Seplat's Ts & Cs. Procurement of Goods and Services
Seplat's Ts & Cs. Procurement of Goods and Services
1.1.1 “ABC Laws” mean: 1.1.8 “Applicable Law” means the ABC Laws,
the Nigerian Content Act, Applicable Data
(a) the Economic and Financial Protection Laws and all other laws,
Crimes Commission statutes, orders, rules, directives and
(Establishment) Act 2004; regulations of the Federal Republic of
(b) the Corrupt Practices and other Nigeria, or issued by any competent
Related Offences Act 2000; authorities under the Federal Republic of
(c) other applicable anti-bribery and Nigeria, including the official directives of
corruption laws of the Federal the State Government of Nigeria, which
Republic of Nigeria; apply to this Agreement;
(d) the principles described in the
Convention on Combating 1.1.9 “Area of Operations” means the
Bribery of Foreign Public Officials Company location identified in the “Scope
in International Business of Work Overview” section of the Form of
Transactions, signed in Paris on Agreement, or if silent, then the Company
17 December 1997, which location(s) where the Contractor shall
entered into force on 15 February perform any or all parts of the Services as
1999, and the Convention’s identified in Appendix 2 or in a Purchase
Commentaries; Order;
(e) the UK Bribery Act 2010;
(f) the United States Foreign 1.1.10 “Business Day” means any day of the
Corrupt Practices Act 1977; and week other than Saturdays, Sundays or
(g) any other anti-bribery and anti- public holidays declared by the Federal
corruption law, regulation, or rule Government of Nigeria;
of any jurisdiction to which the
Contractor or any part of the 1.1.11 “Claim(s)” mean(s) all claims,
Work is subject; allegations, damages, liabilities, losses,
demands, liens, encumbrances, causes
1.1.2 “Act of Default” means the occurrence of action of any kind (including actions in
of any action described under Clause rem or in person am or those of a statutory
18.1; or regulatory nature), obligations, costs,
judgments, interest, and awards
1.1.3 “Advance Payment Guarantee” has the (including legal counsel fees and costs of
meaning provided under Clause 4.6.3; litigation if awarded as part of the
judgment in favour of the Person
1.1.4 “Affected Party” means a Party who is asserting the Claim), whether created by
affected by the occurrence of a Force law, contract, tort, voluntary settlement, or
Majeure Event which meets the otherwise, arising out of, related to, or in
conditions under Clauses 16.1 and 16.2; any way connected with this Agreement
or the Work;
1.1.5 “Affiliate” means any Person which
Controls, or is Controlled by, or which is 1.1.12 “Company” means the entity designated
Controlled by an entity which Controls, as such in the Form of Agreement;
another Person;
1.1.13 “Company Group” means the
1.1.6 “Agreement” means this Procurement Company, its Affiliates, its Co-Venturer (if
of Goods and Services Agreement which indicated in the Form of Agreement) and
comprises the Form of Agreement and their respective directors, officers,
1.1.42 “Non-Defaulting Party” means the Party 1.1.52 “Services” mean the activities to be
who is not a Defaulting Party; performed by the Contractor as described
in Appendix 2 and the Purchase Order (as
4.2.1. perform the Work free of any omission 4.2.11. be deemed to have read all
and in a Good and Workmanlike Manner; documentation relating to the Agreement
in order to determine the type, quantity,
4.2.2. ensure that the Work, in all respects, and quality of resources, including the
conforms to the specifications set out in Contractor Personnel, that will be
Appendix 2 and the Purchase Order; required to complete the Work. The
Contractor shall further obtain for itself a
4.2.3. comply with and strictly adhere to the full understanding and knowledge of the
Company’s instructions and directions on nature and scope of the Work and of the
all matters relating to the Work; conditions under which the Work is to be
completed.
4.2.4. co-operate with the Company in all
matters relating to the Work; 4.3. Personnel Responsibilities.
4.2.5. provide all equipment, tools, vehicles, and 4.3.1. Personnel. The Contractor shall, at all
other items required for the Work; times during the Term, maintain the
sufficient number of personnel necessary
4.2.6. ensure that all goods, equipment, to provide and complete the Work. Each
materials, standards, and techniques Contractor Personnel shall be mentally
used in performing the Work are of the and physically fit, trained, competent,
best quality and free from defects in skilled, and experienced in the conduct of
workmanship; the tasks for which they are intended. The
key Contractor Personnel shall be able to
4.2.7. comply with: read, write and speak the English
language fluently.
(a) all Applicable Laws;
(b) the Agreement; and 4.3.2. Discipline of Personnel. The Contractor
(c) the Company’s policies on anti- shall maintain strict discipline and good
bribery and corruption, gifts and order among the Contractor Personnel
hospitality, anti-fraud, and during the performance of the Work.
whistleblowing, which are
available on the website of Seplat 4.3.3. Replacement of Personnel without
Energy Plc; cause. The Contractor shall, at the
Company’s sole cost, immediately
4.2.8. provide Company with the drawings, remove any of the Contractor Personnel
certificates or other documentation if requested by the Company without
related to the Goods in the form and cause. Subject to the Company’s
substance, and at the times, required by approval, such personnel shall be
the Company; replaced with a substitute having the
same or similar qualification and
4.2.9. where applicable, ensure (and experience within twenty-four (24) hours
demonstrate to the reasonable of his removal.
satisfaction of the Company) its
compliance with the applicable 4.3.4. Replacement of Personnel with cause.
requirements of the Nigerian Content Act The Contractor shall, at its sole cost,
and directives or regulations made immediately remove any of the Contractor
pursuant thereto; Personnel who, in the opinion of the
Company, misconducts himself or is
4.2.10. where Company Materials are given to incompetent or negligent in the proper
Contractor, hold all Company Materials in performance of his duties, or fails to
safe custody at its own risk, keep the comply with any provisions of this
4.6.1. Where required by the Company, the 4.7.2. The Contractor hereby agrees that the
Contractor shall provide within ten (10) Company’s receipt of the Goods at the
days of receiving a request from the Delivery Location shall not be construed
9.7.3. It shall be the obligation of the Contractor 10.5. The provisions of this Clause 10 shall in
to notify the Company of any tax no way limit the liability of the Contractor
exemption to which the Contractor is under the Agreement.
entitled. Any such notice by the
Contractor shall include documentary 10.6. The Contractor shall, within five (5) days
evidence of the tax exemption. The after the Effective Date and within forty-
Company shall only be obliged to apply eight (48) hours of receiving the
the tax exemption in favour of the Company’s request, provide the
Contractor where the Contractor has Company with an insurance certificate
demonstrated to the reasonable giving details of the Insurance cover and
satisfaction of Company that it is entitled the period of cover.
to the exemption.
10.7. The Contractor shall procure that each
9.8. Importation and Custom Duties. Where Subcontractor is insured to appropriate
any part of the Goods is, or will be levels as may be relevant to its
imported, the Contractor shall comply with involvement in the Work.
all Applicable Laws in relation to the
importation of the Goods. The Contractor 11. REPRESENTATIONS AND
shall further pay all custom duties WARRANTIES
assessed in respect of the importation of 11.1. Initial Representations. The Contractor
the Goods and shall provide the Company represents and warrants to the Company
with documentary evidence of clearance as of the Effective Date that:
from the Nigerian Customs Service to the
reasonable satisfaction of the Company. 11.1.1. it is a duly organised and validly existing
legal entity, in good standing under the
9.9. Expenses. Unless otherwise provided in laws of its country of establishment. The
Appendix 3, the Contractor shall bear all Contractor has full legal power and
expenses of its staff and facilities used for authority to enter into and perform the
its performance of the Work. Agreement in accordance with it terms
and has taken all actions necessary to
10. INSURANCE BY CONTRACTOR authorise the Execution, delivery and
performance of the Agreement, including
10.1. The Contractor shall, at its own cost, having the valid license and permits
procure and maintain in force for the Term required to perform the Work. The
and the Defect Correction Period, the Agreement therefore constitutes a legal,
types of insurance set out in the Form of valid, and binding obligation against the
Agreement and other types of insurance Contractor;
required by Applicable Law in respect of
the Work (“Insurance”). 11.1.2. it has complied with the ABC Laws in
11.2.1. it has the technical competence, financial 11.4.1. Where the Contractor procures the Goods
capacity, resources, and equipment directly from an OEM or an OEM country
necessary to perform its obligations under representative, the Contractor shall
the Agreement; procure that the OEM or its country
representative (as the case may be)
11.2.2. the Company is relying on the provides, at a minimum, the warranties
Contractor's advice, skill and judgment in required under this Agreement.
the execution and completion of the Work;
11.4.2. The Contractor shall further procure that
11.2.3. in performing its obligations under the such warranties are given for the
Agreement, it shall comply with the ABC minimum duration of the Defect
Laws and the anti-bribery and corruption Correction Period, for the benefit of the
policy, anti-fraud policy, gift and hospitality Company and incorporate terms that give
policy and whistleblowing policy of the the right of enforcement to the Company
Company (as set out in the website of without recourse to the Contractor.
Seplat Energy Plc);
11.4.3. If the Contractor fails to procure an
11.2.4. the members of the Contractor Group assignable warranty in accordance with
(who are involved in any part of the Work) this Clause 11.4 or as otherwise agreed in
are, at all relevant times, in compliance writing by the Company, then the
with all requirements of the Agreement, Contractor shall be fully liable to the
and have obtained and maintain all Company for any loss suffered by the
necessary licences, permits, consents, Company as a direct result of Contractor’s
approvals and other authorisations which breach of this Clause 11.4.
are required for the performance of the
Work; 12. LIABILITIES AND INDEMNITIES
15.3.1. Toll free lines: 0800 444 1234 (Seplat 16. FORCE MAJEURE
Business Integrity); or 0703 000 0026
(KPMG). 16.1. No Liability. Notwithstanding any
contrary provision in this Agreement,
15.3.2. Email: [email protected] or neither Party shall be in breach of the
[email protected] Agreement nor liable for delay in
performing, or failure to perform, any of its
15.4. Respecting Human Rights. Contractor obligations under the Agreement to the
shall ensure that in its execution of the extent that such breach, delay or failure
work under this Agreement, it respects the results from a Force Majeure Event in
human rights of its staff and that it does respect of which the Affected Party has
not engage in child labour, forced labour, notified the other Party in accordance with
servitude, modern-day slavery, unsafe Clause 16.2.
working conditions, discrimination based
on race, religion, disability or gender, or 16.2. Notice and Mitigation. The Affected Party
cruel or abusive disciplinary practices in shall immediately (but no later than three
its business. (3) days after the start of the Force
Majeure Event) notify the other Party of the
15.4.1 Contractor represents and warrants to occurrence of a Force Majeure Event,
comply with all applicable laws and shall giving reasonable particulars of the alleged
ensure that the working conditions and Force Majeure Event, its impact on the
remuneration of its employees preserve Affected Party’s due performance under
human dignity and are consistent with the Agreement, mitigation and remedial
fundamental principles defined and efforts, and an estimated time for normal
protected by the Universal Declaration of resumption of activities. The Affected Party
Human Rights, the International Labour shall use its best efforts to resolve, or
Organization, and with laws, rules and procure the resolution of, the Force
codes relating to the prohibition of forced Majeure Event in a timely manner. Where
labour and child labour, modern-day the Contractor is the Affected Party, the
slavery, servitude and unsafe working Contractor shall work with the Company to
conditions. agree on and promptly implement a
15.4.2 Contractor shall ensure that it provides its mutually acceptable solution to complete
employees with all legally mandated the Work.
benefits and complies with all applicable
laws including the Nigerian Labour Law, 16.3. No Price Increase. No increase shall be
the U.K. Modern Slavery Act 2015 and the made to the Total Compensation (or any
laws on working hours and employment part of it) as a result of a Force Majeure
rights in the countries in which it operates. Event.
16.4.1. The Company shall have the right to 18.2. Termination for Default.
terminate the Agreement with notice to
the Contractor if a Force Majeure Event 18.2.1. In the event of an Act of Default under
prevents the Contractor from progressing Clauses 18.1.1, 18.1.4 and 18.1.5, the
the Work for a period of forty-five (45) Non-Defaulting Party shall be entitled to
consecutive days or from completing the immediately terminate the Agreement
Work by the Completion Date. with notice to the Defaulting Party.
16.4.2. Either Party may terminate the 18.2.2. In the event of an Act of Default under
Agreement with notice to other Party if a Clauses 18.1.2 and 17.1.3, the Non-
Force Majeure Event continues for a Defaulting shall be entitled to immediately
period of ninety (90) consecutive days. terminate the Agreement with notice to
the Defaulting Party if the Act of Default
17. SUSPENSION cannot be remedied or (if remediable)
when the Defaulting Party fails to remedy
17.1. The Company may, with notice to the its Act of Default within fourteen (14) days
Contractor, suspend all or any part of the after receiving a notice to do so.
Work at any time and from time to time
(“Suspension”). 18.3. Termination for Convenience.
Notwithstanding any contrary provision of
17.2. In the event of a Suspension, the this Agreement, the Company may
Company shall pay the Contractor for the terminate the Agreement without reason
portions of the Work satisfactorily and at any time by giving at least five (5)
performed up to the date of Suspension. days’ prior notice to the Contractor. In
such event, the Company shall pay the
18. DEFAULT AND TERMINATION Contractor for the portion of the Work
satisfactorily performed up to the date of
18.1. Act of Default. If any of the following termination.
events occur, then the Contractor or the
Company, as applicable, shall be in 18.4. Termination for Prolonged
default: Suspension. In the event of Suspension
18.1.1. a Party becomes insolvent or enters into that continues for a period of ninety (90)
receivership or has a receiver or consecutive days, either Party may
administrator appointed against it (for terminate the Agreement by giving the
financial or other reasons), or insolvency other Party at least five (5) days’ notice of
or bankruptcy proceedings are termination.
commenced against a Party, whether
voluntary or otherwise; 18.5. Effective Date of Termination. The
effective date of termination shall be as
18.1.2. the Contractor assigns or transfers any stipulated in the notice issued by the
right, obligation, or interest in the relevant Party or if silent, as determined
Agreement other than as expressly pursuant to Clauses 18.2 to 18.4.
authorised under the Agreement;
18.6. Accrued Rights and Obligations.
18.1.3. the Contractor fails to perform the Work in Termination of the Agreement shall not
accordance with the requirements affect any of the rights, remedies,
provided under the Agreement; obligations, or liabilities of the Parties that
have accrued up to the date of
18.1.4. except in the case of Clause 18.1.3, a termination.
Party breaches any provision of the
Agreement, which breach is irremediable 18.7. Post-Termination Compensation
or (if such breach is remediable) such Obligations. In the event of any
Party fails to remedy that breach within termination of this Agreement, the
fourteen (14) days after receiving a notice following provisions shall apply in relation
to do so or any further period agreed by to compensation:
the Non-Defaulting Party; or
18.7.1. the Contractor shall not be obligated to
18.1.5. the Contractor suspends, ceases, or complete the Work and the Company
threatens to suspend or cease carrying on shall not be obligated to pay for the
18.7.3. the Contractor shall immediately (but no 19.1.1. A notices requests, confirmations,
later than forty-five (45) days after the approvals, acceptance or other
date of termination) refund to the communication made pursuant to this
Company any part of the Total Agreement (“Notice”) must be in writing;
Compensation that was advanced to the in English; addressed and sent in
Contractor and which is due back to the accordance with the receiving Party’s
Company pursuant to this Clause 18.7. contact information provided in the
“Contact for Notices/Representatives”
18.8. Post-Termination Actions. Upon section of the Form of Agreement or other
termination of the Agreement, the contact information designated by a Party
Contractor shall promptly do the following: from time to time in accordance with this
Clause 19; and delivered hand, reputable
18.8.1. safely stop the Work in the manner prepaid courier or e-mail.
directed by the Company;
19.1.2. Effectiveness. Any Notice shall be
18.8.2. immediately return all Company Materials deemed effective on the date stated
in the manner directed by the Company; therein or if silent, on the date received.
and Subject to Clause 19.1, Notice shall be
deemed received as follows:
18.8.3. if so requested by the Company, provide
all assistance reasonably required by the (a) if delivered by hand or reputable
Company to facilitate the safe and smooth prepaid courier, on the date
handover of the Work to the Company or delivered to the receiving Party
any Third Party designated by the during its normal business hours.
Company. Any notice delivered outside of
the normal business hours of a
18.9. Surviving Clauses. The following Party shall be deemed received
Clauses shall survive the expiration or on the next working day; or
earlier termination of the Agreement: 4.1 (b) if delivered by e-mail, the next
(Status), 4.2 (Work Performance), 4.4 working day following the date of
(Liquidated Damages), 4.6 (Performance completed transmission.
Bond), 4.7 (Title, Risk of Loss and
Acceptance), 6 (Examination and Defect 20. AUDIT AND STORAGE OF
Correction), 7 (Variations), 9 DOCUMENTS
(Compensation and Taxes and Custom
Duties), 10 (Insurance by Contractor), 11 20.1. During the Term and for a period of four
(Representations and Warranties), 12 (4) years thereafter, the Company shall
(Liabilities and Indemnities), 13 have the right to audit the Contractor’s
(Confidentiality and Data Protection), 14 records (howsoever stored) during its
(Intellectual Property), 15 (Business normal business hours, in order to confirm
Ethics), 18.7 (Post-Termination matters pertaining to the following:
Compensation Obligations), 18.8 (Post-
Termination Actions), 18.9 (Surviving 20.1.1. all invoiced charges made by the
Clauses), 20 (Audit and Storage of Contractor to the Company; and
Documents), 21 (Governing Law and
Dispute Resolution) and 22.1 (Liens). The 20.1.2. any obligation of the Contractor under this
foregoing shall be without prejudice to any Agreement, the performance of which is
Clause which by its terms implicitly capable of being verified by audit,
requires a survival of the termination or
expiration of this Agreement.
21.4.5. Injunctive Relief. For the avoidance of 22.3. No Third Party Rights. Except to the
doubt, the reference to arbitration as extent expressly permitted under Clause
required under Clauses 21.2 and 21.4.1 14.4, nothing in this Agreement shall be
shall not preclude the Company from construed as granting (or having granted)
seeking injunctive relief from a court of any rights or benefits (including
competent jurisdiction in respect of an enforcement rights) to any Third Party.
actual or threatened breach of this
Agreement. 22.4. Severability. Each provision of this
Agreement shall be considered separable
21.4.6. Costs. The losing Party shall pay the cost and if any provision(s) is (are) determined
of the arbitration. However, where an to be invalid, unenforceable or illegal
award is made against both Parties, then under any existing or future law or by a
the cost of arbitration shall be determined Court of competent jurisdiction, then such
by the arbitrator or arbitrators (as the case invalid, unenforceable or illegal
may be). provision(s) shall be immediately severed
from the Agreement and shall not impair
22. GENERAL LEGAL PROVISIONS the continued validity and enforceability of
the remaining parts of the Agreement.
22.1. Liens. The Contractor shall not create or Following such severance, the Parties
exercise, and shall procure that its undertake to use best efforts to agree on
Subcontractors, service providers and a suitable replacement for the severed
other Third Parties to whom the provision(s) of the Agreement in order to
Contractor is indebted do not create or give effect to their original commercial
exercise, any Lien on any part of the Work intention.
or Company Materials. All such attempts
shall be null and void, and the Contractor
shall be fully responsible for and shall fully 22.5. Amendments. No changes to this
defend and indemnify the Company Agreement shall be valid unless made in
against all Claims arising from a breach of writing and signed by the duly authorised
this Clause 22.1, including reimbursing representatives of each Party.
the Company for costs directly incurred by
the Company in enforcing this Clause. 22.6. Entire Agreement. The Agreement
constitutes the entire agreement between
22.2. Waiver. the Parties with respect to the Work and
supersedes all prior written and verbal
communication with respect to the Work.
22.2.1. A waiver of any right or remedy under this Nothing in this Clause 22.6 shall limit a
Agreement is only effective if (and to the Party’s liability for fraudulent conduct.