Deliveries of cast iron and foundry steel scrap are based on the buyer's general purchasing conditions and the following “standard commercial conditions”, the latter taking precedence in the event of contradictions.

1. Delivery dates

The agreed delivery dates are met when shipped by rail, receipt at the receiving station, when shipped by truck, receipt by recipient and, when shipped by ship, receipt of the material at the port of destination.

2. Carrying out the delivery

The seller is obliged to declare the agreed delivery quantities according to the type and to distribute them as rationally as possible within the specified time or to deliver them by arrangement. This applies not only to the total final quantity, but also to the delivery of the individual varieties. The buyer has the same obligation with regard to acceptance.

3. Box contents

The contract quantities must be met precisely.

4. Retention of title

a) The delivered scrap remains the property of the supplier until all claims arising from the business relationship have been satisfied. If the invoice is current, the reserved property is considered as security of the balance claim.

b) Processing or transformation of the reserved goods is carried out for the supplier as a manufacturer within the meaning of Section 950 BGB without binding him.

If the reserved goods are processed, combined and mixed with other goods by the buyer, the supplier has joint ownership of the new item in the ratio of the invoice value of the reserved goods to the invoice value of the other goods used.

If the supplier's ownership expires as a result of combination or mixing, it is already agreed that the buyer will transfer joint ownership of the new inventory or item to the extent of the invoice value of the reserved goods and that the buyer will store them for the latter free of charge.

The goods resulting from processing or as a result of combination or mixing are considered reserved goods within the meaning of subparagraph a).

c) The buyer may only sell or process the reserved goods in the ordinary course of business as long as he is not in default.

d) The buyer's claims arising from the resale of the reserved goods, together with all ancillary rights, are already assigned in full to the supplier, regardless of whether they are sold to one or more customers.

If the reserved goods are sold by the buyer with other goods not belonging to the supplier, the claim is assigned to him only in the amount of his invoice amount.

If the reserved goods are sold after combination or mixing or processing with other goods not belonging to the supplier, the assignment is made only in the amount of his co-ownership share of the sold item or the sold inventory.

If the goods subject to retention of title are used by the buyer to fulfill a work or work supply contract, the claim arising from the work or work supply contract is assigned to the supplier in advance to the same extent as is specified in the previous sections for the claim arising from the resale.

e) The buyer is entitled to collect receivables from the resale of the reserved goods or from their use to fulfill a work or work supply contract until revoked by the supplier. The supplier will only make use of the right of withdrawal if the buyer is in default with his payments or breaches his other obligations.

In this case, at the supplier's request, the buyer is obliged to notify the third-party buyers of the assignment or to provide the supplier with the information and documents required for collection.

f) If the value of the existing securities exceeds the secured claims by more than 10%, the supplier will release the securities held by it in this respect.

5. Payment date

Payment is made by the 20th of the month following receipt of the goods.

6. Suspension

a) The seller must accept cancellations against him. Suspensions are made by the buyer in advance by telephone and confirmed in writing or by telex. On the basis of the telephone message, provided that this is received by 12 noon, shipping must be discontinued at the latest at the end of the next working day: if the notification is made after 5 pm, shipping must be discontinued no later than the end of the next working day.

b) The buyer may refuse to accept cars that will be handled later at the destination station. The costs resulting from this are borne by the seller.

c) Ships loaded or already en route must be handed over to the buyer by telephone immediately after notification of the suspension. Buyer and seller then make an agreement on this. The buyer must provide proof of the date of presentation of the ship.

7. Dispatch

a) All shipping documents (e.g. bill of lading, wagon label, delivery note and bill of lading) must state the exact variety name, main supplier number, sub-supplier number, delivery weight and place of receipt.

b) The seller is obliged to ship at the lowest cost to the buyer.

c) The method of delivery must be agreed in advance between buyer and seller.

d) Only broom-clean wagons with steel structures are to be used for rail deliveries.

e) In the case of ship deliveries, agreements must be made in advance regarding the type of ship and the cancellation options.

f) For ship deliveries, the following also applies: The buyer also determines the point of deletion for CIF contracts. On departure, the buyer must provide the following information by telex or telephone:

 

aa) Name of ship

bb) Delivery (quantity of individual varieties)

cc) Date and place of departure

dd) Expected arrival at the extinguishing point

The bills of lading must be sent to the buyer immediately.

8. weight

The net weight determined by the buyer is decisive for the settlement. Differences compared to the weight declared by the seller are taken into account in accordance with the following provisions:

a) Weight differences for wagon deliveries of up to +/- 300 kg are not taken into account.

Starting at +/- 301 kg differential weight, the net weight determined by the buyer through a weighing certificate of full and empty weighing applies.

Axle weighing is permitted under certain conditions (provisions of the verification office). The weighing certificate must state that the total weight was determined by axle weighing.

b) For shiploads that are unloaded by the buyer or freight forwarder or stored at the buyer's request, the net weight is determined by full and empty areas in the port of discharge. Differences in the net weight determined in this way compared with the weight of bills of lading of up to +/- 0.5% are not taken into account; difference weights of +/- 0.5 to 3% over full and empty areas must be verified by means of the calibration certificate. Differential weights of more than +/- 3% found in full must be reported to the seller before unloading the ship. In this case, deletion may only begin after approval by the seller. Any costs arising as a result are borne by the seller.

c) For truck deliveries, the net weight determined by the receiving plant on officially calibrated scales through full and empty weighing is decisive for the billing. Axle weighing is permitted under certain conditions (provisions of the verification office). The weighing certificate must state that the total weight was determined by axle weighing.

d) Agreed global deductions for contamination and/or quantities of rubble determined by weighing or oak are deducted from the established weight of the load to determine the billing weight.

9. Defects

The factory findings are decisive for the identification of defects and the classification of varieties. Once fully unloaded, the goods are considered to have been delivered in accordance with the contract with regard to all identifiable defects.

The factory can also claim damages as a result of hidden defects later, but only in the amount of the equivalent value for the faulty delivered goods, or demand a replacement delivery.

a) A refusal must be made if a defect or an incorrect variety declaration is discovered during unloading.

b) Insofar as the buyer at the port of discharge visits the scrap delivery before or during the deletion, this does not involve the determination of the final settlement locations. According to the previous paragraph, this is done through factory findings.

c) All scrap must be free from all components that are harmful to casting.

d) All scrap must be free from ionizing radiation that goes beyond natural radiation. Ionizing radiation from the scrap that goes beyond natural radiation is present when a value that exceeds the ambient background radiation is determined by a suitable measuring device. After a further control measurement, this is documented in a measurement report.

If such ionizing radiation in the scrap is detected, the buyer is entitled to refuse to accept the load in the contested transport unit and to inform the competent authority and the seller. Unless the authority orders otherwise, the seller must collect the scrap within two working days of notification of the refusal to accept it. If the seller does not act within this period, the buyer has the right to arrange for the return or disposal. The seller bears all costs associated with the refusal and return or disposal. If the authority orders special measures (e.g. the separation and inspection of all scrap parts of a load identified as burdened, temporary storage on the factory premises, removal under special safety measures, disposal), the seller must also bear the resulting costs.

When resuming shipments of scrap, otherwise at the beginning of each calendar year, the seller must provide the buyer with a written certificate of the following content:

“When loading from our own warehouse, we ensure that we will only deliver scrap that we have previously tested for freedom from ionizing radiation using our own measuring devices. We can therefore, to the best of our knowledge and belief, declare in advance that, as a result of the above test, the scrap is free from ionizing radiation that exceeds the measured ambient background radiation.

In the case of loading by sub-suppliers (drop shipping), we declare that we have informed our sub-suppliers of the obligation to carefully check the scrap to be delivered by you for freedom from ionizing radiation that exceeds the measured ambient background radiation. Our suppliers have assured us that they will carefully check the scrap to be delivered with their own measuring devices and, based on this test, can make a declaration to the best of their knowledge and belief that the scrap to be delivered is free from ionizing radiation that exceeds the measured ambient background radiation.

In the case of deliveries of scrap from direct imports by ship, wagon or truck, we declare that the contract from which the import quantities originate expressly contains the assurance that, as a result of testing with our own measuring device, the scrap to be delivered is free from ionizing radiation that exceeds the measured ambient background radiation.

10. Explosives and suspected hollow bodies

a) The accident prevention provision “Explosives and hollow objects in scrap” of the Metallurgical and Rolling Works Professional Association and the Regulatory Ordinance for the Prevention of Damage from Weapons (War Agent Ordinance) of the State of North Rhine-Westphalia in the currently valid version form part of these conditions, even if a contractual partner is based outside the scope of the abovementioned regulations.

b) All scrap must be delivered free of explosive devices, suspected explosive objects and closed hollow bodies. Shipments of scrap containing explosive devices, explosive objects or closed hollow bodies must be withdrawn by the seller.

c) When resuming shipments of scrap, otherwise at the beginning of each calendar year, the supplier must provide the entrepreneur who melts scrap with a written certificate of the following content:

“When loading from our own warehouse, we ensure that we will only deliver scrap that we have previously tested for freedom from explosive devices, suspected objects and closed hollow bodies. We can therefore declare in advance for every delivery made during the year... to the best of our knowledge and belief that the scrap is free of explosive devices, suspected objects and closed hollow bodies as a result of the above test.

When loaded by sub-suppliers (drop shipping), we declare that we have informed our sub-suppliers of the obligation to carefully check the scrap to be delivered by you for freedom from explosive devices, suspected explosive objects and closed hollow bodies. Our suppliers have assured us that they will carefully check the scrap to be delivered and, on the basis of this inspection, can declare to the best of their knowledge and belief that the scrap to be delivered is free of explosive devices, suspected explosive objects and closed hollow bodies.

In the case of deliveries of scrap from direct imports by ship, wagon or truck, we declare that the contract from which the import quantities originate expressly contains the assurance that the scrap to be delivered is free of explosive devices, explosive objects and closed hollow bodies as a result of an inspection.”

d) Scrap from delaboriated ammunition may only be delivered after prior agreement with the buyer, even if the corresponding safety certificate is available.

e) Düsseldorf Agreement

Proof of appropriate liability insurance in accordance with the Düsseldorf Agreement must be provided.

11. Refusal costs

a) The costs incurred by the buyer in the event of complaints for quality or other reasons are charged to the seller as refusal costs in the amount of the agreements made at the time of conclusion of the contract; in addition, the seller bears standing or lying fees arising from the complaint.

b) If explosives, suspected explosive objects or closed hollow bodies are found in scrap metal, the buyer may charge the seller with a lost property bonus