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1 <br /> <br />STANDARD TERMS AND CONDITIONS <br /> <br />1. Definitions. <br /> <br />a. “Agreement” has the meaning given in the Product Proposal. <br />b. “Customer” means the customer identified in the Product Proposal. <br />c. “Dealer Preparation,” if applicable, means additional product(s) and/or services added by GSFA after <br />Manufacturer’s completion of the Product and prior to delivery, in accordance with the Dealer Supplied <br />Products/Services List. <br />d. “Delivery Date” means the Product Completion timeframe plus the Predelivery Service timeframe equals <br />the Delivery Date. <br />e. “Dealer Supplied Products/Services List” means the Dealer Supplied Products and/or Services List attached <br />to the Product Proposal as Exhibit D, which reflects all Dealer Preparation under the Agreement absent a <br />valid Change Order(s). <br />f. “Grand Total Purchase Price” means the total purchase price for the Product identified in the Product <br />Proposal (subject to any adjustments required or permitted by these Terms and Conditions, including by <br />the execution of a valid Change Order(s). <br />g. “GSFA” means Golden State Fire Apparatus, Inc., a California corporation. <br />h. “Manufacturer” means the person or persons, company, firm, corporation, partnership, or other <br />organization identified in the Product Proposal as responsible for manufacturing the Product. <br />i. “Party” or “Parties” means GSFA and/or Customer, as applicable. <br />j. “Predelivery Service” means the Products and/or Services that will be provided by GSFA after <br />transportation of the Product(s) from the manufacturing facility and prior to Final Delivery or Pick-Up. <br />k. “Prepayment Discount” means a discount to the purchase price for the Product granted to Customer in <br />connection with Customer’s advance payment of the Grand Total Purchase Price (or portion thereof, as <br />specified in the Product Proposal). <br />l. “Product” means the fire apparatus(es) and any associated equipment listed in the Product Proposal and <br />further described in the Specifications. <br />m. “Product Completion” means the fire apparatus(es) in the Product Proposal and further described in the <br />Specifications being ready for final inspection by Customer at the manufacturing facility. <br />n. “Product Proposal” means the GSFA proposal executed by Customer to which these Terms and Conditions <br />are attached. <br />o. “Product Warranties” means the Manufacturer warranties for the Product attached to the Product <br />Proposal as Exhibit C. <br />p. “Specifications” means the specifications for the Product attached to the Product Proposal as Exhibit B. <br />q. “Terms and Conditions” means these Standard Terms and Conditions, which are attached to the Product <br />Proposal as Exhibit A. <br /> <br />2. Purchase and Payment. <br /> <br />a. Purchase. Customer agrees to purchase the Product at the Grand Total Purchase Price (as such amount <br />may be adjusted in accordance with these Terms and Conditions), pursuant to the payment terms set forth in the <br />Product Proposal. The Grand Total Purchase Price is payable in U.S. dollars. <br /> <br />b. Contingency Reserve Fund. The Grand Total Purchase Price may include an amount to be set aside for <br />the purpose of funding any future costs or financial obligations incurred by Customer under the Product Proposal or <br />any valid Change Order(s) (the “Contingency Reserve Fund”). If applicable, the amount of any required Contingency <br />Reserve Fund will be set forth in either the Product Proposal or Exhibit D. The Contingency Reserve Fund may be <br />withdrawn against by Customer or GSFA for the purpose of satisfying Customer’s payment obligations under the <br />initial Product Proposal or any valid Change Order(s) (including, without limitation, a Change Order submitted by <br />GSFA pursuant to Section 8.b). If a Contingency Reserve Fund is required under the Agreement, the amount of such <br />fund is not intended as an estimate of the actual additional costs of contingencies, Change Orders, unforeseen items <br />Page 326 of 782