Sales Terms and Conditions

General. As a supplier to Canton Gear Manufacturing & Design Company (“Canton Gear Manufacturing & Design Company”), you become a key contributor to the products and services that we deliver to our customers. We value the conformance of your products and services to our specifications and requirements, your contribution to our product’s safety, and your ethical business practices. If you are bidding on one of our RFQs, it is understood that your organization agrees to meet the following AS9100 requirements whenever a Canton Gear Manufacturing & Design Company purchase order specifies that the order is for an aircraft product subject to AS9100 requirements, hereafter called an “aircraft product” order.

Scope. These terms and conditions apply to all external suppliers and sub-tier suppliers which furnish products, processes, or services to be incorporated into Canton Gear Manufacturing & Design Company’s contractually deliverable aircraft products.

1. Suppliers must use Canton Gear Manufacturing & Design Company’s customer-approved special process sources (anodize, heat treat, welding, etc.) when indicated on a Canton Gear Manufacturing & Design Company purchase order.

2. The supplier must contact Canton Gear Manufacturing & Design Company in the event of nonconforming product/material. Arrangements for the approval of supplier nonconforming product/material must be as directed by a Canton Gear Manufacturing & Design Company authorized manager or designee.

3. The supplier shall notify Canton Gear Manufacturing & Design Company of any changes to a products and/or processes, including changes of external providers or location of manufacture, that may affect conformance to specifications or requirements, and to obtain approval from an authorized Canton Gear Manufacturing & Design Company manager or designee prior to production. If a First Article of Inspection (FAI) was required by the contract for the first product, a new FAI shall be required from the supplier.

4. Canton Gear Manufacturing & Design Company, our customers, and regulatory authorities retain the right of access to supplier:

   1. Facilities involved in the aircraft product order.

   2. Records applicable to product conformance to specifications, which shall be retained for four years from date of purchase order.

5. Canton Gear Manufacturing & Design Company will require our external providers to apply the appropriate controls to their direct and sub-tier external providers to ensure that product requirements are met. The appropriate controls may include customer/regulatory/AS9100 specific requirements and will be indicated on the Canton Gear Manufacturing & Design Company purchase order.

6. Canton Gear Manufacturing & Design Company performs inspection activities to ensure that purchased product meets requirements, including:

   1. Receiving inspections (of supplier products / services / documents) performed by a designated employee. Canton Gear Manufacturing & Design Company verifies the authenticity of the appropriate certificate of conformity, material certificates, etc. and other accompanying documentation by review and comparison (as is appropriate) to the drawing and/or industry specifications, or by other means. When necessary, Canton Gear Manufacturing & Design Company may inspect or perform an audit at the supplier’s facility.

   2. Product inspections to ensure they meet requirements, dimensions, etc. Special processes (anodizing, heat treat, welding, etc.) where compliance cannot be verified by inspection will require a Certificate of Conformity.

   3. Product/service conformity and on-time delivery will be monitored by Canton Gear Manufacturing & Design Company

7. When Canton Gear Manufacturing & Design Company or its customer intends to perform verification at the supplier’s premises, Canton Gear Manufacturing & Design Company will first state the intended verification arrangements and the method of product release. This information will be communicated on the Canton Gear Manufacturing & Design Company RFQ, purchase order, or via another acceptable purchasing arrangement.

8. To ensure product identification and traceability, Canton Gear Manufacturing & Design Company will institute controls that include the requirement of Material Certificates, Certificates of Conformity, and/or other supporting documentation from its suppliers as is appropriate. These requirements may be specified on Canton Gear Manufacturing & Design Company’s RFQ, purchase order, or may otherwise be communicated to the supplier.

9. All special process must be performed by qualified and competent persons.

10. Canton Gear Manufacturing & Design Company requires that the Supplier have policies and procedures to identify potential Counterfeit Parts from suppliers. Seller shall immediately notify Canton Gear Manufacturing & Design Company with the pertinent facts if Supplier becomes aware of or suspects that Counterfeit Parts may have been used in a product delivered to Canton Gear Manufacturing & Design Company. If products delivered under this order constitutes or includes Counterfeit Parts, Supplier shall, at its expense, promptly replace such Counterfeit Parts with genuine parts conforming to the requirements of this order. Notwithstanding any other provision in this order, Seller shall be liable for all costs relating to the removal and replacement of counterfeit parts.

11. Canton Gear Manufacturing & Design Company may also require specific actions where timely and/or effective corrective actions to a supplier issue are not achieved. These actions may include but are not limited to any or all of the following: withholding payment until the issue is resolved, removal of the supplier from Canton Gear Manufacturing & Design Company’s Approved Supplier list, and legal action.