The provided text outlines the General Conditions of Contract (GCC) for government procurement in South Africa. It details definitions, application of conditions, general clauses, standards, use of contract documents, patent rights, performance security, inspections, packing, delivery, insurance, transportation, incidental services, spare parts, warranty, payment, prices, contract amendments, assignment, subcontracts, delays, penalties, termination for default and insolvency, settlement of disputes, limitation of liability, governing language, applicable law, notices, taxes and duties, and the National Industrial Participation Programme (NIPP). It also covers prohibition of restrictive practices and force majeure. Key obligations for suppliers include adhering to specified standards, providing performance security, allowing inspections, ensuring proper packing and delivery, maintaining insurance, and fulfilling warranty obligations. Penalties may be imposed for delays or non-performance, and contracts can be terminated for default or insolvency. Disputes are to be settled amicably, with provisions for mediation and South African court proceedings. Suppliers are responsible for taxes and duties, and must provide a tax clearance certificate. The document emphasizes the importance of written agreements and adherence to specified timelines.
The bid notice states that delivery of the goods and performance of services shall be made by the supplier in accordance with the time schedule prescribed by the purchaser in the contract. If at any time during performance of the contract, the supplier or its subcontractors should encounter conditions impeding timely delivery of the goods and performance of services, the supplier shall promptly notify the purchaser in writing of the fact of the delay, its likely duration and its causes. The purchaser shall evaluate the situation and may at his discretion extend the suppliers time for performance, with or without the imposition of penalties, in which case the extension shall be ratified by the parties by amendment of contract. Delivery of the goods and performance of services shall be made by the supplier in accordance with the time schedule prescribed by the purchaser in the contract.
The bid notice states that the method and conditions of payment to be made to the supplier under this contract shall be specified in SCC. The supplier shall furnish the purchaser with an invoice accompanied by a copy of the delivery note and upon fulfillment of other obligations stipulated in the contract. Payments shall be made promptly by the purchaser, but in no case later than thirty 30 days after submission of an invoice or claim by the supplier. The method and conditions of payment to be made to the supplier under this contract shall be specified in scc. . . . Payments shall be made promptly by the purchaser, but in no case later than thirty 30 days after submission of an invoice or claim by the supplier.
The bid notice states that the supplier warrants that the goods supplied under the contract are new, unused, of the most recent or current models, and that they incorporate all recent improvements in design and materials unless provided otherwise in the contract. The supplier further warrants that all goods supplied under this contract shall have no defect, arising from design, materials, or workmanship except when the design andor material is required by the purchasers specifications or from any act or omission of the supplier, that may develop under normal use of the supplied goods in the conditions prevailing in the country of final destination. This warranty shall remain valid for twelve 12 months after the goods, or any portion thereof as the case may be, have been delivered to and accepted at the final destination indicated in the contract, or for eighteen 18 months after the date of shipment from the port or place of loading in the source country, whichever period concludes earlier, unless specified otherwise in scc. The supplier warrants that the goods supplied under the contract are new, unused, of the most recent or current models, and that they incorporate all recent improvements in design and materials unless provided otherwise in the contract. . . . This warranty shall remain valid for twelve 12 months after the goods, or any portion thereof as the case may be, have been delivered to and accepted at the final destination indicated in the contract, or for eighteen 18 months after the date of shipment from the port or place of loading in the source country, whichever period concludes earlier, unless specified otherwise in scc.
The bid notice states that no contract shall be concluded with any bidder whose tax matters are not in order. Prior to the award of a bid the department must be in possession of a tax clearance certificate, submitted by the bidder. This certificate must be an original issued by the South African Revenue Services. No contract shall be concluded with any bidder whose tax matters are not in order. Prior to the award of a bid the department must be in possession of a tax clearance certificate, submitted by the bidder.
The bid notice states that subject to gcc clause 25, if the supplier fails to deliver any or all of the goods or to perform the services within the periods specified in the contract, the purchaser shall, without prejudice to its other remedies under the contract, deduct from the contract price, as a penalty, a sum calculated on the delivered price of the delayed goods or unperformed services using the current prime interest rate calculated for each day of the delay until actual delivery or performance. The purchaser may also consider termination of the contract pursuant to gcc clause 23. Subject to gcc clause 25, if the supplier fails to deliver any or all of the goods or to perform the services within the periods specified in the contract, the purchaser shall, without prejudice to its other remedies under the contract, deduct from the contract price, as a penalty, a sum calculated on the delivered price of the delayed goods or unperformed services using the current prime interest rate calculated for each day of the delay until actual delivery or performance.
The bid notice states that if it is a bid condition that supplies to be produced or services to be rendered should at any stage during production or execution or on completion be subject to inspection, the premises of the bidder or contractor shall be open, at all reasonable hours, for inspection by a representative of the department or an organization acting on behalf of the department. If it is a bid condition that supplies to be produced or services to be rendered should at any stage during production or execution or on completion be subject to inspection, the premises of the bidder or contractor shall be open, at all reasonable hours, for inspection by a representative of the department or an organization acting on behalf of the department.
The bid notice states that if any dispute or difference of any kind whatsoever arises between the purchaser and the supplier in connection with or arising out of the contract, the parties shall make every effort to resolve amicably such dispute or difference by mutual consultation. If, after thirty 30 days, the parties have failed to resolve their dispute or difference by such mutual consultation, then either the purchaser or the supplier may give notice to the other party of his intention to commence with mediation. No mediation in respect of this matter may be commenced unless such notice is given to the other party. If, after thirty 30 days, the parties have failed to resolve their dispute or difference by such mutual consultation, then either the purchaser or the supplier may give notice to the other party of his intention to commence with mediation.