B) Answer the following questions

Exercise 8 a) Read and translate an extract from a contract.

B) Answer the following questions.

1. Why did the Buyer want the guarantee period to be extended?
2. Why was the Seller to replace the faulty parts promptly during the guarantee period? 3. Why does the company arrange service visits of their engineers after the guarantee period?

Guarantee. The Sellers guarantee that the delivered goods are in all respects in accordance with the description, technical conditions and specifications of the order, that they are free from defects in design, material and workmanship.

If the goods within the period of guarantee, i.e.12 months of the date of putting them into operation and 18 months of the date of shipment are found defective or fail to conform to the respective conditions of the Contract, the Sellers for their own account undertake at the Buyers’ option either to eliminate the defects or to replace the faulty parts free of charge without delay. The elimination of the detected defects shall not be regarded as a reason for any prolongation of the delivery dates.

After the period of guarantee expires the defects shall be eliminated at the Buyers’ expense. The Sellers’ liability does not cover defects arising from the Buyers’ faulty maintenance or from storage and repairs carried out improperly by the Buyers.

Payment. Should the Buyers fail to observe the terms of payment stipulated in this Contract the Sellers have the right to suspend the fulfillment of their obligation under this Contract.

If necessary the Buyers undertake in proper time to obtain an import license and an exchange permit and the Sellers – an export license from the appropriate authorities.

1. What do the Sellers guarantee when they sign the Contract? 2. For what period do the Sellers guarantee the normal operation of the goods? 3. What do the Sellers undertake to do if the goods fail to conform to the technical conditions of the Contract? 4. For whose account do the Sellers undertake to eliminate the defects? 5. When do the Sellers consider the Buyers responsible for the damage to the goods? 6. In what case have the Sellers the right to suspend the fulfillment of their obligations? 7. Where are the Buyers to obtain import licences and exchange permits?

c) Find English equivalents for the following words and expressions.

Без дефектів, не відповідати умовам, за власний рахунок, на вибір покупця, замінити несправні деталі безкоштовно, подовжити строки доставки, закінчення гарантійного терміну, неправильна експлуатація та установка, неправильно проведений ремонт, призупинити виконання обов’язків, дозвіл на проведення валютних операцій, відповідні органи влади.

Exercise 9 Read and translate the dialogue ‘Complaints and claims’.

Kelly: Mr. Franklin? I’d like to tell you why we asked you to come to us.

Franklin: Well, I’m fully at your disposal.

K: We asked for an appointment with you as we are dissatisfied with the way your goods are sent. I’d like to know your reaction to it.

F: We’ve carefully studied your complaints. You’re perfectly correct as to the short delivery. Two items lacked in the consignment of equipment we sent you. It was overlooked by our controller. We apologize for the oversight. It won’t happen again.

K: When will you send us these parts?

F: This week. By air.

K: Fine. But what about the packaging? The cover of one of the containers was badly damaged. The equipment in this container was damaged too.

F: It wasn’t our fault. You should take this up with the captain of the ship. The equipment was packed in the required way.

K: We’ve already done it. He believes that your packing is to blame.

F: I must disagree totally with him. Let’s come back to this matter in a couple of days. I’ll try to discuss it with the ship-owners.

K: Well, but there is one more problem: delay in delivery of equipment. We suffered some losses through this delay. According to the sanctions clause of the contract we have the right to claim compensation.

F: I’m afraid you haven’t that right. This delay was caused by a strike in the Glasgow port. And this is a force majeure circumstance.

K: But you were able to foresee this complication. Moreover, you could have delivered the equipment to other port.

F: We couldn’t have done it owing to circumstances outside our control.

K: Well, if we don’t reach mutual understanding, our company will have to go through arbitration procedures.

F: There’s no need to get aggressive. There will be a meeting of our top executives at 12 o’clock where your claim will be on the agenda. I’ll try to settle it and ring you back after the meeting.

K: All right. I’m waiting for your call.

F: Bye.

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