General terms of delivery

1. Applicability and Commencement
1. These General Terms of Delivery (the Delivery Terms) are applicable to each quotation of and contract with Reykjavik Raincoats for the sale and delivery of Reykjavik Raincoats and related accessories (the goods).
2. Deviations from and amendments to these Delivery Terms will only be binding insofar as Reykjavik Raincoats has explicitly confirmed this in writing, duly signed by an authorised representative of Reykjavik Raincoats.
3. The general terms and conditions of buyer will not be applicable unless and insofar as Reykjavik Raincoats has expressly agreed to this in writing, duly signed by an authorised representative of Reykjavik Raincoats.
4. For the purposes of these Delivery Terms, "buyer" will also mean "purchaser", “customer”, “dealer” or "distributor" as and when appropriate.
5. A contract to deliver goods will be deemed to have commenced between Reykjavik Raincoats and buyer when buyer's order has been confirmed in writing by Reykjavik Raincoats or when Reykjavik Raincoats has commenced delivery of such order.

2. Offers and orders
1. All offers and quotations made by or on behalf of Reykjavik Raincoats are made without obligation and are valid for a period of thirty (30) days, unless otherwise indicated by Reykjavik Raincoats. Reykjavik Raincoats shall be entitled to withdraw its offer within five (5) working days after receipt of the acceptance of the offer by buyer. Orders, contracts and agreements will only be binding upon Reykjavik Raincoats if and insofar as they have been confirmed by Reykjavik Raincoats.
2. Reykjavik Raincoats cannot be held liable for errors or deviations in illustrations, drawings and/or other specifications used in offers or order confirmations, since such illustrations are provided only as a general indication and are not binding.
3. Reykjavik Raincoats shall at any time be entitled to alter the goods, specifications and instructions for use to improve them or to comply with applicable standards and governmental regulations.
4. All orders will be binding upon buyer after signing the order. In the event of a cancellation of an order by buyer, the following applies: within 10 days after the order was submitted, buyer will pay 20% of the order value, within 30 days, 40% of the order value and within 60 days, 80% of the order value. Thereafter, the full order value will be payable by buyer and clause 4.4 applies.

3. Prices
1. Unless otherwise agreed in writing, buyer is responsible for shipping costs, customs charges, duties, taxes, insurance, currency conversion, crating, handling and payment fees.
2. All prices quoted by Reykjavik Raincoats are exclusive of VAT, possible export or import duties, forwarding costs, delivery and insurance costs.
3. Reykjavik Raincoats reserves the right to adjust the prices for the goods from time to time.

4. Delivery
1. The delivery and processing times commence after receipt by Reykjavik Raincoats of the data, goods and/or arranged payments necessary for the performance of the contract.
2. The delivery time quoted by Reykjavik Raincoats is an estimate only which will be observed by Reykjavik Raincoats as far as possible. In the event of late delivery of the goods, Reykjavik Raincoats must be formally declared to be in default in writing and must be granted an additional reasonable term to satisfy its obligations. If the extended term is exceeded, buyer shall be entitled to dissolve the contract insofar as no deliveries have taken place. Reykjavik Raincoats shall not be liable for any damage resulting from late goods.
3. Reykjavik Raincoats shall be allowed to deliver the goods in partial deliveries.
4. Buyer will be obliged to accept the delivered goods and offer Reykjavik Raincoats every opportunity and co-operation to do so. If buyer acts in violation of this obligation, said goods will be stored at the expense and risk of buyer. Buyer shall pay Reykjavik Raincoats all additional delivery, storage and insurance costs and any other costs incurred along with any loss arising in connection with such neglect or refusal. 5. Delivery of goods will be effected Free Carrier, Incoterms 2010, at a location specified by Reykjavik Raincoats, unless agreed otherwise between the parties in writing. From the moment of delivery, the risk of loss or damage shall pass to buyer even if title to the goods have not yet passed.

5. Payment and Security
1. The goods will have to be paid by buyer by means of pre-payment (payment upon submitting an order), unless agreed otherwise by the parties in writing.
2. The date of payment shall be the date on which the amount due has been credited to the bank account.
3. Buyer shall not be entitled to invoke any set-off.
4. Upon expiration of the term of payment, buyer shall be in default and, as of that date, it shall owe interest at a rate corresponding to the Icelandic statutory trade interest issued by Central bank of Iceland .
5. Reykjavik Raincoats shall at any time be entitled to demand adequate security or whole or partial advance payment from buyer before it performs (further).
6. Besides the statutory trade interest, Reykjavik Raincoats is in the event of not payment or delays in payment by buyer, entitled to out-of-court collection costs, for an amount of at least EUR 200 per claim.

6. Retention of Title and Right of Pledge
1. Reykjavik Raincoats shall retain title to all goods delivered or to be delivered to buyer until Reykjavik Raincoats has received payment in full of the purchase price of the goods and any interest or costs due and payable.
2. During such time as Reykjavik Raincoats has title to the goods, buyer shall store or otherwise keep Reykjavik Raincoats’s goods separately from all other goods in such a way as to clearly indicate at all times that the said property remains that of Reykjavik Raincoats. All costs incurred by Reykjavik Raincoats in repossessing the goods shall be paid by buyer. During such time as Reykjavik Raincoats retains title to the goods, buyer in possession of the goods shall have the power to deal with and actually deliver the goods in the normal course of its business.
3. At Reykjavik Raincoats’s first request, buyer shall establish a silent pledge on behalf of Reykjavik Raincoats on the account receivable from the sale of any of such goods.
4. Buyer shall insure the goods against any and all risks commonly insured against. Buyer shall name Reykjavik Raincoats as insured or additional assured and will provide Reykjavik Raincoats a copy of its insurance policies upon immediate request.

7. Inspection, Complaints & Warranty Conditions
1. Upon receipt of the goods, buyer shall be obliged to immediately inspect the goods for defects and deficiencies. Visible defects must be reported to Reykjavik Raincoats in writing within seven (7) calendar days after the date of receipt of the goods at buyer’s premises. Defects that are not visible upon receipt, must be reported to Reykjavik Raincoats within seven (7) calendar days after discovery or within seven (7) calendar days after buyer should reasonably have discovered the defects. If buyer does not report within the above stated timelines, Reykjavik Raincoats will not be able to accept a complaint.
2. Small deviations of the goods in measurements, weight, amounts, colours or other small deviations do not qualify as a defect, in line with accepted industry standards.
3. Reykjavik Raincoats warrants production and material faults (that do not qualify as small deviations) for a period of twelve (12) months as of delivery of such goods to buyer, insofar the goods have been used in a normal manner by buyer.
4. In the event of warranty claims under this provision, Reykjavik Raincoats will, at its discretion, only be obliged to repair the defect free of charge, to have the defect repaired, or to make the parts available that are necessary for the repair, or to replace the good concerned. If Reykjavik Raincoats finds that repair or replacement of the goods is not (or no longer) possible or disproportionately troublesome, Reykjavik Raincoats will be entitled to credit the price received for the goods concerned, without being liable for any further damages.
5. ‘Used in a normal manner’ means the use of the goods for the purpose for which it was intended, including compliance with the instructions for use which accompany the goods and bearing in mind any instructions or guidelines for use given by Reykjavik Raincoats, as determined at the discretion of Reykjavik Raincoats. The costs of the components which prove defective and are replaced during the warranty period are included in the warranty, with the exception of components which are subject to normal wear and tear.
6. Defects that are the result of normal wear and tear, pollution, inappropriate use, negligence, carelessness, abuse or intentional damage and charge in colour as a result of the use of water, to be judged reasonably by Reykjavik Raincoats, are excluded from any warranty.
7. Goods may only be returned by buyer to Reykjavik Raincoats subject to Reykjavik Raincoats prior written consent and instructions. 8. This warranty is personal can only be transferred by buyer to a third party with the prior written consent of Reykjavik Raincoats.

8. Force Majeure
1. Reykjavik Raincoats is entitled to invoke force majeure of the Icelandic civil code, if the implementation of the contract is, in whole or in part, temporarily or not, prevented or impeded by circumstances reasonably out of its control, including site or building blockades, strikes, specific work interruptions or work-to-rule slowdowns and lockout, delay in the provision to Reykjavik Raincoats of certain parts or goods ordered from third parties, sickness of its employees, accidents and interruptions of business operations, transport problems, natural disasters, earthquakes, fire and wars.
2. In case of force majeure on the part of Reykjavik Raincoats, its obligations shall be suspended. If the force majeure lasts more than three (3) months, Reykjavik Raincoats and buyer are both entitled to terminate the non-feasible parts of the contract.

9. Limitation of Liability
1. All liability of Reykjavik Raincoats is limited to the warranty obligation as set forth under ‘Inspection, Complaints & Warranty Conditions’, unless in so far as damage result from an intentional act or gross negligence of Reykjavik Raincoats.
2. Reykjavik Raincoats shall never be liable for consequential or indirect damage, including but not limited to damages and costs resulting from late delivery, damage to other goods of buyer or any third party, damage resulting from incorrect or improper use of the goods by buyer, loss of turnover, loss of profit, loss of goodwill, nor for damage resulting from any incorrect and/or incomplete information supplied by buyer.
3. In all cases in which Reykjavik Raincoats is nevertheless obligated to pay damages, these shall never be higher than, at its option, either the invoice value of the goods delivered, at least the part thereof whereby or in connection with which the damage was caused, or, if the damage is covered by an insurance policy of Reykjavik Raincoats, the amount that is actually paid out by the insurer with respect thereto. In case of continuing contracts the "invoice value" is the amount charged by Reykjavik Raincoats for all goods delivered in the period of three (3) months prior to the damage inflicting event, this with the deduction of credited amounts in connection with that period and for those goods.

10. Intellectual Property Rights
1. All intellectual property rights, including but not limited to copyrights, model rights and trademark rights with respect to goods delivered by Reykjavik Raincoats, including but not limited to drawings, calculations, sketches, technical data, know-how and advices, remain with Reykjavik Raincoats and are not being transferred to buyer, unless and insofar as parties agree explicitly otherwise in writing. Buyer shall refrain from infringements of copyrights, model rights, trademark rights or any other intellectual property rights of Reykjavik Raincoats.
2. Buyer shall not damage the Reykjavik Raincoats brand or reputation in any way.
3. In case intellectual property rights are being created under a contract between Reykjavik Raincoats and buyer, all such rights will belong to Reykjavik Raincoats and, in as far as necessary buyer will transfer such rights to Reykjavik Raincoats and buyer shall in every way co-operate to such transfer.
4. Buyer indemnifies Reykjavik Raincoats against all third party claims with respect to infringement of intellectual property rights insofar such infringement is related to the development, delivery or use of goods that have been developed by Reykjavik Raincoats according to the specifications of buyer. This indemnity also applies in case Reykjavik Raincoats amends an existing good according to the instructions of buyer.
5. Reykjavik Raincoats indemnifies buyer against third party claims with respect to infringement of intellectual property rights by a good that has been developed by Reykjavik Raincoats independently, when Reykjavik Raincoats has immediately been informed of such claim by buyer in writing and in the event buyer assists Reykjavik Raincoats in defending its position in any way.
6. Reykjavik Raincoats is entitled to develop and undertake promotional and sales activities and participate in events like sales bazars. In the future, Reykjavik Raincoats may also develop an online sales channel for the goods.

11. Confidentiality
1. Buyer shall treat any information and know-how received from Reykjavik Raincoats as strictly confidential and this information and know-how shall not be communicated to third parties by buyer without Reykjavik Raincoats’s prior permission in writing. Nor shall buyer use this information and know-how for any cases other than explicitly provided for in a written contract to which these Delivery Terms apply.

12. Termination
1. Each party shall be entitled to terminate the contract with immediate effect if the other party: (i) is granted a temporarily or definite moratorium of payment; (ii) is declared bankrupt or files for bankruptcy; (iii) acts in breach of the provisions of the contract and after it has not, within a reasonable period, fulfilled its obligations after a notice of default, by written notification; or (iv) has acted in breach of the contract whilst the fulfilment or correction is no longer possible.
2. If one of the events referred to in this provision occurs, (i) all claims Reykjavik Raincoats may have against buyer on whatever basis will immediately become due and payable; and (ii) Reykjavik Raincoats will be entitled to cancel any order.
3. Termination of a contract does not affect in any way the applicability of the provisions on 5. Payment and Security, 6. Retention of Title and Right of Pledge, 7. Inspection, Complaints & Warranty Conditions, 8. Force Majeure, 9. Limitation of Liability, 10. Intellectual Property Rights, 11. Confidentiality, 12. Termination and 13. Applicable Law and Competent Court.

13. Applicable Law and Competent Court
1. The relationship between the parties is governed by the laws of Iceland.
2. The United Nations Convention on Contracts for the International Sale of Goods is not applicable.
3. All disputes between the parties will exclusively be submitted for judgement to the competent court in Reykjavik, Iceland, unless Reykjavik Raincoats chooses to bring a dispute before the competent court of the country where buyer is established.