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Purchasing Terms

Following are the terms and conditions (quality requirements) applicable to any purchase order issued by Advanced Ceramic Technology (ACT). This will remain in effect indefinitely. A new revision to these terms and conditions may be issued without notice at any time; it is the responsibility of the supplier to review and comply with the latest revision of these terms on all orders. Additional conditions may apply in accordance with requirements as stated on the purchase order.

1.    Acceptance: Once an order is accepted by the supplier, it shall constitute the entire agreement between the parties, superseding any and all previous communications and negotiations. All information on orders is considered confidential and proprietary including, but not limited to, dates, quantities and prices.

2.    Compliance with Laws: Seller shall comply with all applicable State, Federal and local laws, rules and regulations, including but not limited to those set forth in the provisions of the U.S. Affirmative Action laws.

3.    Documents and Payments: ACT’s Purchase Order number must be shown on all packing lists, invoices and correspondence relating to the order. The invoice can be mailed to ACT’s address or emailed to after shipment is made.

4.    Shipping, Packing and Delivery: Seller shall deliver the items, in the quantities and within the time or times, in accordance with the specifications. All items shall be suitably packed, identified and shipped in accordance with any shipping instructions specified on the order and otherwise in accordance with the requirements of common carriers, while diligently protecting the items contained therein.

5.    Quality Management: Seller shall maintain a quality management system acceptable to ACT and, when applicable, ACT’s customer. Objective evidence shall be on file verifying that such a quality system exits and is being maintained. Seller shall control sub-tier procurements to the extent necessary to ensure conformance to the quality requirements of the purchase order, including flow down to its supply chain.

6.    Changes: Supplier will notify ACT of changes in product and/or process, changes of suppliers, chenges of manufacturing facility location and, where required, obtain ACT approval.

7.    Flow Down: All requirements cited on purchase order and applicable attachments shall be flowed down to sub-tier suppliers.

8.    Supplier Performance: Supplier performance will be rated based on product conformities, on time delivery and current state of the suppliers’ QMS. Vendor must maintain a Quality Level ≥ 90%. If levels drop below the target, supplier will be notified and may be placed on conditional status or disapproved if not corrected.

9.    Nonconforming Product: Seller is required to notify ACT of any nonconforming product produced as a result of their processes/services involved in the fulfillment of the order. Seller will obtain approval from ACT for disposition of the nonconforming product. In accordance with this condition, immediate notification must be made in writing to ACT of any process or product discrepancy discovered or suspected by the Seller after delivery, to prevent further processing and/or delivery of nonconforming products to ACT’s customers.

10.    Counterfeit Parts: Supplier shall take an active role in the elimination of all possible shipments containing counterfeit parts. Supplier shall only supply parts which are traceable to the actual manufacturer.

11.    Records: Seller is required to retain process records, certifications and test reports for a minimum of 10 years unless otherwise agreed upon.

12.    Right of Access: Supplier agrees to grant access by ACT, their customer, and regulatory authorities to the applicable areas of all facilities, at any level of the supply chain, involved in the order and to all applicable records.

13.    Foreign Imports: All foreign goods imported to ACT require country of origin marking in compliance with U.S. Law.

14.    Conflict Minerals: Seller is responsible to ensure that any/all materials sourced and supplied to ACT are sourced according to the requirements of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.

15.    Seller Awareness: Seller is responsible to ensure that employed persons are aware of: their contribution of product or service conformity, their contribution to product safety and the importance of ethical behavior.

Last updated: March 2020

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