GENERAL WORKING AGREEMENT –
This document defines the terms and conditions of our working relationship. All
projects or services that DESIGNER may be contracted to produce or provide for
CLIENT will be subject to the following:
WORKING/BILLING PHASES –
Based on our experience with long-term design
communications
projects, we have found that it is mutually advantageous to handle each project
in logical working/billing phases.
Concept
revisions, extensive alterations, or a switch in marketing objectives sometimes
makes it impossible to accurately estimate in advance the total cost of a
project. Planning the work, cost estimating, and billing in several phases
permits DESIGNER or CLIENT to adjust for such revisions/or halt work before
completion if a project is postponed or cancelled. Any cancelled project is
billed only through phases and/or portions of phases that were actually
completed by DESIGNER. For each project, CLIENT will receive a proposal/estimate
outlining the project specifications and our proposed scope of services and working/billing
phases. Each proposal estimate will contain a project budget, which includes
estimated fees for professional services and separate itemized costs for anticipated
out-of-pocket expenses.
We
will begin work upon CLIENT’S approval of the written estimate. Your approval
(written
or oral) will constitute an agreement between us.
PAYMENT/ESTIMATES –
CLIENT agrees to pay DESIGNER in accordance with the terms specified in each
proposal/estimate. On accounts that have not submitted a credit application and
been approved by our credit department, will be required to pay 50% of the
project cost before work can begin.
Shipping and Packing cost has to be paid always in advance. For 100% pre payment, we offer you 2% cash discount of the ordered value. (except shipping & packaging cost)
Unless
otherwise specified, all subsequent balances due are payable upon art approval.
Interest on past due balances is 18% per annum or 1.5% per month. We reserve
the right to refuse completion or delivery of work until past due balances are
paid.
Estimate: Billing
will reflect the actual costs incurred. Valid for only 30 days from date on estimate.
Client requested changes will be billed additionally. The client will be
notified of any price changes.
OUT-OF-POCKET
EXPENSES – Fees for professional services do not include
outside purchases such as, but not limited to, printing, photography, colour
printouts, laminating, illustrations, separations, shipping and handling or
courier service. Expenses are itemized on each invoice. If consultant or
supervisory services are required in out-of-town locations, we will bill
lodgings, meals, and transportation at cost. Reimbursement for mileage is calculated
at current allowable rates.
REVISIONS AND ALTERATIONS –
New work requested by CLIENT and performed by DESIGNER after a
proposal/estimate has been approved is considered a revision or alteration. If
the job changes to an extent that substantially alters the specifications described
in the original estimate, we will submit a proposal revision memo to you, and a
revised additional fee must be agreed to by both parties before further work
proceeds.
Author’s
alterations and other copy changes requested after layouts or mechanicals are completed
are billed at standard hourly rates.
OVERTIME –
Estimates are based on a reasonable time schedule, and may be revised to take
into consideration your “Priority Scheduling” requests requiring overtime and weekends.
Knowledge of your deadlines is essential to provide an accurate estimate. In addition,
outside suppliers such as service bureaus charge a 100% to 200% mark-up on overtime
after 5:30pm and weekends.
NATURE OF COPY –
CLIENT agrees to exercise due diligence in its direction to us
regarding
preparation of materials and must be able to substantiate all claims and
Representations.
You are responsible for all trademarks, servicemark, copyright and patent infringement
clearances. You are also responsible for arranging, prior to publication, any necessary
legal clearance of materials we prepare.
ERRORS AND OMISSIONS –
It is the CLIENT’S responsibility to check proofs carefully for accuracy in all
respects, ranging from spelling to technical illustrations. DESIGNER is not
liable for errors or omissions. Your signature or that of your authorized
representative is required on all mechanicals or artwork prior to release for
printing or other implementation.
TELECOMMUNICATIONS –
CLIENT shall pay for all transmissions charges. The
DESIGNER
is not responsible for any errors, omissions or extra costs resulting from
faults
in the telephone, cable, satellite network or from incompatibility between the
sending
and receiving equipment.
OVER RUNS AND UNDER RUNS –
The CLIENT will accept over runs or under runs that do not exceed 10% of the
quantity ordered on all jobs. The DESIGNER will bill for actual quantity
delivered within this tolerance. If the CLIENT requires a guaranteed quantity,
the percentage of tolerance must be stated at the time of quotation.
| PROPERTY AND SUPPLIER’S PERFORMANCE –
DESIGNER will take all reasonable precautions to safeguard the property you
entrust to us. In the absence of negligence on our part, however, we are not
responsible for loss, destruction or damage or unauthorized use by others of
such property. We will use our best efforts to ensure quality and timely
delivery of all printed (offset, silk-screened, embossed or otherwise reproduced)
pieces. Although we may use our best efforts to guard against any loss to you
through the failure of our vendors, media, or others to perform in accordance
with their commitments, DESIGNER is not responsible for failure on their part. If
you select your own vendors, other than those recommended by us, you may
request that we coordinate their work. If at all possible, we will attempt to
do so, but we cannot in anyway be held responsible for quality, price,
performance or delivery.
LIEN – All
materials or property belonging to the CLIENT, as well as work performed, may
be retained as security until all just claims against the CLIENT are satisfied.
RIGHTS OF OWNERSHIP –
Once a project has been delivered by us and is fully paid for by CLIENT,
DESIGNER will assign the reproduction rights of the design for the use(s) described
in the proposal.
The
rights to all design and art work, including but not limited to photography and
or illustration created by independent photographers or illustrators retained
by DESIGNER, or purchased from a stock agency on your behalf, remain with the
individual designer, artist, photographer or illustrator. Unless a purchase of
“All Rights” (A Buyout) is negotiated with DESIGNER and/or his/her authorized representative,
you may not use or reproduce the design or the images therein for a purpose
other than the one(s) originally stipulated. If you wish to use the design we
have created and/or the images within it for another purpose or project,
including a reprint or exhibition, you must contact us to arrange the transfer
of rights and any additional fees before proceeding. If printing or other
implementation is done through your vendors, you agree to return to us all our
original mechanicals and artwork (slides, prints, drawings, separations, etc.)
within two weeks, and to provide us with printed samples of each project.
We reserve the right to photograph and/or distribute
or publish for our firms promotional and marketing needs any work we create for
you, including mock-ups and comprehensive presentations, as samples for our
portfolio, firm news letter, brochures, slide presentations and similar media.
We agree to store mechanical boards and computer disks for a period of 6 months
beyond the delivery of a job. Thereupon, we reserve the right to discard them.
TERM AND TERMINATION –
The term of this agreement will continue for work in
progress
until terminated by either of us upon thirty (30) days written notice. If you
should direct us at any time to cancel, terminate or “put on hold” any
previously authorized purchase, we will promptly do so, provided you hold us
harmless for any cost incurred as a result.
Upon
termination of this agreement, DESIGNER will transfer to CLIENT all your
property and materials in our control and for which you have paid. CLIENT will
indemnify and hold DESIGNER harmless for any loss or expense (including attorney’s
fees), and agree to defend DESIGNER in any actual suit, claim or action arising
in any way from our working relationship. This includes, but is not limited to
assertions made against CLIENT and any of its products and services arising
from the publication of materials that we prepare and you approve before
publication.
PRODUCTION SCHEDULES –
Production schedules will be established and adhered to by both C L I E N T and
the D E S I G N E R, provided that neither shall incur any liability, penalty
or additional cost due to delays caused by a state of war, riot, civil
disorder, fire, labour trouble or strike, accidents, energy failure, equipment
breakdown, delays in shipment by suppliers or carriers, action of government or
civil authority, and acts of God or other causes beyond the control of the
Client or the Designer. Where production schedules are not adhered to by the
Client, final delivery date or dates will be adjusted accordingly.
ADDITIONAL PROVISIONS –
This
agreement is our entire understanding and may not be modified in any respect
except in an executed agreement.
If
we must retain attorneys to collect our invoices, we will be entitled to
reasonable
attorney’s fees, court costs, and interest at the
maximum rate permitted by law.
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