Termination for Default/Termination in Part

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Termination for Default/Termination in Part

Post by jinki_224 on Fri Apr 25, 2014 11:26 am

good morning!

ask ko lang po for termination for default, kpag po ba humingi ng extension ang supplier to delivery the goods, ilang days po ang allowable na extension? and magdededuct na po ba ng penalty?

also, kpag po totally hindi nakumpleto yung delivery, paano po babayaran yung mga items na naideliver na? ano po ang procedure nun?

thanks po!
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Re: Termination for Default/Termination in Part

Post by engrjhez® on Fri Apr 25, 2014 12:10 pm

jinki_224 wrote:good morning!

ask ko lang po for termination for default, kpag po ba humingi ng extension ang supplier to delivery the goods, ilang days po ang allowable na extension? and magdededuct na po ba ng penalty?

also, kpag po totally hindi nakumpleto yung delivery, paano po babayaran yung mga items na naideliver na? ano po ang procedure nun?

thanks po!

Ang termination for default at extension ay hindi pwedeng magsabay. Either i-terminate mo na for default or mag-grant ng extension. Discretion ng HOPE ang extension period kung may justification. Case to case basis ang period pero usually hindi nag-e-exceed ng 1/4 of the original period (matter of practice lang). Kaya kung original delivery period ay 30 days, dapat extension hanggang 7 days lang. The rest of the period must be covered by liquidated damages. Quoting GCC Clause 18:

18.2. If at any time during the performance of this Contract, the Supplier or its Subcontractor(s) should encounter conditions impeding timely delivery of the Goods and/or performance of Services, the Supplier shall promptly notify the Procuring Entity in writing of the fact of the delay, its likely duration and its cause(s).  As soon as practicable after receipt of the Supplier’s notice, and upon causes provided for under GCC Clause 22, the Procuring Entity shall evaluate the situation and may extend the Supplier’s time for performance, in which case the extension shall be ratified by the parties by amendment of Contract.

18.3. Except as provided under GCC Clause 22, a delay by the Supplier in the performance of its obligations shall render the Supplier liable to the imposition of liquidated damages pursuant to GCC Clause 19, unless an extension of time is agreed upon pursuant to GCC Clause 29 without the application of liquidated damages.

Kapag naman hindi natapos ang delivery, magsisimula na ang liquidated damages (LD) for every day of delay. Kapag umabot sa 10% ng kontrata ang LD, dapat na i-rescind ang kontrata, i-forfeit ang performance security, at i-blacklist ang supplier. Ang mga items na nai-deliver na ay dapat lang din naman bayaran ng PE base sa principle ng quantum meruit.
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Re: Termination for Default/Termination in Part

Post by jinki_224 on Fri Apr 25, 2014 12:57 pm

ok po Smile

eh paano po kapag nagserve ng PO tapos nagletter yung supplier na hindi na daw available yung item (id card printer) at yung availability ng consumables eh 2yrs na lang, pero nagoffer po sila ng bagong labas na item pero mas mataas na yung price ng consumables, pwede pa po ba icancel na yung PO and iaward sa next bidder?
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