Terms of Trade
Terms and Conditions of Trade
The commercial terms applying to products and services supplied by New Zealand Hydrogen.
New Zealand Hydrogen is a trading name of CMK Creative Limited, NZBN 9429030170476. In these terms, CMK Creative Limited is called the Supplier.
These terms should be read with the quotation, order confirmation, product specification, warranty schedule and any project-specific agreement supplied to the Customer.
By signing or electronically accepting a quotation, submitting an order that refers to these terms, paying a deposit, instructing the Supplier to begin work, or accepting Goods or Services, the Customer accepts the Agreement.
If the documents conflict, a signed variation or project-specific contract takes priority, followed by the accepted quotation, the product specification and warranty schedule, and then these terms.
1. Definitions and Orders
Definitions and Orders
These definitions and ordering rules establish which documents form the Agreement and when the Customer is bound by it.
Definitions
In these terms:
Agreement means the accepted quotation, order confirmation, product specification, warranty schedule, these Terms and Conditions of Trade and any written variations agreed by the parties.
Customer means the person or organisation purchasing Goods or Services from the Supplier.
Goods means the equipment, components, software, documentation and other products described in the quotation.
Quotation means the written proposal or quotation issued by the Supplier.
Services means design, consulting, installation, testing, commissioning, training, maintenance or related services described in the quotation.
Supplier means CMK Creative Limited, trading as New Zealand Hydrogen, including its authorised employees, agents and subcontractors where appropriate.
Working Day means a day other than a Saturday, Sunday or public holiday in New Zealand.
Application and Acceptance
These terms apply to every supply of Goods or Services by the Supplier unless the Supplier agrees otherwise in writing.
The Customer's signing or electronic acceptance of a quotation, submission of an order referring to these terms, payment of a deposit, instruction to begin work, or acceptance of Goods or Services constitutes acceptance of these terms.
Any term in a Customer purchase order, instruction or other communication that is inconsistent with or additional to the Agreement does not bind the Supplier unless the Supplier expressly accepts it in writing. The Supplier's failure to object to a Customer communication does not waive or vary these terms.
Quotations and Orders
Unless stated otherwise, a quotation remains valid for 30 days from its issue date.
An order is not binding on the Supplier until it has been accepted in writing and the initial payment has been received in cleared funds.
Product performance, dimensions, weight, appearance and specifications may be subject to reasonable manufacturing or engineering changes. The Supplier will notify the Customer if a proposed change materially affects the intended use, performance or price of the Goods.
The Customer is responsible for checking that the Goods and Services described in the quotation are suitable for its intended application.
2. Prices and Payment
Prices and Payment
The standard payment schedule reflects the early purchasing and manufacturing commitments required for high-value equipment.
Prices, Tax and Currency
Prices are stated in New Zealand dollars and exclude GST unless the quotation states otherwise.
The Customer must pay GST and any other applicable taxes, duties, levies or government charges in addition to the quoted price.
For imported equipment or components, the quotation may be based on an identified exchange rate. If the exchange rate changes materially before the Supplier commits to the relevant overseas purchase, the Supplier may adjust the affected portion of the price after explaining the adjustment. The Supplier will not change an accepted price solely because its own margin expectations have changed.
Payment Schedule
Unless the quotation states otherwise, the following staged payments apply.
60% With the Order
The Customer must pay 60% of the total price when placing the order.
Purchasing, engineering and production will not begin until the Supplier has received the signed order and cleared funds.
25% At the Build Milestone
The Customer must pay a further 25% when the agreed build milestone has been reached.
Unless the quotation defines another milestone, this occurs when major components have been procured or committed and assembly is approximately 50% complete.
The Supplier will provide reasonable evidence of progress, which may include a written progress report, photographs or confirmation from the manufacturer. The Customer must identify any reasonable concern about that evidence within five Working Days.
15% Before Dispatch
The remaining 15% is payable after completion of the agreed factory testing and before the Goods are dispatched.
The Supplier is not required to release, ship or deliver the Goods until it has received all amounts due in cleared funds.
Where a quotation includes installation or commissioning, the parties may agree to retain part of the final payment until commissioning. The retained amount, acceptance procedure and payment date must be recorded in the quotation.
Payment Method
The Customer must pay invoices by electronic transfer to the bank account shown on the Supplier's invoice.
The Customer is responsible for bank charges, currency-conversion charges and international transfer fees. The Customer must not deduct, set off or withhold an amount unless required by law or agreed by the Supplier in writing.
3. Freight, Changes and Cancellation
Freight, Changes and Cancellation
Freight and project changes are separately controlled because they can create significant third-party commitments.
International Freight and Export Costs
Unless the quotation expressly states that freight is included, the Customer must pay all costs associated with transporting the Goods from the agreed dispatch location.
These costs may include:
- Export packaging and preparation;
- Freight, handling and transit insurance;
- Export documentation, port and terminal charges;
- Customs clearance, import duties, taxes and levies;
- Storage and demurrage;
- Destination delivery; and
- Special lifting or handling equipment.
The Customer must pay estimated freight and export costs in cleared funds before freight is booked or the Goods are released. A shortfall is payable before dispatch or promptly after invoice if it could not reasonably be established earlier. A material surplus will be credited or refunded.
Each international quotation should state the applicable Incoterms 2020 rule and named delivery location. The Customer is responsible for confirming that the Goods may lawfully be imported, installed and operated in the destination country unless the quotation assigns that responsibility to the Supplier.
Customer-Requested Changes
A request to change the specification, quantity, delivery location, programme or Services must be made in writing.
The Supplier may provide a variation describing the resulting change to the price, payment schedule and expected completion date. The Supplier is not required to carry out a requested change until the Customer accepts the variation in writing.
The Customer must pay for work completed, components ordered and reasonable costs incurred before a change or cancellation takes effect.
Cancellation
The Customer may request cancellation in writing, but cancellation is not effective until acknowledged by the Supplier.
Following Customer cancellation, the Supplier may retain or recover amounts reasonably required to cover:
- Design, engineering and administrative work completed;
- Goods and components purchased or manufactured;
- Non-cancellable supplier and manufacturer commitments;
- Cancellation, restocking and return charges;
- Currency and freight commitments;
- Work needed to place partially completed Goods into a recoverable condition; and
- Other reasonable and foreseeable losses resulting from cancellation.
The Supplier will provide a reasonable explanation of the calculation. Any part of the Customer's payments remaining after the permitted costs and losses have been deducted will be refunded.
Custom-made, specially configured or imported Goods may have little or no recoverable value. A quotation may identify particular payments or supplier commitments that cannot be recovered following cancellation.
4. Delivery, Risk and Acceptance
Delivery, Risk and Acceptance
The quotation and any applicable Incoterms rule determine delivery responsibilities and the point at which risk passes.
Delivery and Delay
Any delivery, completion or commissioning date is an estimate unless the Supplier expressly guarantees the date in writing.
The Supplier will use reasonable efforts to meet the agreed programme but is not responsible for delay caused by matters outside its reasonable control, including supplier or shipping disruption, customs delays, shortages, industrial action, severe weather, government restrictions, failure of utilities or communications, or Customer delay.
The Supplier will notify the Customer of a material delay and provide an updated estimate when reasonably possible. If the Customer cannot accept delivery when the Goods are ready, the Supplier may arrange storage at the Customer's risk and cost.
Risk and Ownership
Risk in the Goods passes to the Customer at the point stated in the quotation or applicable Incoterms rule.
If no point is stated, risk passes when the Goods are delivered to the Customer or collected by the Customer or its carrier.
Ownership remains with the Supplier until all amounts owing under the Agreement have been received in cleared funds.
Until ownership passes, the Customer must keep the Goods identifiable, protected and adequately insured. It must not dispose of them or grant another security interest over them except in the ordinary course of an agreed business activity.
The Customer grants the Supplier a security interest in the Goods and their proceeds to secure all amounts owing. The Customer agrees to provide information and sign documents reasonably required for the Supplier to register and maintain that interest on the Personal Property Securities Register.
Inspection, Testing and Acceptance
The Supplier may conduct the factory or pre-delivery testing described in the quotation.
The Customer must inspect the Goods promptly after delivery and notify the Supplier in writing of visible shipping damage, shortages or an apparent failure to match the agreed specification.
Unless the quotation states otherwise, notice should be given within five Working Days. This period does not remove applicable rights relating to a latent defect or an express warranty.
Where site acceptance testing is included, the procedure, criteria, responsibilities and acceptance period must be described in the quotation or commissioning plan.
5. Site, Operation and Warranty
Site, Operation and Warranty
Safe installation and operation depend on suitable site services, compliant infrastructure and the specified hydrogen quality.
Installation and Site Requirements
Unless installation is expressly included, the Customer is responsible for installation and connection of the Goods.
The Customer must provide safe access and, as applicable, suitable foundations, ventilation, weather protection, electrical connections, water treatment, hydrogen supply and storage, fire protection, hazardous-area controls, consents, lifting equipment, security, communications and competent operators.
Installation, operation and maintenance must comply with manufacturer instructions and applicable laws, standards and regulatory requirements. The Supplier may suspend work if it reasonably considers the site, equipment or proposed activity unsafe or non-compliant.
Hydrogen and Fuel Supply
Unless the quotation states otherwise, hydrogen, other fuels, utilities and consumables are not included.
The Customer must ensure that hydrogen meets the required purity, pressure, temperature, flow-rate and contaminant specifications.
Damage or reduced performance caused by unsuitable hydrogen, contaminated fuel, inadequate utilities or operation outside specified conditions is not covered by warranty unless caused by the Supplier.
Stated consumption, runtime, output and efficiency figures depend on operating conditions and are subject to the assumptions and tolerances in the product specification.
Warranties
The applicable warranty period and conditions will be stated in the quotation, product specification or warranty schedule.
Goods manufactured by another company may be covered by that manufacturer's warranty, and the Supplier will provide reasonable assistance with a valid claim.
Unless the Agreement states otherwise, a warranty does not cover normal wear, consumables, accidental damage, incorrect installation by another party, misuse, inadequate maintenance, operation outside specified conditions, unauthorised modification, unsuitable utilities or damage after transit risk has passed.
The Customer must notify the Supplier promptly after discovering a possible defect and provide reasonable access, operating records, photographs and diagnostic information. Nothing in these terms limits a warranty or remedy that cannot lawfully be excluded.
Maintenance and Support
The Customer is responsible for required inspections, servicing, software updates and preventative maintenance.
Maintenance, consumables, replacement parts, travel, accommodation and after-hours support are chargeable unless expressly included. Remote monitoring may depend on third-party networks and is not guaranteed to be continuously available.
6. Default and Liability
Default and Liability
Overdue payments may delay the project, while statutory rights and liabilities that cannot lawfully be excluded remain protected.
Late Payment and Default
An amount not paid by its due date may accrue interest at 12% per annum, calculated daily from the due date until payment.
The Customer must reimburse reasonable actual costs incurred in recovering an overdue amount, including debt-recovery and legal costs.
The Supplier may suspend purchasing, manufacture, delivery, installation, commissioning, warranty work or other Services while an undisputed amount remains overdue. Any resulting programme delay will extend delivery or completion dates by a reasonable period.
Interest will not be charged on an amount disputed genuinely and in good faith if the Customer promptly identifies the disputed amount and reasons and pays the undisputed portion by its due date.
If the Customer remains in material default after reasonable written notice, or becomes insolvent, the Supplier may terminate the Agreement, recover Goods in which it retains an enforceable interest and claim amounts properly owing.
Liability
To the extent permitted by law, neither party is liable to the other for indirect or consequential loss, loss of profit, revenue, production, opportunity or anticipated savings arising from the Agreement.
Subject to rights and liabilities that cannot lawfully be excluded, the Supplier's total liability arising from an order will not exceed the amount paid or payable to the Supplier under that order.
These limitations do not apply to fraud, wilful misconduct, breach of confidentiality, infringement of another party's intellectual property or liability that the law does not permit the parties to limit.
The Customer is responsible for maintaining appropriate insurance, operational contingency plans and backup arrangements for critical loads.
Consumer and Business Transactions
Nothing in these terms excludes or limits rights under the Consumer Guarantees Act 1993, Fair Trading Act 1986 or other legislation where those rights cannot lawfully be excluded or limited.
Where the Customer acquires the Goods or Services in trade, both parties are in trade and it is fair and reasonable to do so, the parties agree in writing that the Consumer Guarantees Act 1993 will not apply. Any contracting-out applies only to the extent permitted by law.
7. Information and General Terms
Information and General Terms
These provisions protect project information and establish how unforeseen events, disputes and changes are managed.
Intellectual Property
Each party retains ownership of intellectual property it owned or developed independently before the Agreement.
Unless stated otherwise, the Supplier and relevant manufacturers retain ownership of product designs, drawings, software, control logic, technical documentation and manufacturing information.
After full payment, the Customer may use documentation supplied with the Goods for installation, operation and maintenance. The Customer must not reproduce, reverse-engineer, commercialise or disclose proprietary material except as permitted by law or authorised in writing.
Confidentiality
Each party must protect confidential technical, commercial and financial information received from the other party.
It may be disclosed to employees, professional advisers, financiers, insurers, regulators and subcontractors who need it for the Agreement and are subject to appropriate confidentiality obligations.
This requirement does not apply to information that is public through no breach, was already lawfully known, is independently developed or must be disclosed by law.
Force Majeure
Neither party is responsible for failure or delay caused by an event outside its reasonable control, except that this does not excuse payment of an amount already due.
The affected party must notify the other, take reasonable steps to reduce the effect and resume performance when reasonably possible.
If the event continues for more than 90 days and substantially prevents completion, either party may request termination. The Customer must pay for completed work, committed components and reasonable unavoidable costs incurred up to termination.
Dispute Resolution
A party raising a dispute must give written notice describing the issue.
The parties will first try to resolve it through good-faith discussions between authorised representatives.
If it is not resolved within 15 Working Days, either party may request mediation in New Zealand. Nothing prevents urgent interim relief, recovery of an undisputed debt or protection of property or intellectual property.
Governing Law
The Agreement and each transaction between the parties are governed by New Zealand law.
The parties submit to the non-exclusive jurisdiction of the New Zealand courts, subject to the dispute-resolution process above.
Notices and General Provisions
Formal notices must be sent to the postal or email addresses recorded in the quotation or subsequently notified in writing.
An email notice is treated as received on the next Working Day unless the sender receives a delivery-failure notification.
A variation must be recorded in writing and accepted by both parties. If any term is declared invalid or unenforceable by a court, arbitrator or other body with jurisdiction, the remaining terms continue in full force. A failure or delay in enforcing a right does not waive that right.
The Customer may not transfer the Agreement without prior written consent. The Supplier may use suitably qualified manufacturers, contractors and service providers while remaining responsible for its own contractual obligations.
Changes to the website version do not retrospectively alter an accepted order. The version identified in the quotation or accepted when the order was placed continues to govern that order.
8. Contact
Contact
Questions and formal notices relating to these terms may be sent to New Zealand Hydrogen.
CMK Creative Limited
Trading as New Zealand Hydrogen
NZBN 9429030170476
Cambridge
Waikato, New Zealand
mark@nzhydrogen.com
Contact New Zealand Hydrogen
Customers should obtain independent legal, financial, technical and regulatory advice where appropriate before ordering high-value, custom-built or internationally supplied equipment.