PURCHASE AGREEMENT
CITY OF PACIFICA – WASTEWATER DIVISION
PURCHASE ORDER NO. XXXXX
Seller (Vendor): Buyer:
Name Peterson Power Systems INC. Name: City of Pacifica Address 2828 Teagarden Street Address: 540 Crespi Drive City, State Zip: San Leandro, CA 94578 City, State, ZIP: Pacifica, CA 94044 Attn: Martin Hopkins Sam Bautista
Phone: 800-963-6446 Fax: Phone: (650) 738-3771
E-mail: [email protected] Fed. Tax I.D.: E-mail: [email protected] Project Information (If Applicable): Ship To:
Charge to Anza Pump Station
Acct#: 34.940000.52800.C036
Anza Pump Station
4800 Coast Highway
Pacifica, CA 94044
Order Date Ship Via Payment Terms
Freight
20% down payment on order acceptance
30% release for production
40% upon equipment ready to ship
10% upon start up, no later than 30 days
after receipt onsite
Buyer and Seller agree as follows:
MATERIAL AND/OR EQUIPMENT TO BE PROVIDED: Vendor shall furnish the materials or equipment described below in compliance with the Quotation dated March 3, 2022 from Peterson Power Systems INC., (Attachment 1) at the price or prices set forth opposite each item and within the times stated below in accordance with the terms and provisions of this Purchase Agreement, including the attached Equipment Performance and Payment Bonds, which are incorporated into and made a part of this Agreement (Appendix A):
Item
No.
Item Description Budget
Acct No.
Quantity Unit Price Extension Delivery
Date
1 One (1) CAT G3306 Natural
Gas Engine Package
34.940000.52800.C036 1 $288,410 $288,410.00
2 Air Permitting Support 34.940000.52800.C036 1 $6,000.00 $6,000.00 3 One (1) Drive Shafts & Fittings
& Cage
34.940000.52800.C036 1 $5,000.00 $5,000.00
TOTAL $299,410.00
Sales Tax (9.25%): $26,677.93
Shipping: (included in above cost)
P.O. Total: $ 326,087.93
ATTACHMENT C
PURCHASE AGREEMENT
Project Title: Peterson Power Systems INC. - PURCHASE ORDER NO. XXXXX
Special Terms and Conditions
Shipping: Show Purchase Order number on all packages and invoices.
All purchases are F.O.B Pacifica unless otherwise specified on Purchase Order.
Charges: All transportation charges must be prepaid and shown separately on all invoices.
City of Pacifica is exempt from Federal Excise Tax.
Purchase up to $10,000 (must be approved
by Department Head or authorized signator)
Approved: _______________________
Name: Lisa Petersen
Title: Director of Public Works
Purchase between $10,000.01 and $25,000
(must be approved by the Assistant City
Manager)
Approved: _______________________
Name: Tina Wehrmeister
Title: Asst. City Manager
Purchase between $25,000.01 and $50,000
(must be approved by the City Manager)
Approved: _______________________
Name: KEVIN WOODHOUSE
City Manager
Purchase above $50,000
(must be approved by the City Council)
Date City Council Approved: _______________
Buyer: CITY OF PACIFICA
Authorized Signature: _______________________
Name: KEVIN WOODHOUSE
Title: City Manager
Vendor: PETERSON POWER SYSTEMS INC.
Authorized Signature: _______________________
Name:
Title:
PURCHASE AGREEMENT
Project Title: Peterson Power Systems INC. - PURCHASE ORDER NO. XXXXX
If Seller is located in the City of Pacifica, does Seller have a current business license? Yes No
PURCHASE ORDER TERMS AND CONDITIONS
DEFINITIONS: The term "Buyer" as used in this Purchase Order means the City of Pacifica, and the term "Seller" means the person, firm, or corporation from whom the material or equipment described in the purchase order is ordered.
ACCEPTANCE: The attached Acceptance Copy shall be signed and returned by the Seller within ten (10) calendar days after it is received by the Seller. The receipt by the Buyer of the signed Acceptance Copy or the initiation of performance under this Purchase Order by the Seller shall constitute acceptance of the Purchase Order by the Seller, including all of the terms and conditions herein. Acceptance is limited to the terms stated herein. Any additional or different terms and conditions proposed by the Seller are rejected unless expressly agreed to in writing by City Purchasing Agent or authorized agent.
COMPLETE AGREEMENT: This Purchase Order, including all applicable terms, conditions and specifications, shall constitute the sole and exclusive agreement between the parties. This Purchase Order supersedes all other writings and negotiations, written or oral. The City of Pacifica will not be responsible for goods delivered without a Purchase Order properly signed by the City Purchasing Agent or authorized agent. When this Purchase Order covers a purchase rendered over a stated period of time, Seller must obtain a new order upon expiration of the time period to authorize the purchase for an additional period of time.
DEFAULT: The Buyer may terminate the whole or any part of the purchase in any one of the following circumstances: (1) If the Seller fails to make delivery or fails to perform within the time specified herein or any extension thereof; or (2) If Seller delivers nonconforming goods; or (3) If Seller fails to perform in accordance with the material provisions of this agreement, or so fails to make progress as to endanger performance of this Purchase Order in accordance with its terms. In the event of any such failure Buyer will provide Seller with written notice of the default and Buyer's intention to terminate for default if Seller fails to cure the default to Buyer's satisfaction within seven (7) calendar days of Buyer' notice. If Seller fails to cure or correct the default within seven days, the Buyer may, without further notice to Seller, procure upon such terms and in such manner as the Buyer may deem appropriate, items similar to those terminated, and the Seller shall be liable to the Buyer for any excess costs of such similar items; however, the Seller shall continue the performance of this Purchase Order to the extent not terminated.
The rights and remedies of the Buyer provided in this clause shall not be exclusive, and are in addition to any other rights and remedies provided by law or under this Purchase Order.
CHANGES: Buyer may direct in writing changes, including additions to or deletions from the quantities originally ordered, or in the specifications or drawings. If any such change causes a material increase or decrease in the cost of, or the time required for, performance hereunder, an equitable adjustment shall be made in the price or schedule. Any claims for adjustment which Seller believes result from any change directed by Buyer shall be asserted in writing by Seller no later than ten (10) days from the date of Seller's receipt of any such direction. Equitable
PURCHASE AGREEMENT
Project Title: Peterson Power Systems INC. - PURCHASE ORDER NO. XXXXX
adjustments for any claims or changes under this agreement, including claims arising from terminations or suspensions directed under DEFAULT above, of this agreement, will be made by written Change Order. Nothing contained herein shall excuse Seller from proceeding with the change as directed prior to negotiation of any adjustment. Whether made pursuant to this clause or by mutual agreement, changes shall not be binding upon the Buyer, except when confirmed in writing by a member of the Buyer’s Purchasing Department.
INVOICES: Seller shall send Buyer a separate invoice for each shipment. Invoices shall not be issued prior to delivery of items as state above. Payment shall not be made prior to receipt of items and an invoice. Credit and discount periods will be computed from the date of receipt of the invoice to the date the Buyer’s check is mailed. Unless freight and other charges are itemized, the discount will be taken on the full amount of the invoice. Payment will be made within thirty (30) days after approval of the invoice by the Buyer.
TITLE AND RISK OF LOSS: All prices shall be F.O.B. Factory. The Seller shall be responsible for safe and adequate packing of the items, which shall conform to the carriers’ requirements. The Seller shall separately number all cases and packages, showing the corresponding numbers on the invoices. An itemized packing slip bearing this Purchase Order number shall be placed in each container. No extra charge shall be made for packaging or packing materials unless authority therefor is set forth in this Purchase Order. Seller shall assume and pay for any and all loss or damage to the merchandise from any cause whatsoever until delivered to Buyer at the specified destination.
DELIVERY: Timely performance and deliveries are essential to this Purchase Order. The Buyer reserves the right to refuse deliveries made in advance of the delivery schedule.
Overshipment allowances, if authorized, will be applied to the entire order. If the Buyer agrees to accept deliveries after the date of delivery has passed, the Buyer shall have the right to direct the Seller to make shipment to the delivery point set forth in this Purchase Order by the most expeditious means, and the total cost of such expedited shipment and handling shall be borne by the Seller. Acceptance of late deliveries shall not be deemed a waiver of the Buyer’s right to hold the Seller liable for any loss or damage resulting therefrom, nor shall it act as a modification of the Seller’s obligation to make future deliveries in accordance with the delivery schedule.
DELAYS: Seller will not be liable for delays in performing its obligations to the extent the delay is caused by an unforeseeable condition which is beyond Seller’s reasonable control and without Seller's fault or negligence. Acts of God, such as storms or floods, as well as government priorities, acts of civil or military authorities, fires, strikes, epidemics, war or riot are examples of events which will be excusable for being beyond Seller's reasonable control, only upon fulfillment of the following conditions: (a) within seven (7) days of the commencement of any excusable delay, Seller shall provide Buyer with written notice of the cause and extent thereof as well as a request for a schedule extension for the estimated duration thereof, and (b) within seven (7) days of the cessation of the event causing delay Seller shall provide Buyer with written notice of the actual delay incurred, upon receipt of which, the date of promised delivery shall be extended for the time actually lost by reason of an excusable delay.
PURCHASE AGREEMENT
Project Title: Peterson Power Systems INC. - PURCHASE ORDER NO. XXXXX
INSPECTION AND APPROVAL: All items are subject to final inspection and approval after delivery to Buyer. If any items are defective in material or workmanship or otherwise not in conformity with the requirements of this Purchase Order, the Buyer shall have the right to require Seller to correct or replace them. Final acceptance or rejection shall be made by the Buyer as promptly as practicable after delivery. Final acceptance shall be conclusive except with respect to latent defects, fraud or such gross mistakes as amount to fraud, or with respect to the Buyer’s rights under the “Warranty” clause.
WARRANTIES-GUARANTEES: The Buyer acknowledges that (i) Seller is not the manufacturer of the Goods; (ii) Seller will pass through to Buyer the manufacturer's warranty to the extent permitted by the terms of such warranty as to the Goods or any manufacturer's warranty of or for such goods. Warranty is attached at end of Attachment 1 with a duration as specified therein for a twenty-four (24) month period.
SAFETY: All equipment and materials shall comply with all Federal, State and local safety rules and regulations including OSHA. Where applicable, materials must be labeled in accordance with Section 5194, Title 8, of the California Administrative Code. The Seller is required to include a Material Safety Data Sheet prepared in accordance with Section 5194(9) with each shipment of all such materials to the City.
EQUAL OPPORTUNITY EMPLOYER: It is the policy of the City of Pacifica that in connection with all materials furnished or work performed under this Purchase Order, there be no discrimination against employees because of race, religion, color, sex or national origin, and therefore the Seller agrees to comply with applicable Federal and California laws including, but not limited to, the California Fair Employment Practices Act.
TAXES: Unless prohibited by law, Seller shall pay and has included in the prices of this Purchase Order any federal, state or local tax, transportation tax, or other tax which is required to be imposed upon the items ordered hereunder, or by reason of their sale or delivery.
TERMINATION FOR CONVENIENCE: Buyer shall have the right to terminate this Purchase Order in whole or in part at any time, and from time to time, by written notice effective upon receipt by Seller of such notice, even though Seller is not in breach of any obligation hereunder.
Upon receipt of notice of termination, Seller shall immediately discontinue performance and shall comply with Buyer’s instructions concerning disposition of completed and partially completed items, work in progress and materials acquired pursuant to this Purchase Order. In the event of such termination, Seller shall be paid an amount in settlement to be mutually agreed upon by the parties which shall cover Seller’s reasonable costs of performance incurred prior to termination in connection with the items for which this Purchase Order is terminated plus a reasonable profit based upon such costs. However, said payment shall not exceed the price specified herein for such items. Seller shall advise the Buyer, in writing, of Seller’s claim, if any, for termination costs within ten (10) days after receipt of the notice of termination.
Termination in accordance with this article shall not affect Buyer’s obligation to pay for items accepted by Buyer prior to such termination.
PURCHASE AGREEMENT
Project Title: Peterson Power Systems INC. - PURCHASE ORDER NO. XXXXX
GOVERNING LAW; VENUE; DEFINITIONS: The definition of terms used, interpretation of this Purchase Order and rights of all parties hereunder shall be construed under and governed by the laws of the State of California. Any litigation with respect to this Purchase Order shall be brought and conducted in San Mateo County, California.
PAYMENT AND PERFORMANCE BONDS: Seller shall provide Payment and Performance Bonds in accordance with Appendix A.
Appendix A Payment Bond and
Performance Bond
PAYMENT BOND
KNOW ALL PERSONS BY THESE PRESENTS:
1. THAT WHEREAS, the City of Pacifica, a general law city and municipal corporation of the State of California (Buyer) has awarded to Peterson Power Systems INC., 2828 Teagarden Street, San Leandro, CA 94578 as Seller a Purchase Agreement, dated the 15 th of March, 2022 (Agreement), titled Anza Pump Station – New Third Natural Gas Engine located at Anza Pump Station, Pacifica State Beach in the amount of $326,087.93 (Contract Sum), which Agreement is by this reference made a part hereof, for the work described as follows:
(One (1) New CAT G3306 Natural Gas Engine Package per Attachment A)
2. AND WHEREAS, Seller is required to furnish a bond in connection with the Agreement to secure the payment of claims of laborers, mechanics, material suppliers, and other persons as provided by law;
3. NOW, THEREFORE, we, the undersigned Seller and Seller’s Bonding and Insurance Company as Surety, are held and firmly bound unto Buyer in the sum of 100% OF THE CONTRACT SUM $326,087.93), for which payment well and truly to be made we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents.
4. THE CONDITION OF THIS OBLIGATION IS SUCH, that if Seller, or its heirs, executors, administrators, successors, or assigns approved by Buyer, or its subcontractors shall fail to pay any of the persons named in California Civil Code Section 9100, or amounts due under the State of California Unemployment Insurance Code with respect to work or labor performed under the Agreement, or for any amounts required to be deducted, withheld, and paid over to the State of California Employment Development Department from the wages of employees of Seller and subcontractors pursuant to California Unemployment Insurance Code Section 13020 with respect to such work and labor, that Surety will pay for the same in an amount not exceeding the sum specified in this bond, plus reasonable attorneys’ fees, otherwise the above obligation shall become and be null and void.
5. This bond shall inure to the benefit of any of the persons named in California Civil Code Section 9100, as to give a right of action to such persons or their assigns in any suit brought upon this bond. The intent of this bond is to comply with the California Mechanic’s Lien Law.
6. Surety, for value received, hereby expressly agrees that no extension of time, change, modification, alteration, or addition to the undertakings, covenants, terms, conditions, and agreements of the Agreement, or to the work to be performed thereunder, shall in any way affect the obligation of this bond; and it does hereby waive notice of any such extension of time, change, modification, alteration, or addition to the undertakings, covenants, terms, conditions, and agreements of the Agreement, or to the work to be performed thereunder.
7. Surety’s obligations hereunder are independent of the obligations of any other surety for the payment of claims of laborers, mechanics, material suppliers, and other persons in connection with Agreement; and suit may be brought against Surety and such other sureties, jointly and severally, or against any one or more of them, or against less than all of them without impairing Buyer’s rights against the other.
8. Correspondence or claims relating to this bond shall be sent to Surety at the address set forth below.
IN WITNESS WHEREOF, we have hereunto set our hands this __________ day of ____________________, 20___.
VENDOR AS SELLER SURETY
Company: (Corp. Seal) Company: (Corp. Seal)
Signature Signature
Name Name
Title Title
Street Address Street Address
City, State, Zip Code City, State, Zip Code
END OF DOCUMENT
PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
1. THAT WHEREAS, City of Pacifica, a general law city and municipal corporation of the State of California (Buyer) has awarded to Peterson Power Systems INC., 2828 Teagarden Street, San Leandro, CA 94578 as Seller a Purchase Agreement, dated 15 th of March, 2022 (Agreement), titled Anza Pump Station – New Third Natural Gas Engine located at Anza Pump Station, Pacifica State Beach in the amount of $326,087.93 (Contract Sum), which Agreement is by this reference made a part hereof, for the work described as follows:
(One (1) New CAT G3306 Natural Gas Engine Package per Attachment A)
2. AND WHEREAS, Seller is required to furnish a bond in connection with the Agreement, guaranteeing the faithful performance thereof;
3. NOW, THEREFORE, we, the undersigned Seller and Seller’s Bonding and Insurance Company as Surety are held and firmly bound unto Buyer in the sum of 100% OF THE CONTRACT SUM to be paid to Buyer or its successors and assigns; for which payment, well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents.
4. THE CONDITION OF THIS OBLIGATION IS SUCH, that if Seller, or its heirs, executors, administrators, successors, or assigns approved by Buyer, shall promptly and faithfully perform the covenants, conditions, and agreements of the Agreement during the original term and any extensions thereof as may be granted by Buyer, with or without notice to Surety, and during the period of any guarantees or warranties required under the Agreement, and shall also promptly and faithfully perform all the covenants, conditions, and agreements of any alteration of the Agreement made as therein provided, notice of which alterations to Surety being hereby waived, on Seller’s part to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify, defend, protect, and hold harmless Buyer as stipulated in the Agreement, then this obligation shall become and be null and void; otherwise it shall be and remain in full force and effect.
5. No extension of time, change, alteration, modification, or addition to the Agreement, or of the work required thereunder, shall release or exonerate Surety on this bond or in any way affect the obligation of this bond; and Surety does hereby waive notice of any such extension of time, change, alteration, modification, or addition.
6. Whenever Seller shall be and declared by Buyer in default under the Agreement, Surety shall promptly remedy the default, or shall promptly:
6.01 Undertake through its agents or independent contractors, reasonably acceptable to Buyer, to complete the Agreement in accordance with its terms and conditions and to pay and perform all obligations of Seller under the Agreement including, without limitation, all obligations with respect to warranties, guarantees, indemnities, and the payment of liquidated damages; or
6.02 Obtain a bid or bids for completing the Agreement in accordance with its terms and conditions, and, upon determination by Buyer of the lowest responsible bidder, reasonably acceptable to Buyer, arrange for a contract between such bidder and Buyer and make available as work progresses (even though there should be a default or a succession of defaults under the contract or contracts of completion arranged under this paragraph) sufficient funds to pay the cost of completion less the balance of the Contract Sum, and to pay and perform all obligations of Seller under the Agreement including, without limitation, all obligations with respect to warranties, guarantees, and the payment of liquidated damages; but, in any event, Surety’s total obligations hereunder shall not exceed the amount set forth in the third paragraph hereof. The term “balance of the Contract Sum,” as used in this paragraph, shall mean the total amount payable by Buyer to the Seller under the Agreement and any amendments thereto, less the amount Buyer paid to Seller.
7. Surety’s obligations hereunder are independent of the obligations of any other surety for the performance of the Agreement, and suit may be brought against Surety and such other sureties, jointly and severally, or against any one or more of them, or against less than all of them without impairing Buyer’s rights against the others. Surety may not use Contractor to complete the Agreement absent Buyer’s written consent.
8. No right of action shall accrue on this bond to or for the use of any person or corporation other than Buyer or its successors or assigns.
9. Surety may join in any proceedings brought under the Agreement and shall be bound by any judgment.
10. Correspondence or claims relating to this bond shall be sent to Surety at the address set forth below.
IN WITNESS WHEREOF, we have hereunto set our hands this _________ day of ________________, 20___.
VENDOR AS SELLER SURETY
Company: (Corp. Seal) Company: (Corp. Seal)
Signature Signature
Name Name
Title Title
Street Address Street Address
City, State, Zip Code City, State, Zip Code
ATTACHMENT 1
______________________________________________________________________________________________________________ 2828 Teagarden Street, San Leandro, CA 94577 Telephone (510) 895-8400 petersonpower.com 1 March 3, 2022 Quote: 30828975_2
City of Pacifica
Mr. Nelson Schlater, P.E.
Senior Engineer
Subject: Peterson CAT Third Engine Proposal for Anza Pump Station Mr. Schlater,
Peterson Power Systems (PPSI) is pleased to provide this proposal to for the addition of a third CAT G3306 natural gas powered pump engine at the Anza Pump Station.
Peterson will provide a CAT G3306 engine powered by pipeline natural gas. This engine offers low emissions, maintenance cost, and fuel costs. This equipment package will be consistent with the previous contract for two (2) G3306 engine packages (purchase order #118981) including all changes/additions that we made during the submittal approval.
This pricing is consistent with the Sourcewell CAT EP Parts Contract #120617-CAT The same project management team will manage this project. This group will handle all information deliverables including submittals as well execute the delivery and startup of the project. These engines will be supported by technicians out of our San Leandro location. We are very appreciative and excited for the opportunity to work with you on this project.
Pricing
Price for this single engine package as described………… $288,410.00 Estimated Sales Tax (9.25%)………………………..………..$ 26,677.93
Total Cost………………………………………………………..$315,087.93
Additional Pricing
1. Air Permit Application by Montrose Enviro (cost + 10%) ….………..…$6,000.00 estimate
2. One (1) Custom drive shaft w/ adapter, cage & yoke (cost + 10%)…..$5,000.00 estimate o FOB jobsite tailgate
o Includes performance and payment bond
o Includes start up and commissioning by a PPSI technician. o Includes one day of onsite training by PPSI technician. o All equipment is shipped loose for installation by others. o Taxes will be calculated and added at the current tax rate at the time of invoice.
______________________________________________________________________________________________________________ 2828 Teagarden Street, San Leandro, CA 94577 Telephone (510) 895-8400 petersonpower.com 2 Note: All engines quoted in this proposal will operate with pipeline natural gas with a delivery inlet pressure of not less than 12psig.
If you have any questions do not hesitate to call me at 541-337-9902.
Sincerely,
Martin Hopkins
Sales Representative
Peterson Power Systems, Inc.
Job Specific Clarifications and exceptions
• Items noted are shipped loose for contractor installation • Specification section N/A pages N/A- dated N/A revision N/A have been included only
o Cross referenced sections not specifically provided and/or clarified in writing are not included
o Equipment will be supplied as submitted
o There will be variations in the equipment from the “concept” contract documents. It is not the responsibility of Peterson Power to design, engineer or to provide construction coordination with other trades. • Submittal: lead-time – four weeks from receipt of “purchase order” depending on level of project complexity
o “Hold for approval” – no equipment will be ordered without written release to proceed
o “For record” – some equipment can be immediately ordered and released for production based on our quoted BOM
• Delivery: Delivery of equipment is on the order of 24 to 26 weeks for the G3306 engines from receipt of approved drawing submittals and receipt of complete and necessary technical information; subject to availability at time of order • Customer will provide all engineering, design, and permitting. • All application engineering, design, permitting, utility interconnect, general construction, electrical wiring, mechanical and exhaust piping beyond this by others.
• Electrical interconnection agreements are the responsibility of the customer. • General Construction including foundation and all other site work is the responsibility of the others.
______________________________________________________________________________________________________________ 2828 Teagarden Street, San Leandro, CA 94577 Telephone (510) 895-8400 petersonpower.com 3 • Customer is responsible for all thermal, mechanical, and electrical connections to Points of Common Connection (PCC).
• All gas line connections to be installed by others.
Commercial Terms and Conditions
• Seller reserves the right to accept or reject this order • Subject to Peterson Credit Approval
• Equipment Payment (subject to credit approval):
o 20% down payment on order acceptance.
o 30% release for production
o 40% upon equipment ready to ship.
o 10% upon start up, no later than 60 days after receipt onsite • Taxes: not shown or included but will be added as necessary • Validity: Above quote valid for 60 days
• Price: Escalation charges will apply to orders awaiting release of “hold for approval” submittals longer than 90 days
• Freight: FOB jobsite
o Seller’s responsibility for shipments cease upon delivery to transportation company.
o Any claims for shortages, delays or damages occurring thereafter shall be made directly by the purchaser to the transportation company. Any claims against the seller for shortages in shipments shall be made within fifteen days of receipt of shipment.
• Warranty: Standard manufacturer’s warranty applies to the above listed equipment.
• Extended service contracts may be available and are listed above if included. • Acceptance: Once accepted this order shall become a binding contract but is subject to strikes, lockouts, accidents, fire, delays in manufacture or transportation, acts of God, embargoes, or government actions. These causes beyond the control of the seller shall absolutely absolve the seller from any liability to the purchaser under the terms hereof.
• Contracts: penalty or liquidated damages clauses for failure to meet shipping dates are not acceptable or binding on Peterson Power.
SELF5731
Effective with sales to the first user on or after August 1, 2018
CATERPILLAR LIMITED WARRANTY
Industrial, Petroleum, Locomotive, and Agriculture Engine Products and Electric Power Generation Products
Worldwide
Caterpillar Inc. or any of its subsidiaries (“Caterpillar”) warrants new and remanufactured engines and new and rebuild electric power generation products sold by it (including any products of other manufacturers packaged and sold by Caterpillar), to be free from defects in material and workmanship.This warranty does not apply to engines sold for use in on-highway vehicle or marine applications; engines in machines manufactured by or for Caterpillar; C175, 3500 and 3600 series engines used in locomotive applications; 3000 Family engines, C0.5 through C4.4 and ACERT™ (C6.6, C7, C7.1, C9, C9.3, C11, C13, C15, C18, C27, and C32) engines used in industrial, mobile agriculture and locomotive applications; or Cat ® batteries; or Electric Power
Generation Products manufactured or assembled in India. These products are covered by other Caterpillar warranties.
This warranty is subject to the following:Warranty Period• For industrial engines, engines in a petroleum applications or Petroleum Power Systems (excluding petroleum fire pump application), or engines in a Locomotive application, or Uninterruptible Power Supply (UPS) systems, the warranty period is 12 months after date of delivery to the first user. • For engines used in petroleum fire pump and mobile agriculture applications the warranty period is 24 months after date of delivery to the first user. • For controls only (EPIC), configurable and custom switchgear products, and automatic transfer switch products, the warranty period is 24 months after date of delivery to the first user. • For new CG132, CG170 and CG260 series power generation products the warranty period is 24 months after date of delivery to first user, but not to exceed 36 months from shipment from the Caterpillar place of manufacture. • For electric power generation products other than CG132, CG170 and CG260 series in prime or continuous applications the warranty period is 12 months. For standby applications the warranty period is 24 months/1000 hours. For emergency standby applications the warranty period is 24 months/400 hours. All terms begin after date of delivery to the first user. • For Caterpillar rebuild electric power generation products the warranty period is 12 months, but not to exceed 24 months from shipment of rebuilt electric power generation product from Caterpillar. • For all other applications the warranty period is 12 months after date of delivery to the first user.
Caterpillar ResponsibilitiesIf a defect in material or workmanship is found during the warranty period, Caterpillar will, during normal working hours and at a place of business of a Cat dealer or other source approved by Caterpillar:• Provide (at Caterpillar’s choice) new, Remanufactured, or Caterpillar approved repaired parts or assembled components needed to correct the defect.
Note: New, remanufactured, or Caterpillar approved repaired parts or assembled components provided under the terms of this warranty are warranted for the remainder of the warranty period applicable to the product in which installed as if such parts were original components of that product. Items replaced under this warranty become the property of Caterpillar. • Replace lubricating oil, filters, coolant, and other service items made unusable by the defect.
• Provide reasonable and customary labor needed to correct the defect, including labor to disconnect the product from and reconnect the product to its attached equipment, mounting, and support systems, if required.
For new 3114, 3116, and 3126 engines and, new and Caterpillar rebuild electric power generation products (which includes the following: any new products of other manufacturers packaged and sold by Caterpillar)• Provide travel labor, up to four hours round trip, if in the opinion of Caterpillar, the product cannot reasonably be transported to a place of business of a Cat dealer or other source approved by Caterpillar (travel labor in excess of four hours round trip, and any meals, mileage, lodging, etc. is the user’s responsibility).
For all other products:• Provide reasonable travel expenses for authorized mechanics, including meals, mileage, and lodging, when Caterpillar chooses to make the repair on-site.
User ResponsibilitiesThe user is responsible for:• Providing proof of the delivery date to the first user.• Labor costs, except as stated under “Caterpillar Responsibilities,” including costs beyond those required to disconnect the product from and reconnect the product to its attached equipment, mounting, and support systems. • Travel or transporting costs, except as stated under “Caterpillar Responsibilities.”
• Premium or overtime labor costs.• Parts shipping charges in excess of those that are usual and customary.
• Local taxes, if applicable.• Costs to investigate complaints, unless the problem is caused by a defect in Caterpillar material or workmanship.
• Giving timely notice of a warrantable failure and promptly making the product available for repair.
• Performance of the required maintenance (including use of proper fuel, oil, lubricants, and coolant) and items replaced due to normal wear and tear. • Allowing Caterpillar access to all electronically stored data.LimitationsCaterpillar is not responsible for:• Failures resulting from any use or installation that Caterpillar judges improper.
• Failures resulting from attachments, accessory items, and parts not sold or approved by Caterpillar.
• Failures resulting from abuse, neglect, and/or improper repair.• Failures resulting from user’s delay in making the product available after being notified of a potential product problem.
• Failures resulting from unauthorized repairs or adjustments, and unauthorized fuel setting changes.
• Damage to parts, fixtures, housings, attachments, and accessory items that are not part of the engine, Cat Selective Catalytic Reduction System or electric power generation product (including any products of other manufacturers packaged and sold by Caterpillar). • Repair of components sold by Caterpillar that is warranted directly to the user by their respective manufacturer. Depending on type of application, certain exclusions may apply. Consult your Cat dealer for more information. (Continued on reverse side…)
SELF5731
This warranty covers every major component of the products. Claims under this warranty should be submitted to a place of business of a Cat dealer or other source approved by Caterpillar. For further information concerning either the location to submit claims or Caterpillar as the issuer of this warranty, write Caterpillar Inc., 100 N. E. Adams St., Peoria, IL USA 61629.Caterpillar’s obligations under this Limited Warranty are subject to, and shall not apply in contravention of, the laws, rules, regulations, directives, ordinances, orders, or statutes of the United States, or of any other applicable jurisdiction, without recourse or liability with respect to Caterpillar.A) For products operating outside of Australia, Fiji, Nauru, New Caledonia, New Zealand, Papua New Guinea, the Solomon Islands and Tahiti, the following is applicable:NEITHER THE FOREGOING EXPRESS WARRANTY NOR ANY OTHER WARRANTY BY CATERPILLAR, EXPRESS OR IMPLIED, IS APPLICABLE TO ANY ITEM CATERPILLAR SELLS THAT IS WARRANTED DIRECTLY TO THE USER BY ITS MANUFACTURER.THIS WARRANTY IS EXPRESSLY IN LIEU OF ANY OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, EXCEPT CATERPILLAR EMISSION-RELATED COMPONENTS WARRANTIES FOR NEW ENGINES, WHERE APPLICABLE. REMEDIES UNDER THIS WARRANTY ARE LIMITED TO THE PROVISION OF MATERIAL AND SERVICES, AS SPECIFIED HEREIN. CATERPILLAR IS NOT RESPONSIBLE FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES. CATERPILLAR EXCLUDES ALL LIABILITY FOR OR ARISING FROM ANY NEGLIGENCE ON ITS PART OR ON THE PART OF ANY OF ITS EMPLOYEES, AGENTS OR REPRESENTATIVES IN RESPECT OF THE MANUFACTURE OR SUPPLY OF GOODS OR THE PROVISION OF SERVICES RELATING TO THE GOODS. IF OTHERWISE APPLICABLE, THE VIENNA CONVENTION ON CONTRACTS FOR THE INTERNATIONAL SALE OF GOODS IS EXCLUDED IN ITS ENTIRETY.For personal or family use engines or electric power generation products, operating in the USA, its territories and possessions, some states do not allow limitations on how long an implied warranty may last nor allow the exclusion or limitation of incidental or consequential damages. Therefore, the previously expressed exclusion may not apply to you. This warranty gives you specific legal rights and you may also have other rights, which vary by jurisdiction. To find the location of the nearest Cat dealer or other authorized repair facility, call (309) 675-1000. If you have questions concerning this warranty or its applications, call or write: In USA and Canada: Caterpillar Inc, 100 N.E. Adams St., Peoria, IL USA 61629, Attention: Customer Service Manager, Telephone 1 (309) 675-1000, outside the USA and Canada: Contact your Cat dealer.B) For products operating in Australia, Fiji, Nauru, New Caledonia, New Zealand, Papua New Guinea, the Solomon Islands and Tahiti, the following is applicable:THIS WARRANTY IS IN ADDITION TO WARRANTIES AND CONDITIONS IMPLIED BY STATUTE AND OTHER STATUTORY RIGHTS AND OBLIGATIONS THAT BY ANY APPLICABLE LAW CANNOT BE EXCLUDED, RESTRICTED OR MODIFIED (“MANDATORY RIGHTS”). ALL OTHER WARRANTIES OR CONDITIONS, EXPRESS OR IMPLIED (BY STATUTE OR OTHERWISE), ARE EXCLUDED. WITHOUT LIMITING THE FOREGOING PROVISIONS OF THIS PARAGRAPH, WHERE A PRODUCT IS SUPPLIED FOR BUSINESS PURPOSES, THE CONSUMER GUARANTEES UNDER THE CONSUMER GUARANTEES ACT 1993 (NZ) WILL NOT APPLY.NEITHER THIS WARRANTY NOR ANY OTHER CONDITION OR WARRANTY BY CATERPILLAR, EXPRESS OR IMPLIED (SUBJECT ONLY TO THE MANDATORY RIGHTS), IS APPLICABLE TO ANY ITEM CATERPILLAR SELLS THAT IS WARRANTED DIRECTLY TO THE USER BY ITS MANUFACTURER.IF THE MANDATORY RIGHTS MAKE CATERPILLAR LIABLE IN CONNECTION WITH SERVICES OR GOODS, THEN TO THE EXTENT PERMITTED UNDER THE MANDATORY RIGHTS, THAT LIABILITY SHALL BE LIMITED AT CATERPILLAR’S OPTION TO (a) IN THE CASE OF SERVICES, THE SUPPLY OF THE SERVICES AGAIN OR THE PAYMENT OF THE COST OF HAVING THE SERVICES SUPPLIED AGAIN AND (b) IN THE CASE OF GOODS, THE REPAIR OR REPLACEMENT OF THE GOODS, THE SUPPLY OF EQUIVALENT GOODS, THE PAYMENT OF THE COST OF SUCH REPAIR OR REPLACEMENT OR THE ACQUISITION OF EQUIVALENT GOODS.
CATERPILLAR EXCLUDES ALL LIABILITY FOR OR ARISING FROM ANY NEGLIGENCE ON ITS PART OR ON THE PART OF ANY OF ITS EMPLOYEES, AGENTS OR REPRESENTATIVES IN RESPECT OF THE MANUFACTURE OR SUPPLY OF GOODS OR THE PROVISION OF SERVICES RELATING TO THE GOODS.CATERPILLAR IS NOT LIABLE FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES UNLESS IMPOSED UNDER MANDATORY RIGHTS. IF OTHERWISE APPLICABLE, THE VIENNA CONVENTION ON CONTRACTS FOR THE INTERNATIONAL SALE OF GOODS IS EXCLUDED IN ITS ENTIRETY.C) For products supplied in Australia:IF THE PRODUCTS TO WHICH THIS WARRANTY APPLIES ARE:
I. PRODUCTS OF A KIND ORDINARILY ACQUIRED FOR PERSONAL, DOMESTIC OR HOUSEHOLD USE OR CONSUMPTION; OR
II. PRODUCTS THAT COST AUD 40,000 OR LESS,
WHERE THOSE PRODUCTS WERE NOT ACQUIRED FOR THE PURPOSE OF RE-SUPPLY OR FOR THE PURPOSE OF USING THEM UP OR TRANSFORMING THEM IN THE COURSE OF PRODUCTION OR MANUFACTURE OR IN THE COURSE OF REPAIRING OTHER GOODS OR FIXTURES, THEN THIS SECTION C APPLIES. THE FOLLOWING MANDATORY TEXT IS INCLUDED PURSUANT TO THE AUSTRALIAN CONSUMER LAW AND INCLUDES REFERENCES TO RIGHTS THE USER MAY HAVE AGAINST THE DIRECT SUPPLIER OF THE PRODUCTS: OUR GOODS COME WITH GUARANTEES THAT CANNOT BE EXCLUDED UNDER THE AUSTRALIAN CONSUMER LAW. YOU ARE ENTITLED TO A REPLACEMENT OR REFUND FOR A MAJOR FAILURE AND COMPENSATION FOR ANY OTHER REASONABLY FORESEEABLE LOSS OR DAMAGE. YOU ARE ALSO ENTITLED TO HAVE THE GOODS REPAIRED OR REPLACED IF THE GOODS FAIL TO BE OF ACCEPTABLE QUALITY AND THE FAILURE DOES NOT AMOUNT TO A MAJOR FAILURE. THE INCLUSION OF THIS TEXT DOES NOT CONSTITUTE ANY REPRESENTATION OR ACCEPTANCE BY CATERPILLAR OF LIABILITY TO THE USER OR ANY OTHER PERSON IN ADDITION TO THAT WHICH CATERPILLAR MAY HAVE UNDER THE AUSTRALIAN CONSUMER LAW.TO THE EXTENT THE PRODUCTS FALL WITHIN THIS SECTION C BUT ARE NOT OF A KIND ORDINARILY ACQUIRED FOR PERSONAL, DOMESTIC OR HOUSEHOLD USE OR CONSUMPTION, CATERPILLAR LIMITS ITS LIABILITY TO THE EXTENT IT IS PERMITTED TO DO SO UNDER THE AUSTRALIAN CONSUMER LAW TO, AT ITS OPTION, THE REPAIR OR REPLACEMENT OF THE PRODUCTS, THE SUPPLY OF EQUIVALENT PRODUCTS, OR THE PAYMENT OF THE COST OF SUCH REPAIR OR REPLACEMENT OR THE ACQUISITION OF EQUIVALENT PRODUCTS. THE WARRANTY SET OUT IN THIS DOCUMENT IS GIVEN BY CATERPILLAR INC. OR ANY OF ITS SUBSIDIARIES, 100 N. E. ADAMS ST, PEORIA, IL USA 61629, TELEPHONE 1 309 675 1000, THE USER IS RESPONSIBLE FOR ALL COSTS ASSOCIATED WITH MAKING A CLAIM UNDER THE WARRANTY SET OUT IN THIS DOCUMENT, EXCEPT AS EXPRESSLY STATED OTHERWISE IN THIS DOCUMENT, AND THE USER IS REFERRED TO THE BALANCE OF THE DOCUMENT TERMS CONCERNING CLAIM PROCEDURES, CATERPILLAR RESPONSIBILITIES AND USER RESPONSIBILITIES.TO THE EXTENT PERMISSIBLE BY LAW, THE TERMS SET OUT IN THE REMAINDER OF THIS WARRANTY DOCUMENT (INCLUDING SECTION B) CONTINUE TO APPLY TO PRODUCTS TO WHICH THIS SECTION C APPLIES. ©2018 Caterpillar All Rights Reserved.CAT, CATERPILLAR, their respective logos, "Caterpillar Yellow" the "Power Edge" trade dress as well as corporate and product identity used herein, are trademarks of Caterpillar and may not be used without permission.