Except as otherwise agreed in writing, all transactions, quotations, tenders, offers to contract (whether written or oral) for the supply of goods or services by Dragon Spares to the customer, shall be subject to these Standard

Terms and Conditions of Sale:

1 DEFINITION

1.1 “Dragon Spares” means Dragon Spares cc, Registration No: 2011/060034/23 of 6 Combrinck Street, Alrode, Gauteng, 1451, South Africa.

1.2 “Goods” means all goods sold by Dragon Spares to the customer, being Trucks Spares, Earthmoving Equipment Spares, Mobile Crane Spares Engine Spares and associated products.

1.3 “The Customer” means the purchaser of the goods.

2 PURCHASE AND SALE

2.1 The customer shall be bound by these Standard Terms and Conditions of Sale in all transactions for the purchase of the goods.

2.2 The customer shall inform its clients that the goods are sold subject to these Standard Terms and Conditions of Sale and the customer shall be deemed to have so informed its clients in respect of all sales of the goods by the customer to its clients.

3 ORDERS

Dragon Spares reserves the right for any reason whatsoever to decline any order and/or to suspend delivery and/or to decline to supply the goods to the customer.

4 PAYMENT

4.1 The customer shall pay for the goods within 30 days from the date of Dragon Spares’ statement, unless otherwise agreed to by Dragon Spares in writing.

4.2 All amounts overdue for payment shall accrue interest at the maximum rate permitted in terms of the Usury Act. 73 of 1968. The interest shall be calculated and paid in advance. If the interest is not paid, it shall be added to the capital owing and the whole amount shall form the principal debt, which shall continue to accrue interest in this way until payment is received from the customer.

5 SET OFF

The customer shall not withhold payment for the goods under any circumstances and waives any right of set off against Dragon Spares in respect of any amount which may now or in the future become owing by Dragon Spares to the customer.

6 DELIVERY

6.1 Although Dragon Spares will endeavour to deliver the goods according to the customer’s requirements, Dragon Spares will not be bound by the customer’s delivery requirements and shall not be liable in any manner whatsoever for any failure or delay in delivery.

6.2 Dragon Spares shall in its discretion be entitled to make and invoice part-deliveries.

6.3 When making delivery at the customer’s premises or other premises nominated by the customer, the customer shall be responsible for receiving, unloading and checking the goods in the presence of the Dragon Spares representative making the delivery.

6.4 In the event of a short delivery, the customer shall forthwith upon delivery endorse Dragon Spares’ copy of the delivery documentation, specifying details of the short delivery. Within three (3) days of such delivery, the customer shall lodge a claim with Dragon Spares in respect of such short delivery.

6.5 In the event that the goods are delivered in a damaged or defective state, the customer shall forthwith upon delivery, endorse Dragon Spares’ copy of the delivery documentation detailing the damage or defects to the product. The customer shall within three (3) days of such delivery notify Dragon Spares of such damage or defects in the goods delivered and within this period, shall return all the damaged and defective goods (at its own cost) to Dragon Spares

6.6 If Dragon Spares agrees with the customer’s claim, Dragon Spares will either make up the shortfall or replace the damaged or defective goods, as the case may be.

6.7 Dragon Spares shall not be liable to the customer for loss or damage howsoever arising, whether direct or consequential, as a result of the short-delivery or delivery of damaged or defective goods.

6.8 In the event that the goods supplied are incorrect, the customer shall within three (3) days advise Dragon Spares, specifying details of the incorrect goods. The customer shall return the incorrect goods (at its own cost) to Dragon Spares within ten (10) working days of delivery. If Dragon Spares agrees that the incorrect parts were supplied, Dragon Spares will either supply the correct part or credit the returned items, as the case may be.

6.9 The customer may not return for credit any goods specially imported and supplied by Dragon Spares, according to Manufacturer’s Part Numbers provided by the customer.

6.10 The customer may not return for credit any electrical goods, or goods where the packaging has been opened, damaged, defaced, destroyed or discarded.

6.11 Dragon Spares reserve the right to charge a handling fee of up to 15% of the invoiced amount for handling / restocking / return of goods which are returned for credit.

6.12 Delivery of goods at the place of delivery nominated by the customer shall constitute good delivery, whether or not anyone receives delivery on behalf of the customer.

6.13 If on the instruction of the customer, the goods are delivered to a carrier for delivery to the customer, delivery to the customer shall be deemed to have been made on delivery to the carrier, who shall at all times be the customer’s agent for this purpose.

7 OWNERSHIP

7.1 Dragon Spares shall remain the owner of the goods until they are paid for in full by the customer.

7.2 If the customer fails to pay, Dragon Spares shall be entitled to repossess the goods, without prejudice to any of its other rights.

7.3 For so long as ownership in the goods remains vested in Dragon Spares, the customer shall:

7.3.1 Keep the goods free from attachment, any landlord’s hypothec, lien or any other legal encumbrance, charge or process;

7.3.2 Not without Dragon Spares’ prior written consent sell, or in any way dispose of the goods;

7.3.3 Notify its landlord of Dragon Spares’ reservation of ownership in the goods;

7.3.4 Keep the goods insured against loss or damage through fire, theft or any other risk with an insurer acceptable to Dragon Spares, for the replacement value thereof. The customer shall pay the premiums arising from such insurance promptly and upon request, shall forthwith on demand display the insurance policy and proofs of payment to Dragon Spares.

8 RISK

On delivery of the goods to the customer, the risk in and to the goods shall pass to the customer, notwithstanding that ownership in the goods remains vested in Dragon Spares.

9 WARRANTY

9.1 Save to the extent provide for in this clause, Dragon Spares makes no representations whatsoever and gives no guarantees against latent or patent defects in the goods. All conditions and warranties whatsoever in respect of the goods, whether flowing from statute, the common law or otherwise, are excluded.

9.2 Dragon Spares shall not incur any liability of any nature for any injury, loss or damage to any person or property arising from the use of the goods.

9.3 The goods supplied by Dragon Spares shall be suitable only for the purposes for which they are designed. The customer shall ensure the goods are handled, stored, installed, used, operated and otherwise dealt with in a normal and proper manner and where applicable, in a manner consistent with the instructions given by Dragon Spares.

9.4 Save to this extent, no claim shall arise against Dragon Spares as a result of or in connection with any defects in, or unsuitability of the goods or workmanship.

10 INDEMNITY

Dragon Spares shall not be liable for any claims of whatsoever nature and howsoever arising from direct or consequential loss or damage sustained by the customer or any of the customer’s clients in connection with the workmanship, installation or use of the goods and the customer hereby indemnifies Dragon Spares against all such claims.

11 BRANDING, MARKING OR MODIFYING

The customer shall not deface, brand, modify or tamper in any way whatsoever with the goods.

12 SECURITY

Any claim the customer may at any time have arising wholly or partially out of or in connection with the disposal by it of the goods, or some of them, shall be deemed to have been ceded to Dragon Spares as security for the customer’s obligations hereunder.

13 CUSTOMER’S DOCUMENTS

13.1 In all transactions with the customer, any clauses or condition contained in or forming part of the customer’s documents shall not amend or modify these Standard Terms and Conditions of Sale and Dragon Spares shall not be bound thereby.

13.2 These Standard Terms and Conditions of Sale shall supersede any conflicting clauses or conditions, whether verbal or whether contained in any of the customer’s documents.

14 PROPRIETARY RIGHTS

The customer shall not do anything to infringe the proprietary rights of Dragon Spares in respect of the goods.

15 CREDIT

Dragon Spares shall in its sole and absolute discretion be entitled to alter, withdraw or adjust any credit facilities granted to the customer. Dragon Spares shall be entitled to ask the customer, who shall be obliged to provide, guarantees to secure payment of the purchase price of the goods.

16 EXCHANGE RATE

16.1 In respect of any transaction for which Dragon Spares quotes in Rands and the exchange rate applies, Dragon Spares will be paid the Rand equivalent of the quoted price subject to the ruling exchange rate at the conclusion of the transaction or the date on which Forward Cover is secured.

16.2 In respect of Import / Export sales, the customer shall be responsible for obtaining all the necessary Government approvals and requisite permits. Dragon Spares shall endeavour to assist the customer in this regard in so far as this may be necessary.

17 INDULGENCE

No relaxation or indulgence granted to the customer by Dragon Spares, at any time, shall be deemed to be a waiver of any of the creditor’s rights in terms hereof, and such relaxation or indulgence shall not be deemed to be a novation of any of the terms and conditions set out herein, or create any estoppels against Dragon Spares.

18 LEGAL COST

The customer shall pay all legal costs, including attorney / client costs and collection commission, which Dragon Spares may incur in taking any steps pursuant to any breach of the Standard Terms & Conditions of Sale.

19 APPLICABLE LAW - If the customer:

19.1 Breaches any condition contained in these conditions;

19.2 Fails to pay any amount due and payable on due date;

19.3 Permits any Civil judgement to be taken or entered against it;

19.4 Causes a notice of surrender of its estate to be published in terms of the Insolvency Act No. 24 of 1936, as amended;

19.5 Dies

19.6 Is placed under any order of provisional or final sequestration, provisional or final winding up, or provisional or final judicial management, as the case may be then and in that event Dragon Spares shall, without detracting from any other remedies which may be available to it, be entitled to summarily cancel the sale of the goods to the customer without notice, and to repossess the goods sold and delivered by Dragon Spares to the customer, or to claim specific performance of all the customer’s obligations whether or not such obligations would otherwise have fallen due for performance, in either event without prejudice to Dragon Spares’ right to claim damages.

20 MAGISTRATE’S COURT

The customer consents to the jurisdiction of the Magistrate’s Court in terms of section 45 of the Magistrate’s Court Act, 32 of 1944 in respect of any claims, not withstanding that the amount of the claims may exceed the jurisdiction of the court. However this consent shall not preclude Dragon Spares from proceeding in any other court of competent jurisdiction.

21 DOMICILIUM

The customer chooses its domicilium citandi et executandi at the delivery address.