable by reason of any set-off of any claim or dispute with Seller.
CONFIDENTIAL INFORMATION
“Confidential Information” means all documents, information, technology and data disclosed or furnished in any connection with this Agreement by Seller to Buyer prior to or after the date of this Agreement, directly or indirectly, whether in oral, written, graphic, video, machine-readable or other form that is either marked or identified (in writing or orally) as being confidential or proprietary or that the receiving Party can reasonably conclude or ought to know is confidential or proprietary to the other Party. Confidential Information does not include information that Buyer can demonstrate by contemporaneous written records: (a) is or becomes generally available to the public through no breach of this Agreement by Buyer; (b) was rightfully known to Buyer without confidentiality obligations prior to disclosure by Seller; (c) is independently developed by Buyer without use of or reference to Seller’s Confidential Information; or (d) is rightfully obtained by Buyer from a third party without breach of any confidentiality obligation.
Ownership and Obligations. Buyer shall: (i) use the Confidential Information of Seller solely as necessary for its internal business purposes in connection with its operation and use of the Goods and Services as permitted by this Agreement; (ii) protect Confidential Information with at least the same degree of care it uses to protect its own similar information, but no less than reasonable care; (iii) restrict access to Confidential Information to Seller’s officers, directors, employees, agents and professional advisors to the extent that such disclosure is necessary for the performance of its duties and obligations or the exercise of any rights or privileges granted under this Agreement (“Authorized Persons”); (iv) remain responsible for any breach of this Section by any of its Authorized Persons. Buyer acknowledges and agrees that the Confidential Information it may receive from Seller is the sole and exclusive property of Seller.
Return/Destruction. Upon Seller’s request and in any event upon expiration or termination of this Agreement, Buyer shall promptly cease using and return or destroy all Confidential Information and all copies, notes, and extracts thereof, in any form or medium, and certify in writing its compliance.
INTELLECTUAL PROPERTY RIGHTS
Buyer acknowledges and agrees that:
(a) Seller (or its licensors) will retain all intellectual property rights used to create, embodied in, used in, and otherwise relating to the Goods and any of their component parts;
(b) any and all Seller's intellectual property rights are the sole and exclusive property of Seller or its licensors;
(c) Buyer shall not acquire any ownership interest in any of Seller's intellectual property rights under this Agreement;
(d) any goodwill derived from the use by Buyer of Seller's intellectual property rights inures to the benefit of Seller or its licensors, as the case may be;
(e) if Buyer acquires any intellectual property rights in or relating to any Good purchased under this Agreement (including any rights in any trademarks, derivative works, or patent improvements relating thereto), by operation of law, or otherwise, such rights are deemed and are hereby irrevocably assigned to Seller or its licensors, as the case may be, without further action by either Party.
|
Type of Services or Goods |
Receipt by Seller of written cancellation request | Cancellation fee to be paid by Buyer |
| For Goods manufactured by Seller (excluding software-related products) |
between the date of order confirmation and the time of order released for manufacturing | 10% of the price |
| order is in any stage of production | 50% of the price |
|
| order is complete and ready for shipment | 100% of the price |
|
| For any Services | during 24 hours before the schedule time of performance (each, a “Planned Day”) of such Services |
The price of the Services plus any additional indirect or direct costs incurred by the Seller in good faith reliance upon the Order Confirmation related to such Services. |
Effect of Termination.
Upon termination of this Agreement:
(a) all indebtedness of Buyer to Seller under this Agreement, any other agreement or otherwise, of any kind, shall become immediately due and payable to Seller, without further notice to Buyer; and
(b) Buyer shall promptly cease using and return or destroy all Confidential Information and all copies, notes, and extracts thereof, in any form or medium, and certify in writing its compliance if requested by Seller.
Termination of the Agreement will not affect any rights or obligations of the Parties that:
(a) come into effect upon or after termination or expiration of this Agreement; or
(b) otherwise survive the expiration or earlier termination of this Agreement and were incurred by the Parties before such expiration or earlier termination.
Any notice of termination under this Agreement automatically operates as a cancellation of any deliveries of Goods to Buyer that are scheduled to be made subsequent to the effective date of termination, whether or not any orders for such Goods had been accepted by Seller.
Seller will not be liable to Buyer for any damage of any kind (whether direct or indirect) incurred by Buyer solely by reason of the termination of this Agreement.
Termination of this Agreement will not constitute a waiver of any of Seller’s rights or remedies under this Agreement, at law, in equity or otherwise.
NOTICES
Any notices, consents, requests or other communications required or permitted by this agreement shall be in writing and shall be personally delivered or sent by certified mail (postage prepaid, return receipt requested) or recognized overnight delivery service with a system for tracking deliveries (fees prepaid), to the addresses set forth below (or to such other address as a party may from time to time designate in writing to the other party), or sent by email to an authorized signatory set forth below (or to such other email address as a party may time to time designate in writing to the other party). Notices shall be deemed to have been given when personally delivered, three (3) full business days after being sent by certified mail, or when delivered according to the tracking system of a recognized overnight delivery carrier, or, in the case of email, on the date of transmission if sent during the recipient’s normal business hours (or on the next business day if sent outside of such hours), provided that no notice of delivery failure is received by the sender.
SEVERABILITY
If any term or provision of this agreement is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality or unenforceability shall not affect any other terms or provision of this agreement or invalidate or render unenforceable such term or provision in any other jurisdiction.
ASSIGNMENT
Buyer may not assign or transfer any of its rights or delegate any of its obligations hereunder, in each case whether voluntarily, involuntarily, by operation of law or otherwise, without the prior written consent of Seller. Any purported assignment, transfer, or delegation in violation of this Section is null and void. No assignment, transfer, or delegation will relieve the assigning or delegating party of any of its obligations hereunder. This Agreement is binding upon and inures to the benefit of the Parties hereto and their respective permitted successors and assigns.
LANGUAGE
The Parties hereto confirm that it is their wish that this Agreement as well as other documents relating hereto, including notices, have been and shall be drawn up in the English language only. Les parties aux présentes confirment leur volonté que cette convention de même que tous les documents, y compris tous avis, s’y rattachant, soient rédigés en langue anglaise seulement.
GOVERNING LAW
This Agreement, together with any other documents incorporated herein by reference and all related Exhibits are governed by and will be construed in accordance with the laws of the Province of Ontario and the federal laws of Canada applicable therein. For the purposes of all legal proceedings, this Agreement will be deemed to have been made and performed in the Province of Ontario and the courts of the Province of Ontario will have exclusive jurisdiction to entertain any action arising under this Agreement. Each Party hereby attorns to the jurisdiction of the courts sitting in the City of Toronto, Province of Ontario. The United Nations Convention on Contracts for the International Sale of Goods does not apply to this Agreement.
DISPUTE RESOLUTION
Any dispute which is not settled by agreement between the Parties may be settled by appropriate legal or equitable proceedings. It is understood and agreed that if any such dispute is litigated, it shall be for the purpose of obtaining a judicial determination of the question of law and/or fact which is fair and reasonable. Pending such judicial determination, both parties shall proceed with the transaction as agreed.
EQUITABLE RELIEF
The Buyer acknowledges and agrees that a breach or threatened breach by Buyer of any of its obligations under CONFIDENTIAL INFORMATION or INTELLECTUAL PROPERTY RIGHTS would cause Seller irreparable harm for which monetary damages would not be an adequate remedy and agrees that, in the event of such breach or threatened breach, Seller will be entitled to equitable relief, including a restraining order, an injunction, specific performance, and any other relief that may be available from any court, without any requirement to post a bond or other security, or to prove actual damages or that monetary damages are not an adequate remedy. Such remedies are not exclusive and are in addition to all other remedies that may be available at law, in equity, or otherwise.
COUNTERPARTS
This Agreement may be executed in counterparts, each of which is deemed an original, but all of which together are deemed to be one and the same agreement.

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