Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Wind Farm
Design and Construction Agreement
between
[]
and
Vestas
[] ,201
Page 1 of 61
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TABLE OF CONTENTS
1. DEFINITIONS
11
2. PURPOSE
17
3. CONTRACTOR OBLIGATIONS
17
17
3.2 Permits
3.2.1 Contractor Permits
3.2.2 List of Permits
17
17
17
17
18
18
18
18
3.4 Insurance
18
18
18
20
22
22
22
22
23
23
23
23
23
23
23
23
24
3.8 Reporting
3.8.1 Monthly Progress Reports
3.8.2 Monthly Progress Meetings
3.8.3 Recovery Plans and corrective actions
24
24
24
24
25
3.10
25
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3.10.1
3.10.2
3.10.3
3.11
25
25
25
Maintenance Works
26
3.12 Liens
26
3.12.1
No Liens allowed
26
3.12.2
Employers Indemnity
26
3.12.3
Direct payment and deduction from the amounts owed to the Contractor
26
3.13 Design Responsibility
3.13.1
General Design Obligations
3.13.2
Compliance with good technical standards and applicable laws and
regulations.
3.13.3
As-Built Documents and operation and maintenance manuals
26
26
3.14
27
Design Errors
27
27
27
27
28
29
29
29
30
30
31
31
3.18
Cooperation on Site
31
3.19
Quality Assurance
31
3.20
Progress Report
32
3.21
32
29
30
30
30
30
4. EMPLOYER OBLIGATIONS
32
4.1 Payment
32
4.2 Insurance
33
33
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4.4 Permits
33
33
5. TIME
33
33
33
34
34
34
35
35
35
35
35
35
36
36
36
36
37
37
37
37
38
38
38
39
39
7.1 Price
39
7.2 Payments
40
40
41
41
41
41
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9. PRODUCT WARRANTIES
42
42
43
43
43
44
44
44
10.
FORCE MAJEURE
44
10.1
44
10.2
45
11.
INDEMNIFICATIONS
46
11.1
46
11.2
46
11.3
Indemnification Procedure
46
12.
47
13.
SUSPENSION
48
14.
48
14.1
48
14.2
49
14.3
50
14.4
51
14.5
15.
CONTRACTUAL LIABILITY
13.1.1
13.1.2
13.1.3
48
48
48
52
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52
52
16.
INSURANCE
52
16.1
52
16.2
53
16.3
54
16.4
55
16.5
Automobile Insurance
55
16.6
55
17.
OTHER COVENANTS
55
17.1
Confidentiality
55
17.2
Public Announcements
56
17.3
Assignment
56
17.4
Complete Agreement
56
17.5
Severability
56
17.6
Amendments
56
17.7
Independence
57
17.8
57
17.9
Annexes
57
17.10 Subcontracting
57
17.11 Language
57
17.12 Notices
58
59
17.14 Privity
59
18.
59
18.1
Applicable Law
59
18.2
59
Page 6 of 61
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List of Annexes
Annex 1
Annex 1.1
Annex 1.2
Annex 1.3
Annex 1.4
Annex 1.5
Annex 1.6
Annex 1.7
Annex 1.8
Annex 1.9
Annex 1.10
Annex 1.11
Annex 1.12
Annex 1.13
Annex 1.13.1
Annex 1.13.2
Annex 1.13.3
Annex 1,13.4
Annex 1.13.5
Annex 1.13.6
Annex 1.13.7
Annex 1.14
Annex 1.14.1
Annex 1.14.2
Annex 1.14.3
Annex 1.14.4
Annex 1.14.5
Annex 1.14.6
Annex 1.14.7
Annex 1.14.8
Annex 1.14.9
Annex 1.15
Annex 1.16
Annex 1.17
Annex 1.18
[Annex 1.19
[Annex 1.20
[Annex 1.21
Annex 2
Annex 2.1
Annex 2.2
Annex 2.3
Annex 2.4
Annex 2.5
Annex 2.6
Annex 2.7
Annex 2.8
Civil Works
Final Site Layout
Site and Access Roads and Crane Pad Specifications
Cable Trench Specification
Substation Civil Works
Tower Foundation Specification
Warehouse and Site Facilities
Other Civil Works
Scheduled Maintenance of Civil Works
To be deleted if Vestas is not responsible for grid compliance under the Turnkey Agreement.
To be deleted if Vestas is not responsible for design and construction of transmission lines under the
Turnkey Agreement.
3
To be deleted if Vestas is not responsible for changes to roads, etc. under the Turnkey Agreement.
2
Page 7 of 61
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Annex 3
Annex 3.1
Annex 3.1.1
Annex 3.2
Annex 3.2.1
Annex 3.3
Annex 3.4
[Annex 3.5
[Annex 3.6
Electrical Works
Substation Electrical Works
Substation Single-line Diagram
Power Collector System
Power Collector System Single-line Diagram
Wind Farm Earthing System
Scheduled Maintenance of Electrical Works
Grid Compliance] 4
Transmission Lines] 5
Annex 4
Annex 4.1
Annex 4.2
Permits
Employer Permits
Contractor Permits
Annex 5
Annex 5.1
Time
Time Schedule
Annex 6
Annex 6.1
Annex 6.2
Annex 6.3
Price
Price Specification
Payment Schedule
Rate and Cost Schedule
Annex 7
Annex 7.1
Annex 7.2
Annex 7.3
Annex 7.4
Annex 7.5
Annex 7.6
Annex 7.7
Annex 7.8
Annex 7.9
Annex 7.10
Annex 7.11
Annex 7.12
Annex 7.13
Annex 7.14
Annex 7.15
Annex 7.16
Annex 7.17
Annex 8
Annex 8.1
Annex 8.2
Insurance
Contractors Insurances
Employers Insurances
Annex 9
Annex 9.1
Annex 9.2
Contractors Documents
List of Contractors Documents
Contractors Health and Safety Plan
To be deleted if Vestas is not responsible for grid compliance under the Turnkey Agreement.
To be deleted if Vestas is not responsible for design and construction of transmission lines under the
Turnkey Agreement.
5
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Annex 10
Annex 10.1
Subcontractors
Approved Subcontractors
Page 9 of 61
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PREAMBLE
This Design and Construction Agreement is executed in []6, on []7, 201[]8 (Effective
Date).
BY AND BETWEEN
[]9, having its registered office at [], registration no. [], tax identification number [], a
company organised under the laws of [] and duly represented by [] (the Contractor),
AND
Vestas , having its registered office at , registration no.
, tax identification number , a company organised under the
laws of and duly represented by (the Employer).
RECITALS
A.
The Contractor is a company engaged in the design and construction of civil works
and electrical works at wind power electric generation facilities.
B.
The Employer is a company engaged in the supply and installation of wind turbine
generators, the construction of wind farms and the maintenance and servicing
thereof.
C.
The Employer and [_____________] (the Owner) have entered into that certain
Turnkey Agreement, dated [_________], (the Turnkey Agreement) pursuant to
which Employer has agreed to deliver a turnkey windfarm to be located in [] 10.
D.
The Employer wishes to engage the Contractor, on the terms and conditions herein
set forth, to design and construct civil and electrical works for the Wind Farm, and the
Contractor wishes to be so engaged in consideration of the payment of the Price.
Page 10 of 61
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1.
DEFINITIONS
Access Roads
means the roads between the Public Roads and the Site
Roads as more particularly described in Annex 2.1 [Final
Site Layout];
Agreement
Annex
Applicable Law
Approved
Subcontractor
Blade Set
Business Day
Change in Control
Civil Works
11
12
Page 11 of 61
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means (i) with respect to the General Civil Works, the test
described in Annex 7.9 [Civil Works Test General Test]
and (ii) with respect to the Substation Civil Works, the test
described in Annex 7.11 [Civil Works Substation Test];
Contractor
Contractor Security
Contractor Works
Contractors
Documents
Contractors
Equipment
Contractors Health
and Safety Plan
Crane Pad
Day
Defect
Page 12 of 61
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Effective Date
Electrical Works
Electrical Works
Commissioning
Completion Certificate
Electrical Works
Commissioning Test
Electrical Works
Reliability Test
means
(i) the Electrical Works Commissioning Test which is
successfully performed when each point in Annex
7.14 [Electrical Works Commissioning Test] is
completed, and
(ii) the Electrical Works Reliability Test;
Employer
Employer CAR
Employer Competitor
means
(i) any wind turbine manufacturer or a company which
provides service and maintenance of wind turbines,
(ii) any company who is owned or controlled by a wind
turbine manufacturer or a company which provides
service and maintenance of wind turbines, directly
or indirectly or
(iii) any company who owns or controls a wind turbine
manufacturer or a company which provides service
and maintenance of wind turbines, directly or
indirectly;
Page 13 of 61
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Excusable Event
has the meaning and effect set forth in subclauses 5.2 and
5.3;
Force Majeure
Foundation Section
ICC
Indemnified Party
Indemnifying Party
Lien
Main Contract
Milestone Payment
Nacelle
Owner
Parties
Party
Payment Schedule
Page 14 of 61
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[Payment Schedule];
Permanent Wind Farm
Energisation
Permits
Point of Common
Coupling or PCC
Price
Project
Public Roads
Site
Site Roads
Subcontractor
Technical
Specifications
13
Check that the Point of Common Coupling is described in Annex 3.1 [Substation Electrical Works].
Page 15 of 61
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Time Schedule
Tower
Tower Foundation
Turnkey Agreement
Variation
Wind Farm
Wind Turbine or
WTG
WTG Location
Year
14
Page 16 of 61
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2.
PURPOSE
The Contractor agrees to perform the Contractor Works in consideration of its receipt of the
Price from the Employer, all subject to and in accordance with the terms and conditions of
this Agreement.
The Contractor shall execute the Contractor Works which shall include the design, material
procurement, manufacturing, tests and control during execution, Trial operation
Supervision, warranty obligations and all necessary work to be executed by the Contractor
in accordance with the Agreement.
The Contractor shall carry out the execution of the Contractor Works in a proper
workmanlike and careful manner, in accordance with recognized good practice and
according to the Agreement.
3.
CONTRACTOR OBLIGATIONS
3.1
Contractor Security
3.1.1
In order to guarantee the obligations of the Contractor under this Agreement, the
Contractor shall provide the Contractor Security on the Effective Date. The
Contractor shall be responsible for all costs of obtaining and maintaining the
Contractor Security until completion of the Contractor Works. If the Price increases
as a result of a Variation or otherwise, the Contractor shall amend the Contractor
Security so it also guarantees such increase of the Price.
3.2
Permits
3.2.1
Contractor Permits
The Contractor shall have obtained, been granted, or have procured all the Permits
necessary for the performance of the Contractor Works and for the remedying of
Defects in relation to the Contractor Works, except for those Permits that are set
forth in Annex 4.1 [Employer Permits].
3.2.2
List of Permits
A non-exhaustive list of the Permits that the Contractor shall obtain as a minimum is
set out in Annex 4.2 [Contractor Permit s]. The Contractor has obtained those
Permits listed under the heading Permits obtained prior to the Effective Date in
Annex 4.2 [Contractor Permits]. The Contractor shall obtain all other Permits, to be
obtained by the Contractor, on or before the date by which such Permit is required
in order not to delay the Contractor in performing its obligations under this
Agreement.
3.3
Page 17 of 61
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3.3.1
3.3.2
3.3.3
3.3.4
Employers Approval
No Works shall be executed until the Employer has approved or reviewed the
relevant Contractors Documents. Such review and approval shall promptly be
notified by the Employer to the Contractor.
Any such approval or consent, or any review (under this Sub-Clause or otherwise)
shall not relieve the Contractor from any obligation or responsibility.
3.4
Insurance
The Contractor shall take out the insurances in accordance with clause 16.
3.5
Contractor Works
3.5.1
Civil Works
The Contractor shall execute and deliver to the Employer the completed Annex 7.2 [Form
of Notice of Commencement of Civil Works] upon commencement of the civil works on the
Site. The Contractor shall perform the civil works under this Agreement in accordance with
the Time Schedule. The Civil Works shall include the following:
Page 18 of 61
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a. development of the final layout for the Site as provided in Annex 2.1 [Final
Site Layout]. The final layout for the Site shall be based on the preliminary
layout for the Site set forth in Annex 1.1 [Preliminary Site Layout];
b. design of the Access Roads and Site Roads as provided in Annex 2.2 [Site
and Access Roads and Crane Pad Specifications]. The Contractor shall
construct the Access Roads and Site Roads in accordance with Annex 2.2
[Site and Access Roads and Crane Pad Specifications] at the locations set
forth in Annex 2.1 [Final Site Layout]. The design and construction of the
Access Roads and Site Roads shall comply with the specifications set forth
in Annex 1.5 [Road, Crane Pad and Hardstand Specifications for Vestas
MW Turbines] and with any relevant information provided in any other
Annex of this Agreement;
c. design of trenches as provided in Annex 2.3 [Cable Trench Specification].
The Contractor shall construct the trenches in accordance with Annex 2.3
[Cable Trench Specification] at the locations set forth in Annex 2.1 [Final
Site Layout]. The Contractor shall place the power cables, earth conductors
and fiber optic cables in the trenches and thereafter backfill such trenches;
d. design of Crane Pads, storage areas, lay-by areas and office area as
provided in Annex 2.2 [Site and Access Roads and Crane Pad
Specifications]. The Contractor shall construct the Crane Pads, storage
areas, lay-by areas and office areas in accordance with Annex 2.2 [Site
and Access Roads and Crane Pad Specifications] at the locations set forth
in Annex 2.1 [Final Site Layout]. The design and construction of the Crane
Pads shall comply with the specifications set forth in Annex 1.5 [Road,
Crane Pad and Hardstand Specifications for Vestas MW Turbines] and with
any relevant information provided in any other Annex of this Agreement;
e. design of Tower Foundations as provided in Annex 2.5 [Tower Foundation
Specification]. The Contractor shall construct the Tower Foundations in
accordance with Annex 2.5 [Tower Foundation Specification] at the WTG
Locations. The Contractor shall embed the Foundation Sections in the
Tower Foundations and perform planarity tests for each Tower Foundation
in accordance with Annex 7.6 [Planarity Test]. Promptly following
completion of the planarity tests, the Contractor shall provide the results of
such tests to the Employer. The design and construction of the Tower
Foundations shall comply with the specifications set forth in Annex 1.6
[Foundation Loads] and Annex 1.7 [Foundation Section] and with any
relevant information provided in any other Annex of this Agreement;
f.
design of the civil works related to the substation as provided in Annex 2.4
[Substation - Civil Works]. The Contractor shall construct the substation in
accordance with Annex 2.4 [Substation - Civil Works] at the locations set
forth in Annex 2.1 [Final Site Layout]. The design and construction of the
substation shall comply with the specifications set forth in Annex 1.10
[Substation Specification for Civil Works] and with any relevant information
provided in any other Annex of this Agreement;
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construction of the warehouse and site facilities shall comply with the
specifications set forth in Annex 1.8 [Warehouse and Site Facilities
Requirements] and with any relevant information provided in any other
Annex of this Agreement; and
h. design fences, gates and other items as provided in Annex 2.7 [Other Civil
Works]. The Contractor shall construct the fences, gates and other items in
accordance with Annex 2.7 [Other Civil Works]. The design and
construction of the fences, gates and other items shall comply with the
specifications set forth in Annex 1.9 [Other Civil Works Requirements] and
with any relevant information provided in any other Annex of this
Agreement.] 19.
i.
3.5.2
Electrical Works
The Contractor shall execute and deliver to the Employer the completed Annex 7.3 [Form
of Notice of Commencement of Electrical Works] upon commencement of the electrical
works on the Site. The Contractor shall perform the electrical works under this Agreement
in accordance with the Time Schedule and such electrical works shall comply with the IEC
standards, local electrical standards and any electrical requirements from the grid operator.
The Electrical Works shall include the following:
a. design of the electrical works in the substation up to the Point of
Common Coupling, as provided in Annex 3.1 [Substation - Electrical
Works] and 3.1.1 [Substation Single-line Diagram]. The Contractor shall
construct the electrical works in the substation up to the Point of
Common Coupling in accordance with Annex 3.1 [Substation
Electrical Works] and 3.1.1 [Substation Single-line Diagram]. The
design and construction of the electrical works in the substation shall
comply with the specifications set forth in Annex 1.13 [Vestas Earthing
System], Annex 1.14 [SCADA System], Annex 1.15 [Information for
Electrical Works], Annex 1.16 [Electrical Metering System], Annex 1.17
[Electrical Infrastructure Related Requirements], [Annex 1.19 [Grid
Requirements]]20 and with any relevant information provided in any
other Annex of this Agreement.
b. design of a [x]21 KV power collector system, including all power cables,
switchgears, earthing system, as set out in Annex 3.2 [Power Collector
System] and Annex 3.2.1 [Power Collector System Single-line
Diagram]. The Contractor shall construct the power collector system as
set out Annex 3.2 [Power Collector System] and and Annex 3.2.1
[Power Collector System Single-line Diagram] and connect the WTGs
by power cables as described in Annex 3.2.1 [Power Collector System
Single-line Diagram]. The design and construction of the power
collector system shall comply with the specifications set forth in Annex
2.1 [Final Site Layout], Annex 1.2 [WTG Locations], Annex 1.11 [WTG
Electrical Data], Annex 1.12 [WTG Switchgears], Annex 1.13 [Vestas
Earthing System], Annex 1.14 [SCADA System], Annex 1.15
19
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To be deleted if Vestas is not responsible for grid compliance under the Turnkey Agreement.
Include or delete as applicable.
Page 21 of 61
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The Contractor shall pack and subsequently transport all materials, equipment, goods and
consumables necessary in connection with the Contractor Works from their applicable
place of manufacture to the Site.
The Contractor shall perform all changes and upgrades to roads, associated road furniture,
bridges, port piers, temporary stock areas or similar on the transportation route set out in
Annex 1.21 [Transport Survey] in accordance with the Time Schedule.] 26
3.5.4
Following the construction of each of the Civil Works and Electrical Works, the Contractor
shall perform the Civil Works Tests and the Electrical Works Tests, as applicable, as more
particularly described in subclauses 6.1 and 6.2.
3.5.5
The Contractor shall provide all personnel, equipment, goods and consumables necessary
for the Contractor to execute and complete its obligations under this Agreement.
3.5.6
Removal of Rubbish
After completing the Civil Works Tests and the Electrical Works Tests, the Contractor shall
clear away and remove from the Site any wreckage or rubbish brought to the Site by the
Contractor or its Subcontractors and which is no longer required. If the Contractor has not
24
To be deleted if Vestas is not responsible for grid compliance under the Turnkey Agreement.
To be deleted if Vestas is not responsible for construction of transmission lines under the Turnkey
Agreement.
26
To be deleted if Vestas is not responsible for changes to roads, etc. under the Turnkey Agreement.
25
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performed cleanup after any relevant work within [thirty (30)] 27 days after completion of such
work, the Employer shall have the right to perform cleanup itself and charge the Contractor
the actual cost thereof plus fifteen percent (15%).
3.5.7
Guarding
The Contractor shall guard the Site and ensure that access to the Site is allowed only to the
Contractor, the Employer, and such persons who are expressly or implicitly authorised by
the Contractor or the Employer from the time that the Contractor commences work on the
Site and until all of the Wind Turbines have been taken over by the Owner pursuant to the
Turnkey Agreement.]28
3.6
Standards of Performance
3.6.1
General
The Contractor shall perform the Contractor Works in a diligent, skilled and firstclass workmanlike manner and in compliance with all applicable laws, prudent
industry practices and applicable manuals and work instructions. The Contractor
Works shall, upon completion thereof, be fit for their intended use.
3.6.2
Foundation Section
Each Foundation Section shall, when casted in the applicable foundation, comply
with Annex 1.7 [Foundation Section].
3.6.3
Civil Works
Without limiting any other provisions of this Agreement, the relevant Civil Works
shall, on the date of the Civil Works Take Over, comply with the relevant annexes of
Annex 2 [Civil Works] and with the requirements in subclause 3.5.1.
3.6.4
Electrical Works
Without limiting any other provisions of this Agreement, the relevant Electrical
Works shall, on the date of the Electrical Works Take Over, comply with the relevant
annexes of Annex 3 [Electrical Works] and with the requirements in subclause
3.5.2.
3.7
3.7.1
27
28
Amend if necessary.
To be deleted if Vestas is not responsible for guarding the Site under the Turnkey Agreement.
Page 23 of 61
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Health and Safety Program in compliance with the Employers Health and Safety
Program and with any applicable laws relating to health and safety and agrees that
the Contractors Health and Safety Plan will be attached to, and form a part of, the
Employers Health and Safety Plan in the Turnkey Agreement.
When performing the Contractor Works on the Site, the Contractor shall comply
with each of the Employers Health and Safety Plan and the Contractors Health
and Safety Plan. If there are any conflicts between the provisions of the Employers
Health and Safety Plan and the Contractors Health and Safety Plan, the Contractor
shall immediately notify the Employer thereof, and the Employer shall instruct the
Contractor in the manner of performance.] 29 In addition, the Contractor shall provide
the quality and safety documentation required to be provided by any
Subcontractors pursuant to applicable laws on the Site in accordance with Annex
9.1 [List of Contractors Documents].
The Employer shall be entitled to prohibit access to the Site to any person,
including the Contractor and its personnel, who does not, or will not, comply with
the Employers Health and Safety Plan or the Contractors Health and Safety Plan.
If the Contractor fails to comply with the Employers Health and Safety Plan or the
Contractors Health and Safety Plan after notice from the Employer, the Employer
may perform any necessary work to correct the violation and deduct the actual cost
plus fifteen percent (15%) from any amounts due to the Contractor in addition to all
other remedies available to the Contractor.
3.7.2
Working Hours.
The Contractor shall be allowed to work on the Site between the hours of 7.00 and
18.00 and on all Days that are not local bank holidays unless and to the extent
prohibited by applicable laws or safety rules or standards.
3.8
Reporting
3.8.1
3.8.2
3.8.3
29
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Schedule. Such recovery plan shall be subject to the approval of the Employer.
The Contractor shall use diligent efforts to complete the corrective action described
in the recovery plan. If the Contractor fails to provide such a recovery plan or fails
to diligently complete such corrective action to the satisfaction of the Employer, the
Employer may complete the Contractor Works itself or engage a third party to
complete the Contractactor Works. Without limiting the right of the Employer to
claim any other damages available hereunder or under the Applicable Law, the
Contractor shall reimburse the Employer for all costs incurred by the Employer in
connection with completing the Contractor Works plus fifteen percent (15%) of such
costs.
3.9
30
31
To revise if annexes deleted / not within scope of obligations under Turnkey Agreement.
To revise if annexes deleted / not within scope of obligations under Turnkey Agreement.
Page 25 of 61
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During the Defect Notification Period, the Contractor shall perform the scheduled
maintenance works in relation to the Civil Works as described in Annex 2.8
[Scheduled Maintenance of Civil Works] and shall perform the scheduled
maintenance works in relation to the Electrical Works as described in Annex 3.4
[Scheduled Maintenance of Electrical Works], in each case at the intervals and
times described in the relevant annex. In addition, the Contractor shall perform
such other unscheduled maintenance in relation to the Civil Works and the
Electrical Works necessary to minimize the number and extent of Defects and
ensure that the Civil Works and the Electrical Works function as intended on a
continuous basis.
3.12 Liens
3.12.1 No Liens allowed
The Contractor shall not, and shall not allow any Subcontractor to, file, assume or create,
any lien, claim or other encumbrance on the Site, the Civil Works, the Electrical Works, or
any portion thereof arising from the performance of the Contractor Works.
3.12.2 Employers Indemnity
If any lien, claim or other encumbrance is filed, assumed or created on or against the Site,
the Civil Works, the Electrical Works, or any portion thereof, by the Contractor or any
Subcontractor, the Contractor shall (A) provide prompt written notice thereof to the
Employer, and (B) within five (5) Business Days of obtaining notice thereof, either pay or
discharge such lien, claim or other encumbrance or furnish a bond or other security
reasonably satisfactory to the Employer to indemnify and protect the Employer against
such lien, claim or other encumbrance.
3.12.3 Direct payment and deduction from the amounts owed to the Contractor
After notice to the Contractor, the Employer may pay directly all Subcontractors who have
not been paid monies due in connection with the performance of the Contractor Works,
whether or not a claim of lien has been filed, and deduct such amounts from amounts owed
to the Contractor hereunder.
Page 26 of 61
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3.13.2 Compliance with good technical standards and applicable laws and regulations.
Contractor undertakes that the design, the Contractors Documents, the execution and the
completed Contractor Works will be in accordance with:
Page 27 of 61
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being done or stored. The Employer or its representatives shall issue a three (3) days
previous notice to carry out the abovementioned access, which not will be unreasonable
withheld by the Contractor.
The Employer shall at all reasonable times during production, manufacture and
construction (in factory, at the Site or elsewhere) be entitled to examine, inspect, measure
and test the materials and workmanship, and to check the progress and compliance with
the Agreement of Contractor Works (mainly, the Electrical Works), upon the issuance of a
five (5) previous notice to carry out the abovementioned inspections, which not will be
unreasonable withheld by the Contractor.
The Contractor shall give the Employers personnel full opportunity to carry out these
activities, including providing access, facilities, permissions and safety equipment. For the
purpose of such inspection, the Contractor shall ensure that the Employer or its
representatives have to their disposal all contractual drawings and necessary general
calculation notes, documentation, calibration certificates of the testing equipment and type
test certificates for similar equipment.
The Contractor shall give notice to the Employer whenever any work is ready and before it
is covered up, put out of sight, or packaged for storage or transport (Electrical Works). The
Employer shall then either carry out the examination, inspection, measurement or testing
without unreasonable delay, or promptly give notice to the Contractor that he does not
require to do so. If the Contractor fails to give the notice, he shall, if and when required by
the Employer, uncover the work and thereafter reinstate and make good, all at the
Contractors Cost.
At the end of the manufacturing process of the Electrical Works, and prior to the
commencement of the Factory Acceptance Tests, the Contractor will issue a Completion
Manufacturing Certificate according to the Employers instructions and will communicate
such certificate to the Employer.
Inspection by the Employer shall not relieve the Contractor from any obligation or
responsibility under the Agreement.
3.15.2 Factory Acceptance Tests
The factory tests shall be carried out according to the Technical Specifications, at the
Contractors risks and expenses.
The Contractor shall provide all apparatus, assistance, documents and other information,
electricity, equipment, fuel, consumables, instruments, materials, and suitably qualified and
experienced staff, as are necessary to carry out the specified tests efficiently.
The Employer may, under Clause 8 [Variation] vary the details of specified factory tests, or
instruct the Contractor to carry out additional tests with no additional costs.
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The Contractor shall inform the Employer in due time and at least six (6) weeks before the
scheduled commencement date of the Factory Acceptance tests of its intention to proceed
with such tests. Then the Employer shall give the Contractor a prior notice of its intention to
attend the tests. If the Employer does not attend at the time and place agreed, the
Contractor will postpone by fifteen (15) days maximum, the carrying out of such tests,
unless otherwise instructed by the Employer. The new date within these fifteen (15) days
will be agreed by both Parties.
The Contractor shall promptly forward to the Employer duly certified reports of the Factory
Acceptance Tests Certificate. When the specified tests have been passed, the Employer
shall endorse the Factory Acceptance Certificate, or issue a certificate to him, to that effect,
within a reasonable time-period.
The issuance or endorsement by the Employer of the Factory Acceptance certificate shall
not relieve the Contractor from any obligation or responsibility under the Agreement.
3.15.3 Rejection
If, as a result of an examination, inspection, measurement or testing, any part of the
Contractor Works, design, workmanship is found defective or otherwise not in accordance
with the Agreement, the Employer may reject the part of the Contractor Works, design,
workmanship by giving notice to the Contractor, with reasons. The Contractor shall then
promptly make good the defect and ensure that the rejected item complies with the
Agreement.
If the Employer requires this part of the Contractor Works, design, workmanship to be
retested, the tests shall be repeated under the same terms and conditions, at the risks and
costs of the Contractor. If rejection and retesting cause the Employer to incur additional
costs, the Contractor shall pay these costs to the Contractor.
3.15.4 Remedial Work
Notwithstanding any previous test or certification, if any part of the Contractor Works or
materials is not in accordance with the Agreement, the Contractor shall replace or repair
such part at its own cost and expense. In these cases, the Contractor shall indemnify and
hold the Employer harmless from any loss, direct, indirect or consequential, which the
Employer may suffer as a consequence of the above mentioned.
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The Contractor shall provide the Contractor Works and Contractors Documents specified
in the Agreement, and all Contractors personnel, goods, consumables and other things
and services, whether of a temporary or permanent nature, required in and for this design,
execution, completion and remedying defects.
3.16.2 Qualified Resources
The resources to be provided by the Contractor within the Agreement for the purposes of
the Project shall be technically qualified and have sufficient experience in performing
design, installation, debugging, testing, etc.
3.16.3 All necessary other works
The Contractor Works shall include any work which is necessary to satisfy the Employers
requirements under this Agreement, or any work which is implied by the Agreement, and all
works which (although not mentioned in the Agreement) are necessary for the completion,
or safe and proper operation of the Contractor Works.
3.16.4 Adecuacy, stability and safety.
The Contractor shall be responsible for the adequacy, stability and safety of all Site
operations and of all methods of construction related to the Contractor Works.
3.16.5 Details to be submitted by the Contractor
The Contractor shall, whenever required by the Employer, submit details of the
arrangements and methods which the Contractor proposes to adopt for the execution of the
Contractor Works. These details shall not be unreasonable withheld. No significant
alteration to these arrangements and methods shall be made without this having previously
been notified to the Employer.
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3.18.5 No claim for delay arising from interfaces between the Agreement and other
contracts shall be admissible unless the Contractor can demonstrate that utmost liaison
and co-ordination has been attempted and unavoidable or unreasonable delays have been
imposed by other subcontractors on the progress of the Contractor Works.
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4.
EMPLOYER OBLIGATIONS
4.1
Payment
4.1.1 The Employer shall pay the Price according to Annex 6.2 [Payment Schedule] and
in accordance with the terms and conditions of this Agreement.
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4.2
Insurance
4.2.1
The Employer shall take out the insurances in accordance with clause 16.
4.3
4.3.1
4.3.1 The Employer shall ensure access to the Site and each WTG Location as
may be reasonably necessary for the Contractor and its Subcontractors to perform
the Contractor Works, provided that the Contractor shall be responsible for snow
removal, sanding and dust abatement for Site Roads and Access Roads using the
Contractors Equipment until the completion of the Contractor Works at the Site.
4.4
Permits
4.4.1 The Employer shall obtain the Permits, if any, set out in Annex 4.1 [Employer
Permits] in proper time so as not to hinder the timely completion of the Contractors
obligations hereunder.
4.5
4.5.1 The Employer shall cause Owner to secure that Permanent Wind Farm
Energisation is obtained by the later of the date set forth in the Time Schedule and the date
on which the Contractor is ready to commence the Electrical Works Reliability Test.
5.
TIME
5.1
5.1.1 The Time for Completion shall be as specified in the Time Schedule. The Effective
date shall be the starting date for the Contractors contractual obligations under the
Agreement. The Contractor Shall commence the design and the execution of the
Contractors Works after the Effective Date, following the Time-Schedule, with due
expedition and without delay.
5.2
Excusable Events
5.2.1
Under this Agreement the following events shall be considered Excusable Events:
a)
b)
any change in the applicable laws on the Site occurring after the Effective
Date;
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c)
the failure of the Employer to timely and properly fulfil any of its obligations
under this Agreement in accordance with the terms of this Agreement and
the Time Schedule and which is necessary before the Contractor can
perform its obligations under this Agreement;
d)
e)
f)
Force Majeure;
g)
Site underground conditions which differ from Annex 1.3 [Site Soil Survey];
h)
i)
5.3
5.3.1
5.3.2 The Contractor shall take all reasonable and appropriate steps to mitigate the costs
incurred by the Contractor that result from an Excusable Event.
5.4
5.4.1
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Upon the signature of the Agreement, the dates and the milestones specified in the
Time Schedule shall become guaranteed times for any action set forth in such Time
Schedule.
Should the Contractor fail to meet the specified dates set forth in the Time
Schedule, the Employer shall be entitled to be paid Liquidated Damages as
described in this subclause 5.4.
Should the Contractor foresee a delay in any of the milestones set forth in the Time
Schedule, the Contractor shall promptly notify the Employer of such delay, indicating
to the Employer the estimated delay period and the remedial measures deployed to
remedy such delay, provided always that such obligation to inform the Employer
shall not relieve the Contractor from its liability for delay.
Should the Contractor run into delay compared to the guaranteed milestones set
forth in the Time Schedule, the Contractor shall undertake free of charge for the
Employer immediate measures to carry out the delayed Contractor Works, as, but
not limited to, paying its workforce or its suppliers extra hours, implementing night or
weekend work, etc. If the Contractor does not undertake the abovementioned
immediate measures, the Employer may carry out these measures on its own or
with another contractor. In these cases, the Employer shall be entitled to recover
from the Contractor the reasonable additional costs incurred in having another party
carrying out the above mentiones immediate measures and, even, the delayed
Contractor Works that the Contractor should carry out.
5.4.2
5.4.3
Invoicing
The aggregate damage, or the undisputed portion thereof, for delay in completion
payable from the Contractor to the Employer shall be invoiced by the Employer on a
monthly basis, and the Contractor shall pay the invoice in accordance with
subclause 7.3.
5.4.4
Payment
The payment of these delay damages shall not relieve the Contractor from his
obligations to complete the Contractor Works, or from any other duties, obligations
or responsibilities which it may have under this Agreement.
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6.
1.1
Civil Works
6.1.1
Previous Test
Any test in relation to the Civil Works Take Over shall first take place when the
applicable Civil Works have been completed in accordance with the applicable
requirements of this Agreement and the Technical Specifications, at Contractor risks
and expenses. This test shall demonstrate also that the Civil Works can be operated
safely and reliably in accordance with the Agreement.
When the Contractor finds that a part of the Civil Works is ready to commence a
Civil Works Test then the Contractor shall notify the Employer thereof and the
Employer and the Contractor shall agree on the start date for relevant test of the
Civil Works. The Employer, the Owner and any independent third party engineer or
tester engaged by either the Employer or the Owner shall have the right to be
present during the tests of the Civil Works.
6.1.2
6.1.3
6.1.4
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If the Employer refuses to sign a Civil Works Take Over Certificate, the Employer
shall send a written statement providing detailed reasons for such refusal.
6.1.5
6.2
Electrical Works
6.2.1
6.2.2
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6.2.4
6.2.5
6.2.6
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6.3
6.3.1 The title to each component of the Civil Works and the Electrical Works shall
transfer from the Contractor to the Employer on the earlier of (i) the date such component is
installed in or becomes a permanent part of the Wind Farm or (ii) the date of taking over of
the relevant portion of the Contractor Works to which such component relates. The transfer
of title to any component of the Contractor Works shall not be deemed to be an acceptance
of such portion of the Contractor Works by the Employer and shall not be deemed to waive
or otherwise abrogate any rights or remedies of the Employer to subsequently reject such
portion of the Contractor Works for failure to comply with the terms of this Agreement.
6.3.2 The risk of loss for and damage to the General Civil Works shall transfer from the
Contractor to the Employer upon Civil Works Take Over of the General Civil Works. The
risk of loss for and damage to the Substation Civil Works shall transfer from the Contractor
to the Employer upon Civil Works Take Over of the Substation Civil Works. The risk of loss
for and damage to the Electrical Works shall transfer from the Contractor to the Employer
upon Electrical Works Take Over. Payment for any portion of the Contractor Works by the
Employer shall not transfer risk of loss for such portion of the Contractor Works to the
Employer.
6.3.3 Title to and risk for loss and damage with respect to any other spare parts or
materials incorporated into the Contractor Works by the Contractor pursuant to the Defect
liability provisions of clause 9, or otherwise pursuant to this Agreement, shall transfer from
the Contractor to the Employer upon incorporation thereof into the Wind Farm or
component of Civil Works or Electrical Works, as applicable.
7.
7.1
Price
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7.1.1 The Price for the Contractor Works provided under this Agreement shall be [] 33,
[]34 Euros, exclusive of VAT. The Price is more particularly specified in Annex 6.1 [Price
Specification].
The Price includes all costs necessary for the Contractor Works. This Price shall be
regarded as fixed, except for the provisions in this Agreement expressly allowing for
adjustments to the Price. Unless otherwise stated in the Agreement, the Price
covers all the Contractors obligations under the Agreement and all things
necessary for the proper design, execution and completion of the Contractor Works
and the remedying of any defects.
7.2
Payments
7.2.1 The Employer is obliged to pay the Price according to the amounts and sequence
of events as set forth in Annex 6.2 [Payment Schedule] and as otherwise regulated in this
Agreement.
7.2.2 The Contractor shall submit an invoice to the Employer, in compliance with the laws
applicable on the Site, whenever a payment is due under this Agreement, whether the
payment is a Milestone Payment or any other payment to be made by the Employer to the
Contractor under this Agreement.
7.2.3 All amounts in the invoices shall include, and specify, if applicable, VAT according to
the applicable laws in the country of the Site.
7.2.4 If the payment is a Milestone Payment a copy of the documentation required in
Annex 6.2 [Payment Schedule] shall be sent to the Employer regarding such relevant
Milestone Payment.
7.2.5 The Employer shall notify the Contractor of any errors in the amounts reflected in
the invoices, or other errors in the invoices, and the Parties shall agree upon any potential
correction of an invoice.
7.2.6 If a dispute occurs as to what amount the Employer is obliged to pay, then the
Employer shall pay the undisputed portion of the amount, while the disputed amount shall
be referred to dispute resolution in accordance with this Agreement.
7.2.7 No payment made under this Agreement shall be deemed to be an acceptance of
the Contractor Works, in whole or in part, neither a waiver of any rights or remedies of the
Employer hereunder.
7.2.8 The Contractor shall cooperate with the Employer in securing payment to the
Employer by the Owner under the Turnkey Agreement and provide such supporting
33
34
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documentation and other information as may be requested by the Employer or the Owner
from time to time.
7.3
Method of Payment
7.3.1 The Employer shall pay the Contractor the amounts invoiced by the Contractor
within ninety (90) Days following the date of such invoice.
7.3.2 Payments under this Agreement from the Employer to the Contractor shall be
made, by express wire transfer, to the following bank account of the Contractor:
[]35, or to the bank account designated by the Contractor from time to time.
7.4
Delayed Payment
7.4.1 If the Employer fails to make payments on time under this Agreement, the
Contractor shall immediately notify the Employer in writing of such failure. If the Employer
does not make or dispute such payment within seven (7) Days following receipt of such
notice, the Contractor shall be entitled to the following remedies upon an additional seven
(7) Days advance written notice to the Employer of its intent to exercise such remedy:
a. suspend all or any part of the Contractor Works and any other work
in connection with this Agreement; and
b. apply interest to any unpaid amounts from the date when such
payment became due and until the date when it is actually received.
Interest will accrue per Day on the amounts for which payment is
delayed, based on a Year and at the interest rate of the one (1) year
European Inter-Bank Offered Rate (EURIBOR), plus three percent
(3%), p.a., and will be payable at the end of each month as from the
date of the occurrence of the delay.
8.
8.1
Right to vary
8.1.1 Variations may be initiated by the Employer at any time prior to issuing the Taking
Over Certificate of the relevant Contractor Works, either by an instruction or by a request
for the Contractor to submit a proposal.
8.1.2 The Contractor shall execute and be bound by each Variation, unless the
Contractor promptly gives notice to the Employer stating (with supporting particulars) that i)
the Contractor cannot readily obtain the goods required for the Variation, ii) it will reduce
the safety and suitability of the Contractor Works, or iii) it will have an adverse impact on
35
Insert all necessary details of bank account information in order for payments to be made.
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the achievement of the technical requirements. Upon receiving this notice, the Contractor
shall cancel or confirm or vary the Instruction.
8.2
Variation Procedure
8.2.1 If the Employer requests a proposal, prior to instructing a Variation, the Contractor
shall respond in writing as soon as practicable, either by giving reasons why he cannot
comply (if this is the case) or by submitting:
a) A description of the proposed design and/or work to be performed and a time-schedule
for its execution,
b) The Contractors proposal for any necessary modifications to the Time Schedule, and
c) The Contractors proposal for adjustment to the Price.
8.2.2 The Employer shall as soon as possible after receiving such proposal respond with
approval, disapproval or comments. The Contractor shall not delay any work whilst awaiting
a response, unless instructed by the Agreement.
8.2.3 Each instruction to execute a Variation, with any requirements for recording of
costs, shall be issued by the Employer to the Contractor, who shall acknowledge receipt.
Such acknowledge receipt shall be deemed to have been issued in case the Contractor
fails to notify its approval or disapproval within 3 days from receipt of the said instruction.
8.2.4 Upon instructing or approving a Variation, the Employer shall agree or determine
adjustments to the Price and the Term of Payments. Such Adjustments shall include
reasonable profit.
9.
PRODUCT WARRANTIES
9.1
9.1.1 The Contractor shall remedy any Defect which the Contractor is liable for and is
notified to the Contractor before the end of the Defect Notification Period. The Contractor
may remedy a Defect by either replacing or repairing the defective part.
9.1.2 The Contractor shall use new parts when remedying defects and the Contractor
shall acquire the title to any part which the Contractor has replaced.
9.1.3 For any part that has been repaired or replaced by the Contractor in order to
remedy a Defect, the Contractor shall be liable for Defects in such repaired or replaced part
for the later of either:
(i)
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(ii)
The Contractor will promptly issue to the Employer a preliminary report and
inform the Employer of such corrective measures, which could include, but are
not limited to:
Providing of the means needed to determine the causes of the defects
or damage and to carry out the corresponding repairs and modifications.
Performance of studies.
Supplying and transport of equipment, tools, spare parts between its
premises and the Site.
Replacement of all or part of the Contractor Works (including the
removal and/or reinstallation of them).
Scheduled time for implementation of the corrective measures.
The completion of outstanding work and the remedying of defects will be carried
out by the Contractor at the Contractors sole risks, responsibility and costs. It
will not be reimbursed, except if the Contractor can prove that damages were
caused by any Employers act or default.
9.2
9.2.1 The Defect Notification Period for the General Civil Works shall commence on the
date of Civil Works Take Over of the General Civil Works. The Defect Noticifation Period for
the Substation Civil Works shall commence on the date of Civil Works Take Over of the
Substation Civil Works. The Defect Notification Period for the Electrical Works shall
commence on the date of Electrical Works Take Over.
9.2.2 The Defect Notification Period for the General Civil Works shall end on the date that
is two (2) years after the date of the Civil Works Take Over of the General Civil Works. The
Defect Notification Period for the Substation Civil Works shall end on the date that is two
(2) years after the date of the Civil Works Take Over of the Substation Civil Works. The
Defect Notification period for the Electrical Works shall end on the date that is two (2) years
after the date of the Electrical Works Take Over.
9.3
9.3.1 The Employer shall be entitled to an extension of the Defect Notification Period for
the Contractor Works or part of the Contractor Works which have been repaired or
replaced. Such Defect Notification Period shall apply under the same conditions for an
additional period of two years following their respective repair.
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9.4
9.4.1 If the Contractor fails to remedy any defect or damage within a reasonable time
instructed by the Employer after having duly been notified by the Employer to do so, the
Employer shall may at its option:
9.5
Further tests
9.5.1 If the work of remedying of any defect or damage may affect the performance of the
Contractor Works, the Employer may require the repetition of any tests according to this
Agreement.
9.6
Technical Assistance
9.6.1 During the Defect Notification Period, the Contractor undertakes to make available
to the Employer skilled and qualified engineers to ensure technical assistance at rates
determined under the Agreement or, if not determined, at reasonable conditions.
9.7
9.7.1 The Contractor shall not be liable for any loss or damage to the Civil Works and
Electrical Works or be liable for any warranty under this Agreement or for any Defect in the
Civil Works and Electrical Works to the extent caused by any of the following:
a)
any work on the Civil Works or the Electrical Works and/or changes in the
design or materials by anyone other than the Contractor or its
Subcontractors, unless authorised in writing by the Contractor;
b)
c)
Force Majeure;
d)
Site underground conditions which differ from Annex 1.3 [Site Soil Survey]
in a material respect; or
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10.
FORCE MAJEURE
10.1
10.1.1 Force Majeure shall be any event outside the reasonable control of the Party
claiming Force Majeure, and which such Party could not have avoided or overcome
through the use of commercially reasonable efforts, including:
a.
b.
c.
d.
10.1.2 Notwithstanding subclause 10.1.1, Force Majeure events shall not include (i) a
Partys financial inability to make payments under this Agreement except if the financial
inability is caused directly by Force Majeure (e.g., a bank strike) or (ii) the inability of a
Party to obtain, renew, amend or otherwise secure Permits.
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10.2.2 Once the Force Majeure event that caused the Party to be delayed has
disappeared, concluded or otherwise ceased, the affected Party shall inform the other Party
thereof and restart performance of its obligations.
10.2.3 If any one or more Force Majeure events are responsible for more than one
hundred and eighty (180) Days of delay on a cumulative basis, subject to any mutual
agreement on extension thereof, either Party shall be allowed to terminate this Agreement
with fourteen (14) Days notice.
10.2.4 The legal implications of such termination, regardless of which Party terminates the
Agreement, shall be the same as set forth in subclause 14.4.
10.2.5 The Contractor will not be entitled to any adjustment of the Price as a result of any
increased costs incurred by the Contractor in connection with Force Majeure events.
11.
INDEMNIFICATIONS
a.
b.
c.
with respect to the subclauses 11.1.1.b and 11.1.1.c only, to the extent such losses are
directly and exclusively attributable to any negligent act, omissions or wilful misconduct of
the Contractor in the performance of Contractors obligations under this Agreement.
a.
b.
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c.
with respect to the foregoing subclauses 11.2.1.b and 11.1.1.c only, to the extent such
losses are directly and exclusively attributable to any negligent act, omissions or willful
misconduct of the Employer in the performance of Employers obligations at the Site.
The Parties agree that obligations giving rise to the payment of liquidated damages under
this Agreement shall not give rise to a claim of indemnity under this subclause 11.2.
a.
b.
the Indemnifying Party will not have employed counsel to assume the
defence of such claim within a reasonable time after notice of the
commencement of an action thereon,
in which case the Indemnified Party will be in charge of the defence and the settlement of
such claim as it relates to the Indemnified Party only and the reasonable fees and
expenses of counsel which the Indemnified Party incurs will be paid by the Indemnifying
Party.
No Indemnifying Party will settle any such claims or actions without the prior written
consent of the Indemnified Party, which consent will not be unreasonably withheld.
11.3.4 An Indemnified Party may waive the indemnifications provided in subclauses 11.1
or 11.2, as applicable, by serving a written notice to this effect to the Indemnifying Party
before such Indemnifying Party has employed counsel to assume the defence of such
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claim. If the Indemnified Party wishes to waive indemnification after the Indemnifying Party
has employed external counsel to assume the defence and then the Indemnified Party can
do so, provided such Indemnified Party reimburses the Indemnifying Party of any
reasonable costs for employing and paying external counsel.
12.
12.1. This Agreement shall come into force on the Effective Date and, unless terminated
earlier in accordance hereto, shall expire at the end of the Defect Notification Period,
subject to subclause 9.1.3. Such expiry shall occur without any notifications being served
between the Parties.
12.2 Clauses 11 and 18 and subclauses 15.1 and 17.1 shall survive expiry of the term of
this Agreement.
13.
SUSPENSION
a.
b.
if the Employer fails to fulfill any of its obligations which pose a safety
risk to the Contractor or its Subcontractors following written notice of
such failure from the Contractor; or
c.
if the Contractor fails to fulfill any of its obligations which pose a safety
risk to the Employer or its subcontractors following written notice of
such failure from the Employer; or
b.
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14.
a.
the Contractor fails to perform any of its material obligations under the
Agreement and the Contractor has not remedied the breach within
[thirty (30)] 36 Business Days following receipt by the Contractor of the
Employers written notice of the breach;
b.
c.
d.
the Contractor goes into liquidation (except for the purposes of a bona
fide amalgamation, reconstruction or other reorganisation and the
resulting entity agrees to be bound by or to assume the obligations
imposed on the Contractor under this Agreement and provide
payment and performance security reasonably satisfactory to the
Employer);
e.
f.
14.1.2 Such termination shall take place with fourteen (14) Days notice provided that the
circumstances giving rise to the termination notice has not been cured within the fourteen
(14) Day period. If a subclause allows termination to occur immediately, then such fourteen
(14) Day period shall not apply.
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14.2.2 The Employer may complete the Contractor Works on its own or with another
contractor and may request that the Contractor assign all the agreements signed between
the Contractor and its Subcontractors working on the Site to the Employer.
14.2.3 As soon as practicable after termination has taken place, the Parties shall agree
upon the value of the Contractor Works performed by the Contractor, based on the prices
set forth in Annex 6.1 [Price Specification], provided that after the Civil Works Take Over
and the Electrical Works Take Over the value of the Contractor Works performed by the
Contractor shall be deemed to be equal to the Price.
14.2.4 The Employer shall be entitled to recover from the Contractor the reasonable
additional costs incurred in having another party complete the Contractor Works that the
Contractor would have been required to complete under this Agreement, but which were
not completed due to a termination by the Employer pursuant to subclause 14.1 of this
Agreement.
14.2.5 The Contractor shall be entitled to receive payments stated in subclause 14.4.2.a.
14.2.6 The Employer shall pay to the Contractor, or the Contractor shall pay to
Employer, as the case may be, the balance between (i) on the one side, the amount of
Price already paid by the Employer to the Contractor under this Agreement and
additional costs referenced in subclause 14.2.4 and (ii) on the other side, the value of
Contractor Works performed as provided under subclause 14.2.3.
the
the
the
the
14.2.7 This subclause 14.2 shall not apply to a termination by the Employer for Force
Majeure pursuant to subclause 10.2.
14.2.8 Notwithstanding subclause 6.3:
a.
b.
title to any portion of the Contractor Works shall pass to the Employer
upon the Employers payment in full of the Price for such portion of
the Contractor Works in accordance with subclause 14.2.6.
a.
the Employer fails to perform any of its material obligations under this
Agreement, and the Employer has not remedied the breach within
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b.
c.
d.
the Employer goes into liquidation (except for the purposes of a bona
fide amalgamation, reconstruction or other reorganisation and
provided the resulting entity agrees to be bound by or to assume the
obligations of the Employer under this Agreement);
e.
f.
14.4.2 Such termination shall take place following fourteen (14) Days notice, provided that
the circumstance giving rise to the termination notice has not been cured within the
fourteen (14) Day period.
14.4.3 Upon the occurrence of a circumstance giving the Contractor right to terminate this
Agreement, the Contractor shall be entitled to suspend work until such circumstance is
cured upon seven (7) Days advance written notice to the Employer.
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c. title to any portion of the Contractor Works shall pass to the Employer upon
the Employers payment in full of the Price for such portion of the Contractor
Works.
15.
CONTRACTUAL LIABILITY
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16.
INSURANCE
(i)
(ii)
16.1.2 Neither Party shall make any alteration to the terms of any insurance described in
this clause 16 so it deviates from the requirements herein without the prior written approval
of the other Party. Each Party must promptly notify the other of any notification received
from an insurance company regarding any actual alteration to one of their policies.
16.1.3 If either Party fails to maintain or cause to be maintained any insurance required by
this Agreement for a period more than ten (10) Days after notice by the other Party, the
other Party may, at its own option and without prejudice to any other right or remedy, itself
maintain such insurance. In such instance, the Party maintaining such insurance on behalf
of the other may (i) deduct the amount of the premiums under such insurance from any
amounts due (or which may become due) to the other Party or (ii) recover the same as a
debt.
16.1.4 Nothing in this clause 16 limits the obligations, liabilities or responsibilities of either
Party, under the terms of this Agreement. Any amount not covered by insurance, or not
recovered from the insurer shall be allocated in accordance with the obligations and
liabilities of the Parties under this Agreement.
16.1.5 However, if either Party fails to maintain or cause to be maintained insurance
required by this Agreement, and the other Party neither approves the omission, nor
maintains the insurance in accordance with subclause 16.1.3, then any amount which
otherwise would have been recovered under the insurance policy shall be paid by the Party
required to maintain that insurance.
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16.1.6 Each Party shall secure the issuance of the insurance policies described herein at
the latest fourteen (14) Days before the time such insurance shall be in force as more
particularly described below.
a)
shall cover all risks of physical loss or damage to the Contractor Works,
including mechanical and electrical breakdown, in the course of
assembling, erecting, installing, starting-up, commissioning and testing
Wind Turbines as well as any loss or damage resulting from Force Majeure
events, if insurable at commercially reasonable terms, and any natural
hazard(s), if insurable at commercially reasonable terms.
b)
may however exclude loss of, damage to, and reinstatement of:
(i)
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(ii)
16.2.7 The Employer CAR which the Employer is required to maintain is more particularly
described in Annex 8.2 [Employers Insurances].
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16.6.1 The Contractor shall maintain, or cause to be maintained, any other insurance that
is mandatory under applicable law to perform the obligations of the Contractor under this
Agreement.
17.
OTHER COVENANTS
17.1 Confidentiality
17.1.1 Subject to subclause 17.2, neither Party to this Agreement may reveal or convey to
third parties the existence of this Agreement (including its Annexes and the documents
attached thereto), its clauses, statements or other provisions without the express prior
written authorisation of the other Party. The Parties shall likewise refrain from revealing or
conveying to third parties by any means whatsoever any information relating to the
organisation of the other Party, including, by way of example, technical, production,
industrial, commercial, organisational, employment, or financial information, except as
permitted in this Agreement.
17.1.2 In any event, a Party that reveals or conveys any such information to third parties,
with the express prior written authorisation of the other Party, may only do so by requiring
any such third party recipients of such information to undertake the same confidentiality
commitment as that described herein.
17.1.3 Notwithstanding the foregoing, the Employer may disclose this Agreement to its
technical advisor.
17.1.4 The duty of confidentiality shall be indefinite and shall remain in force after the
termination or expiration of this Agreement.
17.1.5 The Contractor acknowledges that the Employer will disclose certain confidential
information to the Contractor for the Contractor to complete the Contractor Works and that
the Contractor has therefore signed the non-disclosure agreement attached hereto as
Annex 7.17 [Non-Disclosure Agreement] on or before the Effective Date.
17.3 Assignment
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17.3.1 Neither Party shall assign the whole or any part of this Agreement without the prior
written consent of the other Party. A Change in Control of the Contractor shall constitute an
assignment of this Agreement when the party acquiring control, or an affiliate thereof, is an
Employer Competitor. However, either Party may, as security in favour of a bank or
financial institution, assign its right to any monies due, or to become due, under this
Agreement, provided that it shall promptly notify the other Party of such assignment.
17.5 Severability
17.5.1 The invalidity of one or more phrases, sentences, clauses or subclauses contained
in this Agreement shall not affect the validity of the remaining portions of this Agreement.
The Parties shall take all actions reasonably necessary to maintain the enforceability of this
Agreement and to correct, supplement and integrate the affected provisions herein. This
principle shall likewise be applicable if the Parties detect any omission in the provisions of
this Agreement at the time of performance of the same.
17.6 Amendments
17.6.1 This Agreement may only be amended by means of a written document executed
by both Parties.
17.7 Independence
17.7.1 The Parties to this Agreement are completely independent companies, and their
entering into this Agreement or performing the transactions, acts, or business operations
provided for or arising from the same, taken together or separately, shall in no event
constitute any other relationship, whether of representation, agency, company, stakeownership, association, or corporation of any type whatsoever. This Agreement does not
confer or grant either Party hereto the right or authorisation to represent or bind the other.
17.9 Annexes
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17.9.1 The Annexes form an integral part of this Agreement and shall be interpreted in the
same way.
17.10 Subcontracting
17.10.1 The Contractor shall be allowed to sub-contract any part of its obligations
hereunder to an Approved Subcontractor. The Contractor may not sub-contract any part of
its obligations to any other third party without the prior written consent of the Employer. If
any part of the obligations of the Contractor is subcontracted, then the Contractor shall hold
full responsibility for any Subcontractor.
The Contractor hereby contingently assigns to the Employer all of the Contractors rights
under its subcontracts with the Subcontractors. Such assignment shall take effect only
upon a default by the Contractor under this Agreement and the Employers acceptance of
the specific subcontract by written notice to the Contractor and the Subcontractor. The
Employer shall have no liability to any Subcontractor unless and until the Employer
affirmatively accepts such assignment as described above.
The Contractor shall ensure that all of its agreements with Subcontractors that contain
warranties provide that such warranties are assignable by the Contractor to the Employer
and the Owner.
In the event that it is agreed that the Employer or any employee or agent thereof shall
perform any of the obligations of the Contractor either in part or in total, the Employer shall
be considered an independent contractor to the Contractor, and a formal agreement shall
be drawn up to reflect such circumstance.
17.11 Language
17.11.1 The official language between the Parties shall be English 37 and all material
exchanged between the Parties related to this Agreement shall be in such language.
17.12 Notices
17.12.1 Any authorisations, notices or approvals required or authorised to be given
hereunder or any other communications between the Parties provided for under the terms
of this Agreement shall be in writing (unless otherwise provided) and shall be served:
(i)
(ii)
37
Be aware if all material exchanged between the Parties will be in English or if an additional language
shall be inserted.
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(iii)
Employer:
[]38
[]
[]
Attn: []39
Position: []
Tel.: []
E-mail: []
Contractor:
[]40
[]
[]
Attn: []41
Position:[]
Tel.: []
E-mail: []
17.14 Privity
17.14.1 Until completion of the Contractor Works, the Contractor agrees not to perorm any
work directly for the Owner or deal directly with the Owners representatives in connection
with the Wind Farm unless othewise directed in writing by the Employer. All work for the
Wind Farm performed by the Contractor shall be handled exclusively by the Employer.
18.
38
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IN WITNESS WHEREOF, the Parties sign this Agreement in duplicate to one sole effect on
the Effective Date, each keeping one copy of the same.
[]42
[Employer]
By:
________________________
Name:
Title:
By:
______________________
Name:
Title:
[]43
[Contractor]
By:
_________________________
Name:
Title:
42
43
By:
______________________
Name:
Title:
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