Hindustan Aeronautics Limited

Hindustan Aeronautics Limited Aircraft Division Bangalore Complex Vimanapura Post, Bangalore – 560 017 (INDIA)

TENDER DOCUMENT

Name of the Work : Indigenization of Hand Controller (P/N PS 119103 3)

Tender Document No. : A/BA3/1915-8/JAG

Tender Type : TWO BID SYSTEM

Due Date & Time for submission : 17 September 2015, 23.55 hrs.

Date & Time of Opening Technical : 18 September 2015, 10.00 hrs. Bid

Note : For any clarifications regarding tender terms and conditions please feel free to contact us before uploading of tender documents.

You are requested to quote in two bid system (Technical Bid and Price Bid).

Technical Bid should contain only the compliance matrix to HAL’s technical Specification (placed at Annexure A), scanned image , PDF of demand draft of EMD and any relevant product information other than pricing. Any additional relevant information to be uploaded separately and should be available during technical bid opening. Technical bid which includes pricing will be summarily rejected.

Price/Commercial bid should include the duly filled price schedule format attached at Annexure –B and other commercial terms and conditions .Any additional information may be provided in the additional worksheet attached at Annexure-C.

1 | P a g e Hindustan Aeronautics Limited Aircraft Division (BC) Post Bag No: 1788, Vimanapura Post, Bangalore – 560 017 (INDIA)

INVITATION FOR TENDERS (IFT)

Bidders are requested to submit their proposals (Technical Bid and Price Bid) on-line at HAL’s e-procurement portal (http://eproc.hal-india.com) or linked to e-procurement through www.hal- india.com. Tenders not submitted through e-procurement portal will not be considered and will be rejected (No hard copies of Technical Bid and Price Bid should be submitted).

IFT No A/BA3/1915-8/JAG

Name of the Work Indigenization of Hand Controller (P/N PS 119103 3)

Tender Document No. A/BA3/1915-8/JAG

Due Date & Time for submission 17 September 2015, 23.55 hrs.

Tender Opening date & Time 18 September 2015, 10.00 hrs.

IMPORTANT: PLEASE INDICATE THE ABOVE TENDER NO. IN ALL YOUR CORRESPONDENCE.

Dear Sir(s) / Madam,

Hindustan Aeronautics Ltd. AIRCRAFT Division located in BANGALORE intends to procure the item specified below :

(i) Description Indigenization of Hand Controller

(ii) Part number PS 119103 3 Prototype - 3 Nos (iv) Quantity Bulk quantity - 1 No

SPECIAL NOTES

2 | P a g e 1. This enquiry is for development, manufacture and supply of hand controller along with acceptance test report.

2. Three numbers prototype to be supplied initially for carrying out qualification testing. 3. Supplier to prepare drawings, test schedule, technical documents in co-ordination with design liaison engineering, aircraft division and the same has to be approved by DGM (DLE) 4. On completion of type test as per agreed test schedule necessary approval to be obtained from HAL QC and DGAQA and the drawings to be firmed up and frozen for use in production. 5. The production batch has to be fabricated strictly as per the frozen drawings after the clearance of pr ototype and to be inspected as per the production acceptance test procedure. 6. Supplies should cover inspection and test certificate and acceptance test report duly co-ordinated by HAL QC and DGAQA. 7. The supplier should confirm while quoting about the possession drawings, sample and other technica l details to manufacture the quoted part. 8. For technical design clarifications and technical details it is requested to contact DLE, aircraft division - 2232 3062 or 2232 1303

PART -I

(i) Description Indigenization of Hand Controller

(ii) Technical specification

Essential Parameters

Desirable Parameters AS PER ENCLOSED TECHNICAL SPECIFICATIONS Quality requirement

Performance parameter

Drawing reference Sample (if applicable) to be obtained through design (ii) HAL's sample reference (wherever applicable) liaison engineering department, aircraft division, HAL based on availability

TERMS AND CONDITIONS

3 | P a g e Delivery Terms: F.O.R HAL Aircraft Division Stores, Bangalore.

Packaging Conditions: The contractor will be held responsible for the stores being sufficiently and properly packed for tropical storage and for transport by rail, road, sea or air so as to ensure their being free from loss or injury on arrival at their destination. The packing and marking of packages shall be done by and at the expense of the contractor. Each package shall contain a packing note quoting purchase order number and date showing its contents in detail. Each shall be properly marked with purchase order No., consignee’s name & address, package-handling instructions etc. The package shall have adequate provision for handling during transit.

Mode Of Transport: BY ROAD TO HAL AIRCRAFT STORES

Receipt & Dispatch: The contractor is responsible for obtaining a clear receipt from the transport auth orities specifying the goods dispatched. He will not book any consignment on a `said to contain’ basis. I f he does so, he does it on his own responsibility. HAL will take no responsibility for short deliveries or wrong supply of goods when the same are booked on `said to contain' basis. HAL shall pay for only su ch stores as are actually received by them in accordance with the contract.

Other conditions: Functional checks will be carried out on aircraft. HAL will not provide any production facility for the manufacturing of the item.

The following may kindly be noted:

1. Bidder must follow the e-tendering instructions..

2. Date and Time of Opening of Technical Bid: 18-September-2015, 10.00Hrs (Note: If the particular day happens to be a declared holiday in Aircraft Division, HAL, Bangalore, the next working day shall be considered.)

3. Contact Person: Engineer (Purchase)-BA3, Hindustan Aeronautics Limited, Aircraft Division, Bangalore – 560017, Karnataka, India. Ph. No. +91 80- 2232 2186, Fax: +91 80-22315188. E-mail: [email protected]

4 | P a g e HINDUSTAN AERONAUTICS LIMITED AIRCRAFT DIVISION (BC) Post Bag No. 1788, Vimanapura Post, Bangalore – 560 017 (India) E-Tender Instructions for submission of Bids at HAL’s e-procurement portal (http://eproc.hal-india.com) 1. The Tender (bids) should be submitted through e-Procurement Portal of Hindustan Aeronautics Limited (http://eproc.hal-india.com or link to e-Procurement portal through www.hal-india.com). Vendors need to get registered with HAL e-Procurement portal to submit their bids online. The tender documents can be downloaded free of cost from the e-Procurement Portal as well as from HAL website (www.hal-india.com). Bidders should have Class III Digital Signature Certificate (DSC) and registration with HAL’s e- procurement Portal for submission of Bids. 2. Class III Digital Signature Certificate (DSC) with organization name is a mandatory requirement for suppliers to participate in e-Procurement activities. Class III DSC may be obtained from any of the Certifying Authority(CA's) mentioned below (Visit- http://cca.gov.in for further details): i) M/s TCS, (www.tcs-ca.tcs.co.in) ii) M/s e-Mudra, (www.e-Mudhra.com) iii) M/s (n) Code solutions, (www.ncodesolutions.com) iv) M/s Safescript(Sify) (www.safescrypt.com) Suppliers/ vendors have to obtain Class III DSC from any of the above CA's and then register in the HAL e-Procurement portal for participation in e-tender. In case any assistance is required, vendors may contact our e-procurement service provider at the following address: M/s Antares Systems Ltd., #24 Sudha Complex 3rd stage 4th block Basaveshwaranagar Bangalore 560079, India e-mail ID’s: [email protected] [email protected] Ph: + 91 80 40482000 Contact Persons: Mrs. Hema - + 91 80 40482000 ext 113 Mr. Vinay B.P -Mob: + 91 9448224342 Mr. Manohar Mob: + 91 9342106845.

Alternatively, you may also contact: Manager (Purchase) / Dy. Manager (Purchase)-BA3 Tel: +91-80-2232 2186 / 2232 1219 e-mail: [email protected]

3. Bidders are also requested to go through instructions/ user manual hosted in HAL e- procurement portal for submission of bids.

5 | P a g e 4. The bids should be submitted in Technical and Price Bid as per the instructions given at Instructions to Tenderers (ITT). Technical bid containing price will be rejected. (Note: Each document size (attachment size of document) for uploading in e-procurement portal is restricted to 5MB. If the size of the document is more than 5 MB, you are requested to Zip /split the file size and submit as applicable.) 5. The Commercial offer (Price bid) should not be submitted in hard copy. Offer submitted through e-procurement portal will only be considered. 6. Submission of EMD (Earnest Money Deposit): Strictly as per the instructions given at Instructions to Tenderers (ITT). (Refer Tender Terms & Conditions for details regarding submission of Tender EMD value etc. & EMD is mandatory) 7. The tender (bids) should be submitted online at website http://eproc.hal-india.com only on or before the due date and time specified in the tender. The server date and time as appearing on the HAL e-Procurement portal (http://eproc.hal-india.com) will only be considered for the cut-off date and time for receipt of tenders. Offers sent through post, courier, fax and e-mail will not be considered. Late/delayed offers will not be considered. 8. HAL will not be responsible for the cost incurred in preparation & submission of bids including the cost towards obtaining digital certificate. 9. Bidders shall be required to arrange all resources including Digital Signature Certificate (DSC) and Internet connections at their own cost for participating in online tenders at http://eproc.halindia.com. HAL shall not be responsible for any delays whatsoever in receiving as well submitting offer (online), including connectivity issues.

6 | P a g e Hindustan Aeronautics Limited Aircraft Division (BC) Post Bag No: 1788, Vimanapura Post, Bangalore – 560 017 (INDIA) INSTRUCTIONS TO TENDERER (ITT)

1. The invitation of Tender is open to all interested agencies who meets the SCOPE OF SUPPLY. 2. The Tenderer shall bear all costs associated with the preparation and submission of the Tender, and HAL, will in no case be responsible or liable for this cost, regardless of the conduct or outcome of the Tendering process. 3. Tenderer is to ensure compliance of all provisions of the Tender Document and submit their tender accordingly. 4. HAL reserves the right to reject any or all the Tenders received at its discretion without assigning any reason whatsoever. 5. Tenderer should not be under liquidation, court receivership or similar proceedings. 6. Tenderer should not be 'blacklisted' by any Central Government PSU / Government Department. 7. Job executed by a Tenderer for its own concern cannot be considered as experience for “Tender Evaluation Criteria (TEC)". 8. The company should be a registered company and a copy of the VAT / CST / Service Tax registration certificate (as the case may be) need to be attached. 9. The Tenderer is expected to examine all Instructions, Annexures, Terms and Specifications of the Tender Documents. The ITT, together with all its attachments thereto, shall be considered to be read, understood and accepted by the Tenderer. The same shall be deemed to form an integral part of the Contract to be entered for this Job/Service. Failure to furnish all information required by the Tender Documents or submission of a Tender not substantially responsive to the Tender Documents in every respect will be at Tenderer's risk and may result in the rejection of the Tender. 10. Tenders not submitted in the prescribed format are liable to be rejected. 11. In the event of a tender being submitted by a Partnership Firm, the tender must be signed separately and legibly by each Partner member of the firm or their absence a person holding the Power of Attorney on behalf of the firm concerned. In the latter case, a copy of the Power of Attorney duly attested by a Gazetted Officer must accompany the tender. 12. The tendered rate of item(s) against which no rate or amount is entered by the tenderer, will be taken as ZERO and the amount of such items shall be deemed to have been covered by the rate, quoted for other items. 13. A prospective Tenderer requiring any clarification(s) of the Tender Documents may notify HAL in writing or by fax or e-mail at HAL's mailing address (stated in the Invitation for Tender) not later than Seven (07) days prior to the Tender Due Date. HAL may, if deem appropriate, respond to the request for clarification. 14. At any time prior to the deadline for submission of Tenders, the Company (HAL) may, for any reason, whether on its own requirement or in response to a clarification requested by prospective Tenderers, modify the Tender Documents by issuing addenda / corrigenda. 15. Any addendum / corrigendum thus issued shall be part of the Tender Documents. 16. The Company may, at its discretion, extend the due date of submission of Tenders in order to allow the Tenderers a reasonable time to furnish their most competitive Tender taking into account the addenda / corrigenda issued.

7 | P a g e 17. DOCUMENTS COMPRISING THE TENDER: The Tender prepared by the Tenderer shall comprise the following:

1. Part - I: Technical Bid shall contain the following:

a. The following details are to be uploaded to the Web Site :

i) Technical Compliance Statement is to be uploaded as per the format given of the Tender Document.

ii) Other information / documents as deemed appropriate by the Tenderer.

Note : For any clarifications regarding tender terms and conditions please feel free to contact us before uploading of tender documents. HAL WILL NOT BE RESPONSIBLE FOR ANY INTERNET RELEATED ISSUES.

Instructions for filling the Price Bid:

a. The price quoted shall be for F.O.R HAL Aircraft Division, Bangalore Delivery.

b. Applicability of taxes (sales tax, Excise duties, Octroi etc..) should be explicitly to be indicated by the vendor in his response either in percentage or in absolute terms. In absence of this input the offer would be considered all inclusive.

c. The tenderers are required to take into account while quoting their rates, all the factors including any fluctuations in the Market Rates etc., No claim will be entertained on this account after acceptance of the tender or during the currency of the Contract.

d. Conditional discount, if offered, shall not be considered for evaluation.

e. The cost of any other item / services, which are considered necessary for completion of the job, is deemed to have been included in the offered prices.

f. Prices shall be written both in words and figures. In the event of any difference, the price in words shall be valid and binding.

8 | P a g e Hindustan Aeronautics Limited Aircraft Division (BC) Post Bag No: 1788, Vimanapura Post, Bangalore – 560 017 (INDIA)

TENDER GENERAL TERMS & CONDITIONS (TGTC)

“ THE SELLER CONFIRMS AND DECLARES TO THE BUYER THAT THE SELLER IS THE ORIGINAL MANUFACTURER/LICENSOR/DISTRIBUTOR/STOCKIST/CHANNEL PARTNER OF THE STORES REFERRED TO IN THIS CONTRACT AND HAS NOT ENGAGED ANY INDIVIDUAL OR FIRM, WHETHER INDIAN OR FOREIGN WHATSOEVER, TO INTERCEDE, FACILITATE OR IN ANY WAY TO RECOMMEND TO HAL OR ANY OF ITS FUNCTIONARIES, WHETHER OFFICIALLY OR UNOFFICIALLY, TO THE AWARD OF THE CONTRACT TO THE SELLER; NOR HAS ANY AMOUNT BEEN PAID, PROMISED OR INTENDED TO BE PAID TO ANY SUCH INDIVIDUAL OR FIRM IN RESPECT OF ANY SUCH INTERCESSION, FACILITATION OR RECOMMENDATION. THE SELLER AGREES THAT IF IT IS ESTABLISHED AT ANY TIME TO THE SATISFACTION OF THE BUYER THAT THE PRESENT DECLARATION IS IN ANY WAY INCORRECT OR IF AT A LATER STAGE IT IS DISCOVERED BY THE BUYER THAT THE SELLER HAS ENGAGED ANY SUCH INDIVIDUAL/FIRM, AND PAID OR INTENDED TO PAY ANY AMOUNT, GIFT, REWARD, FEES, COMMISSION OR CONSIDERATION TO SUCH PERSON, PARTY, FIRM OR INSTITUTION, WHETHER BEFORE OR AFTER THE SIGNING OF THIS CONTRACT, THE SELLER WILL BE LIABLE TO FUND THAT AMOUNT TO THE BUYER. THE SELLER WILL ALSO BE DEBARRED FROM ENTERING INTO ANY SUPPLY CONTRACT WITH HAL FOR A MINIMUM PERIOD OF FIVE YEARS. THE BUYER WILL ALSO HAVE A RIGHT TO CONSIDER CANCELLATION OF THE CONTRACT EITHER WHOLLY OR IN PART, WITHOUT ANY ENTITLEMENT OR COMPENSATION TO THE SELLER WHO SHALL IN SUCH EVENT BE LIABLE TO REFUND ALL PAYMENTS MADE BY THE BUYER IN TERMS OF THE CONTRACT ALONG WITH INTEREST AT THE RATE OF 2% PER ANNUM ABOVE LIBOR RATE. THE BUYER WILL ALSO HAVE THE RIGHT TO RECOVER ANY SUCH AMOUNT FROM ANY CONTRACTS CONCLUDED EARLIER WITH HAL OR GOVERNMENT OF INDIA.”

“ HAL HAS NOT APPOINTED ANY AGENT IN INDIA OR OUTSIDE INDIA FOR PROCUREMENT OF ANY ITEMS AND DEALS DIRECTLY WITH VENDORS. IN CASE ANY INDIVIDUAL OR FIRM APPROACHES YOU POSING THEMSELVES AS AUTHORIZED AGENT OF HAL, IT IS REQUESTED THAT YOU SHOULD NOT ENTERTAIN SUCH CLAIM AND IN ADDITION INFORM IMMEDIATELY TO HAL”. DESIGNATION OF THE OFFICER TO WHOM INFORMATION TO BE SENT SHOULD BE INDICATED.

In this tender document the following words shall have the meaning herein assigned to them:

A. The "Company", "HAL" and "Accepting Authority" shall mean "Hindustan Aeronautics Limited".

B. The "Successful Tenderer", "Contractor" shall mean the tenderer whose tender has accepted by the Company to execute the work as per scope of work to which these tender document pertains to and shall include his / their heirs, executers and administrators.

C. "Engineer" shall mean representative of HAL.

D. The term 'Bid' and 'Tender' and their derivatives (Bidder / Tenderer, Bid / Tendered / Tender, Bidding / tendering, etc.) are synonymous, and 'day' means 'calendar day'.

E. "CONTRACT” or "TENDER" shall mean the entire contents of these documents viz.,

9 | P a g e 1. PRICE :

1.1 Price quoted should be on FOR destination basis, for delivery at HAL Stores inclusive of all charges including transit insurance.

1.2 Tenderers should clearly mention whether prices hold good when the full quantity of enquiry is not ordered but only a part of it. Unless otherwise mentioned, it would be assumed that the rates hold good even when lesser quantities than those enquired of are ordered. Any increase in price at a later date for ordering lesser quantities will not be agreed to.

2. TAXES:

2.1 Sales Tax: Rate of sales tax or any other tax chargeable should be clearly indicated in the offer / bid. If not indicated HAL will assume the rates quoted are inclusive of taxes.

2.2 Excise Duty: Excise duty will be paid only on production of sufficient documentary evidence or a certificate from the Supplier for having paid the Excise duty at actual. The present rate and tariff details should be indicated.

3. QUANTITY: HAL reserves the right to order quantity less than indicated in the enquiry/ quoted by bidder, at the price quoted without any reference to the bidder.

4. PERIOD OF VALIDITY OF TENDER:

4.1 The Tender shall remain valid for acceptance for 120 days from the 'Tender due date'. Company shall reject a Tender valid for a shorter period being non-responsive. Tenderer shall not be entitled during the said period of 120 Days, to revoke or cancel its Tender or to vary the Tender given or any term thereof. 4.2 In exceptional circumstances, prior to expiry of the original Tender validity period, the Company may request that the Tenderer extend the period of validity for a specified additional period. The requests and the responses thereto shall be made in writing (by fax / post / e-mail). 4.3 The successful tenderer should keep their quoted rate valid for the entire contract period as stated in the Tender Document.

5. LATE TENDERS / DELAYED TENDERS: Bid received after the due date and time specified in the tender shall be considered as late tender and will not be considered. HAL will not be responsible for loss or delay in receipt of tender documents / tender in transit. HAL will not be responsible for

10 | P a g e inability of vendor to upload the tender documents in e-procurement.HAL reserves the right to reject late or incomplete tender

6. MODIFICATION AND WITHDRAWAL OF TENDERS: 6.1 No Tender shall be modified after the deadline for submission of Tender. 6.2 No Tender shall be allowed to be withdrawn in the interval between the deadline for submission of Tenders and the expiration of the period of Tender validity specified by the Tenderer on the Tender.

7. BID OPENING: Technical Bid will be opened on the Opening Date & Time specified in the Tender Document. Bidders who are desirous to attend the tender opening of technical ' bid ( strictly one per bidder) may attend with due authorization letter of participating bidders. The date and time of opening of price bid Part -II shall be notified subsequently, after evaluation of technical bids to the technically qualified bidder.

8. PRECEDENCE FOR ACCEPTANCE: If any contradiction / variance is observed in different components of the tender, the following precedence shall be observed: 8.1 Tender Notice and Instructions to Tenderer shall have precedence over Special Conditions and General Terms & Conditions. 8.2 Description in Price Schedule shall have precedence over Particular Specification and Drawings. 8.3 Special Conditions shall have precedence over General Conditions. 8.4 However, the Engineer-in-Charge shall be sole deciding authority with regard to the intention of the document and his decision in this respect shall be final and binding on the Contractor.

9. CONTACTING THE COMPANY: 9.1 No Tenderer shall contact HAL on any matter relating to its Tender, from the time of Tender opening to the time the Contract is awarded. 9.2 Any effort by a Tenderer to influence the Company in any manner in respect of Tender evaluation or Tender comparison or award may result in the rejection of the Bidder's Tender.

10. EXAMINATION OF TENDERS AND DETERMINATION OF RESPONSIVENESS:

10.1 Company will examine the Tenders to determine whether they are complete, whether the documents have been properly signed and whether the Tenders are generally in order. 10.2 Once quoted, Tenderer shall not make any subsequent price changes, whether resulting or arising out of any technical and/or commercial clarifications sought regarding the Tender

11 | P a g e within the scope of service. Such price change shall render the Tender liable for rejection. All responses to request for clarifications shall be in writing. 10.3 Unsolicited clarification to the Tender and/or change in price during its validity period would render the Tender liable for outright rejection.

11. TENDERED OR AGREED RATE: The Contractor shall agree not to petition for revision of rates tendered by him under any circumstances at any stage of work/service or during the tenure of the contract.

12. In the event of any error in the description or in the quantity in Price Bid or any omission there from shall not vitiate the Contractor or release the contractor from the execution of whole or any part of contract comprised therein according to the drawings and specifications, or from any of his obligations under the contract.

13. PAYMENT TERMS: 80% payment will be made within 30 days on receipt and acceptance of material at HAL, Aircraft di vision and balance 20% payment will be made on submission of performance bank guarantee for 1 0% order value, valid for warranty period plus three months . All payments will be made through RT GS/ NEFT.

14. DELIVERY : October 2015

15. PERFORMANCE BANK GUARANTEE : Vendor shall furnish performance bank guarantee as per HAL’s format for 10% of order value valid for warranty period plus three months from a scheduled b ank in India.

16. EARNEST MONEY DEPOSIT:

16.1 EMD for a value of Rs 40,000 /- (USD 800/-) to be submitted in the form of DD / Bankers cheque in the favour of Hindustan Aeronautics Limited , payable at Bangalore enclosed in a cover with tender reference and due date super scribed and should reach the following address or requisite amount to be wire transferred before tender closing date and time . Address Deputy General Manager (Purchase) Hindustan Aeronautics Limited, Aircraft Division (Purchase Department ) Bangalore complex , Bangalore -560017

12 | P a g e Ph No: 080 22322186.

For wire transfer, please make use of the following bank details. ACCOUNT NAME : HINDUSTAN AERONAUTICS LIMITED, AIRCRAFT DIVISION ACCOUNT NO: 10918220602 IFSC CODE : SBIN0001114 BANK NAME : STATE BANK OF INDIA, HAL BRANCH SWIFT CODE : SBININBB147

16.2 Offers not accompanied with requisite amount of EMD or EMD not submitted in the specified form in original shall be summarily rejected. 16.3 EMD will not carry any interest for the period it is retained with HAL .EMD will be forfeited if a bidder with draws, amends , impairs and/ or derogates within validity period. 16.4 Bidders exempted from submission of EMD as per Govt of India directives must submit certified copy of Govt Of India authority for such exemption in lieu of EMD. 16.5 EMD of unsuccessful bidder will be returned after order acceptance by the successful bidder. 16.6 EMD in original should be submitted at the time of opening technical bid. Technical bid without EMD in original form will be rejected.

17. REPEAT ORDER : HAL may place repeat order if required within 12 months from the date of suppli es with a same price ,terms and conditions of original order.

18. EXTENSION OF TIME: If an extension is desired by the supplier, contractor shall apply for extension of time to HAL at least 15 days prior to the date of delivery. HAL may grant extension of time for any cause which HAL may deem proper and the decision of HAL in this respect to be final and binding and cannot be questioned in any manner whatsoever.

19. DELIVERIES,CONSEQUENCES OF BREACH :

The time for and the date of delivery of the stores stipulated in the purchase order shall be deemed to be the essence of the contract, and delivery must be completed on or by the dates mentioned in the purchase order or the tender. should the contractor fail to deliver the stores or any consignment thereof within the period prescribed for such delivery, HAL shall be entitled at their option:

a) To recover from the contractor as agreed liquidated damages, and not by way of penalty, a sum of 0.5% per week of the price of any stores which the contractor has failed to deliver as aforesaid, for each week or part thereof during which the delivery of such stores may be in arrears subject to a maximum of 10% of the price of the stores in default. OR b) To purchase elsewhere, without notice to the contractor on the account and at the risk of the contractor, the stores not delivered or others of a similar description (where other exactly complying with the particulars are not available), HAL's decision in this respect will be final. OR c) To terminate the contract.

13 | P a g e In the event of action being taken under para a & b, the contractor shall be liable for any loss which HAL may sustain on the account but the contractor shall not be entitled to any gain on repurchases made against default.

20. WARRANTY: System should have a warranty of minimum 12 months from the date of receipt of unit fully tested in all respects and accepted by HAL. During warranty period equipment shall be replaced/ repaired free of cost including any to & fro freight/insurance involved.

21. LIQUIDATED DAMAGES: - Delivery is the essence of the contract.and in the event of an order, H AL reserves right to collect a sum of 0.5% per week of the delay or part thereof subject to maximum of 10% as claim towards liquidated damages on undelivered part of the order.

In case LD clause is not accepted, 10% of the value of the item will be loaded in each line value of the item during commercial evaluation.

22. Any order, resulting from the tender, shall be governed by the contents of the tender documents of HAL and any party quoting against this Tender shall be deemed to have read and understood these contents and to have quoted subject to these Tender Document contents.

23. No condition and terms, notice of which has not been given in this enquiry by parties submitting quotations, will be considered by HAL, if put forward in subsequent correspondence after acceptance of orders etc.

24. WRONG INFORMATION: If the Tenderer deliberately gives wrong information in his tender to create circumstances for the acceptance of his Tender, HAL reserves the right to reject his Tender without any reference to the Tenderer and forfeit the EMD and take Administrative action against the Tenderer like non-issuance of Tenders etc., as deemed fit by the Accepting Officer.

25. FALL CLAUSE: Contractor confirms that the rates agreed represent the lowest rates that are being charged by them to any of their customers for similar service rendered under similar circumstances. Contractor further undertakes that any reduction in the rates included in the agreed rates as may be applied to any other customers for whom similar services under similar circumstances are rendered by the Contractor, shall be automatically applicable to HAL.

26. COMPANY’S RIGHT TO ACCEPT ANY TENDER AND TO REJECT ANY TENDER: The Company reserves the right to accept or reject any Tender, and to annul the Tendering process and reject all Tenders at any time prior to award of the Contract without thereby incurring any liability to the affected Tenderer(s) or any obligations to inform the affected Tenderer(s) of the ground for Company's action.

27. TERMINATION OF CONTRACT: 27.1 HAL would be at liberty to terminate the Contract in case the renderer's job is found not up to the mark. 27.2 Termination for Default: HAL reserves its right to terminate the Contract, without prejudice to any other remedy for breach of Contract, by giving one month notice if Contractor fails to perform any obligation(s) under the Contract and if Contractor, does not cure his failure within a period of 30 days (or such longer period as HAL may authorize in writing) after receipt of the default notice from HAL. 27.3 Termination for Insolvency: HAL may at any time terminate the Contract by giving written notice without compensation to Contractor, if Contractor becomes bankrupt or otherwise

14 | P a g e insolvent, provided that such termination will not prejudice or affect any right of action or remedy which has accrued or will accrue thereafter to HAL. 27.4 Termination for Convenience: HAL may by written notice sent to Contractor, terminate the Contract, in whole or part, at any time for its convenience. However, the payment shall be released to the extent to which performance of work executed as determined by HAL till the date upon which such termination becomes effective.

28. WAIVER OR TRANSFER OF THE CONTRACT: The successful Tenderer shall not waive the Contract or transfer it to third parties, whether in part or in whole, nor waive any interest that is included in the Contract without the prior written permission of the Company.

29. MODIFICATION: Any modification of or addition to the Contract shall not be binding unless made in writing and agreed by both the parties.

30. SUB CONTRACT: Sub Contracting without HAL prior written confirmation is not permitted for the tendered service.

31. NOTICES: 31.1 Any notice given by one party to the other pursuant to the contract shall be sent in writing by Courier or fax or e-mail with scanned copy of the notice duly signed by the authorized representatives of either party. 31.2 A notice shall be effective when delivered or on the notice's effective date, whichever is later.

32. PARALLEL CONTRACT: The Contract entered with the successful tender resulting from this tender shall not debar HAL from entering into any Similar Contract or thereafter parallelly with any other contractors.

33. BRIBES & GIFTS: Any bribe, commission, gift or advantage given, promised or offered by or on behalf of the bidder or his parties, agent or servant or any one on his or their behalf to any officer, servant, representative or agent of HAL or any person on his or their behalf in relation to the obtaining or to the execution of this or any other contract with HAL shall in addition to any criminal liability which the bidder may incur, subject the bidder to the cancellation of this and all other contracts with HAL and also to payment to HAL of any loss or damage resulting from any such cancellation thereof. Any question or dispute as to the commission of any offence under the present clause shall be settled by HAL in such manner and on such evidence or information as HAL may think fit and sufficient and HAL decision shall be final and conclusive.

34. ARBITRATION: In the event of any disputes or differences arising out of this contract or connected thereto whether before or after the termination / cancellation of the Contract, the same shall be referred to the sole arbitration of any person who shall be appointed by the Managing Director / General Manager, at his sole discretion. There shall be no objection to any such an appointment even if the arbitrator so appointed is an employee of any of the HAL Divisions / branches. Such an appointment of arbitrator shall not take place unless and until a written request for appointment of Arbitrator from either of the parties to the contract has been received by the Managing Director / General Manager as aforesaid. If the arbitrator into whom the matter is originally referred or the Arbitrator who has been appointed in place of the Arbitrator originally appointed, dies or unable to act as Arbitrator for any reason whatsoever, the Managing Director / General Manager aforesaid, shall appoint at his sole discretion any other person to act as Arbitrator in place of the Arbitrator into whom the matter is originally referred appointed or the Arbitrator who has been appointed in place of the Arbitrator originally appointed, as the case may be. Such person appointed as Arbitrator shall be entitled to proceed with reference from the stage at which it was left by his predecessor It is a

15 | P a g e term of this contract that no person other than a person appointed by the Managing Director / General Manager as aforesaid should act as Arbitrator and if for any reason that is not possible, the matter is not to be referred to arbitration at all. The Arbitrator may from time to time with consent of the parties enlarge the time for making and publishing his award. The Arbitrator shall be deemed to have entered on the reference on the date on which the first hearing takes place. The venue of arbitration shall be such place as may be fixed by the Arbitrator at his sole discretion. The award of the Arbitrator shall be final, conclusive and binding on both the parties to Contract Subject to as aforesaid, the provisions of the Arbitration and Conciliation Act, 1996 or any Statutory modification or re-enactment thereof and the rules made thereunder from time to time and for the time being in force, shall apply to the arbitration proceeding under this clause.

35. JURISDICTION: Notwithstanding anything contained anywhere in any documents pertaining to this contract, the Court at Bangalore alone shall have the jurisdiction to try and deal with any matter, whatsoever arising out of this contract.

36. INDEMNITY: The contractor shall at all times indemnify HAL against all claims which may be claimed in respect of the stores for infringement of any right protected by patent, registration of design or trade mark.

37. Pre-Qualification Criteria : Vendor should have experience in repair of hand controller of any military aircraft.

38. INSPECTION, CONSEQUENCES OF REJECTION: The goods on receipt in HAL will be subject to inspection and tests, if necessary and HAL inspector’s decision as regards acceptance/rejection of goods shall be final and binding on the parties. (In case of Plant & Machinery, goods shall be finally inspected & accepted only after successful commissioning) If any stores are rejected, HAL shall be at liberty to: a) Now the contractor to re-submit stores in replacement of those rejected within a time specified by HAL, the contractor bearing the cost of freight in such replacement without being entitled to any extra payment. OR b) Buy the quantity of stores rejected or other of a similar nature elsewhere at the risk and cost of the contractor without effecting the contractor's liability as regards the supply of any further consignments due under the contract. OR c) Terminate the contract and recover from the contractor the loss HAL may thereby incur. The contractor shall not be entitled to any gain on the repurchase. OR d) Any stores rejected by HAL's Inspector must be removed by the contractor within 14 days from the date of receipt of intimation of rejection and at his own cost, failing which the contractor shall be liable to pay storage charges at 1% for each day of delay on the invoice value of the stores. If the stores are not removed within a month from the date of intimation of rejection, the stores will be liable, to be sold by HAL at the contractor’s risk and responsibility and the proceeds adjusted towards storage charges. In case any payment is made against delivery and it is found that the supplied item is rejected during inspection/commissioning, contractor will be required to choose any one of the following options to collect the rejected item for replacement. Refund the amount paid and collects the item for replacement. Submit a Bank Guarantee for the amount already paid and collect the item for replacement. Bring the replacement item to HAL and collect the rejected item

16 | P a g e 39. IMMUNITY TO GOVERNMENT OF INDIA: It is understood and agreed that the government of India is not a party to this agreement and has no liabilities, obligations or rights hereunder. It is expressly understood and agreed that HAL is an independent legal entity with power and authority to enter into contracts solely on its own behalf under the applicable laws of India and General Principles Contract Law. The vendor shall agree , acknowledge and understand that HAL is not an agent , representative or delegate of the government of India .It is further understood and agreed that the government of India is not and shall not be liable for any acts , omissions , commissions breaches or other wrongs arising out of the contract. Accordingly, vendor expressly waives releases and foregoes any and all actions or claims against the Government Of India arising out of this contract, not to sue the government of India as to any manner, claim, cause of action or any thing whatsoever arising out of or under this agreement.

40. CONFIDENTIALITY: The Supplier shall hold confidential technical data and information supplied by the Purchaser or on behalf of the Purchaser and shall not reproduce any such technical data or info rmation or divulge the same to any third party without the prior written consent of the Purchaser. Th e Purchaser shall hold confidential technical data and information supplied by the Supplier or on be half of the Supplier and shall not reproduce any such technical data or information or divulge the sa me to any third party without prior written consent of the Supplier except as far as may be necessar y for either party to carry out its obligations under this Contract.

In development orders, where technical inputs /assistance is provided to the vendors , the intellectual proprietary rights (IPR) will rest with HAL. Vendor will not directly deal with HAL’s customer for these items.

41. POST-WARRANTY SERVICE: Arrangements for after sales service and maintenance (authorized service centre) in India on site during warranty & post warranty period should be clearly indicated providing with name, address, phone, fax, contact person, infrastructure along with spare parts inventory held by your Authorized Technical

42. HAL is under no obligation by merely issuing this RFQ to pay any cost incurred in the preparation or submission of any response.

43. EXIT CLAUSE IN A CONTRACT The contract/order may be terminated under the following circumstances:

i. In the event of unsatisfactory performance by the seller during the contract period , or any of the information provided by the Seller is found to be untrue, or seller is found to have attempted to influence any person involved with the contract through unethical means, the contract shall be terminated with 3 months advance notice without any financial implication to Buyer. Notwithstanding the foregoing , in cases where it is found that the a Seller is engaged in unethical practices , they shall be barred from participating in the future contracts for a period of 2 years.

17 | P a g e ii. If there is change in Buyer requirement , contract shall be terminated with 3 months advance notice. The liability of Buyer in this case will be agreed mutually. In event of termination of contract by either party the Seller shall ensure the following : a) IPR's are transferred to Buyer to enable Buyer to proceed on the work with other Seller. Seller also will render all assistance till the other Seller fully take over the balance work. b) Transfer title and deliver all or any part thereof of the supplies , materials, work-in-progress , finished Products, Tooling , drawings and data produced or acquired by Seller specifically for the Product being terminated. c) Supply of products and its components / spares at least for a period of 1 year from the date of such termination. iii. The Seller is declared bankrupt or becomes insolvent. iv . The delivery of material is delayed due to causes of Force Majeure by more than 3 months. v. Based on the decision of the Arbitration Tribunal.

Engineer (Purchase)-BA3

Aircraft Division

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