HomeMy WebLinkAboutRES 23-261RESOLUTION NO. 23-261
BE IT RESOLVED BY THE CITY COUNCIL
OF THE CITY OF BEAUMONT:
THAT the City Council hereby approves the purchase of a Standby Diesel
generator from Mustang CAT, of Houston, Texas, for the Pine Street Water Treatment
Plant in the amount of $870,000.00.
The meeting at which this resolution was approved was in all things conducted in
strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter
551,
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 19th day of
September, 2023.
- Mayor Roy West -
P.O. Box 1373 . 12800 Northwest Freeway
Houston, Texas 77251-1373
Phone (713) 460-7211
Fax (713) 460-3852
Reference: City of Beaumont — Pine St.
Subject; Standby Diesel Generator Set
Quote #31212352
June 5, 2023
Page 1 of 4
Generator Set: Customer Net Price 1 Unit MOM $8701000.00
FOB Houston, TX
Local Start Up & Commissioning of Generator Set Included
1750M Standby Generator Set:
The EPA Tier 2 Emergency Stationary Only system shall consist of a Caterpillar Model 3512 Diesel
Generator Rated 1750 kW Standby, 2400 Volt, 1800 RPM, 3Phase, 60 Hertz, 4 Wire, 0.8 pf.
With the Following Additional Accessories Included:
•
2 YEAR WARRANTY •
•
24HR UL142 SUB BASE TANK •
•
WEATHERPROOF SOUND ENCLOSURE •
(75dBA @ 23FT)
•
•
ENCLOSURE ELECTRICAL PACKAGE •
•
CRITICAL GRADE SILENCER
•
•
ENGINE MOUNTED RADIATOR
•
•
JACKET WATER HEATER
•
•
EMCP 4 CONTROLLER
LOCAL ANNCIATOR NFPA 110
REMOTE ANNUNCIATOR NFPA
DIGITAL VOLTAGE REGUALTOR
GENERATOR SPACE HEATER
HD ELEC. START MOTOR DUAL 24V
BATTERIES
BATTERY CHARGER 20A NFPA
AIR CLEANER
SPRING ISOLATORS
Delivery: Approximately 100 Weeks after submittal approval. Delivery times do not start until afterthe
submittal is approved.
P.O. Box 1373 • 12800 Northwest Freeway Quote #31212352
Houston, Texas 77251 -1373
Phone (713) 460-7211 June 5, 2023
Fax (713) 460-3852 Page 2 of 4
Reference: City of Beaumont — Pine St.
Subject: Standby Diesel Generator Set
Clarifications/Exceptions:
• This quotation is based on customer email.
• Submittals available 4-6 weeks after receipt of order.
• All fuel provided by others.
• No maintenance tools included.
• No instillation included. Equipment Only.
• The package quoted is manufacturer's standard. Welding, painting, and all internal parts are
manufacturer's standard.
• Mustang Cat requires a minimum of three (3) weeks notice to schedule all start-
up/commissioning/testing.
• The engine will be visually and mechanically inspected for proper functioning.
Terms:
• In the event Mustang consents in writing to cancellation, Customer shall pay Mustang, at
Mustang" option, the following as liquidated damages: a. Invoice price of all goods which
have been identified to the contract, whether such goods have been delivered to Customer or
not. b. Actual costs incurred by Mustang for goods not completed which are allocable to the
balance of the contract, including the cost of discharging Mustang's liabilities, which are so
applicable and costs of materials on hand which were acquired or produced in connection
with partial finished work and materials. c. A reasonable allowance for profit in connection
with goods called for under the contract, but with respect to which production has not yet
begun at the time of cancellation. Reasonable costs incurred by Mustang, including
accountants' and attorney's fees, if any, in making any termination settlement hereunder.
• Mustang CAT Payment Terms are NET 30. The invoice will be issued once the equipment is
shipped to site.
• All customers that are not tax exempt will be charged a TERP Tax of 1.5%
P.O. Box 1373. 12800 Northwest Freeway Quote #31212352
Houston, Texas 77251-1373
Phone (713) 460--7211 June 5, 2023
Fax (713) 460-3852 Page 3 of 4
Reference: City of Beaumont — Pine St.
Subject: Standby Diesel Generator Set
!Votes:
• Offloading is to be provided by others.
• References to right hand and left hand items refer to their location on the engine as viewed
facing the flywheel end.
• Each Engine Shipment Includes one (1) Parts Catalog and one (1) Operator's Instruction
Manual.
• Mustang Power Systems does not have copies of other states/cities/counties regulations and,
therefore, we may not meet these regulations,
• Mustang Cat accepts no penalty charges for any liquidated damages due to late deliveries.
• Mustang Cat takes exception to ALL items that are not in above quote. Equipment supplied will
be limited to that described in this proposal.
The field service technicians will:
• Ensure that the user has received the proper literature.
• Review safe start, stop and operation procedures with the user.
• Review maintenance, service, and adjustments with the user.
• Generator and ATS are to be installed by others. Installation shall be completed prior to start-
up/testing by others, additional charges will incur if installation is not completed before start-
up/testing.
• Start-up/Commissioning/Training shall be performed during regular business hours (Mon. — Fri.
8.00 AM to 5:00 PM).
• Additional field assistance is available from Mustang at the current rates.
Mustang Cat takes exception to ALL items that are not in above quote. Equipment supplied will be
limited to that described in this proposal.
Nick Traber
Mustang Power Systems
EPG Engine Sales
Office: 713-452-7217
Cell: 361-649-2187
Email: ntraber@mustangcat.com
P.O. Box 1373 . 12800 Northwest Freeway Quote #31212352
Houston, Texas 77251-1373
Phone (713) 460-7211 .tune 5, 2023
Fax (713) 460-3852 Page 4 of 4
Reference: City of Beaumont — Pine St.
Subject: Standby Diesel Generator Set
TERMS AND CONDITIONS OF SALE
1. All prices are exclusive of sales tax and unless terms to Mustang are agreed to In advance, all prices are payable In full prior to delivery. Orders are placed at
manufacturer's current list price. In the event of price changes by manufacturer, customer will pay the price prevailing at ilia time of delivery. 2. This proposal
shall terminate unless Mustang receives written acceptance hereof within the period set forth on Ilia reverse side hereof. Such written acceptance must refer to the
proposal number and dale of this proposal. 3. Customer acknowledges and agrees that this proposal contains all agreements between Customer and Mustang and
Customer hereby accepts them. Customer further agrees and acknowledges that no verbal contracts, agreements or warranties other than what Is written within
this proposal have been received or given, and signature on this proposal by Customer acknowledges this fact.4. Unless otherwise stated herein, all prices are
F.O.B. Mustang's plant, except in cases of overseas shipment, In which cases, at Mustang's option, prices are P.O.B. Port of Exit. Method of delivery in writing from
F.O.B. point shall be at Mustang's discretion unless specifically designated by Customer. Notwithstanding any agreement to pay freight, legal title to, beneficial
ownership of, right to possession of and risk of loss and damage to all merchandise described herein shall pass from Mustang to Customer upon delivery to a
common carrier or licensed trucker or In cases of overseas shipment, upon delivery on board an aircraft or vessel at the Port of Exit, which delivery shall constitute
delivery to the Customer. 6. Every effort will he made to moot the Customer's required del Ivory dales but Mustang will not be liable for damages or be deemed to
he In default by reason of any failure to deliver or delay In delivery due to any preference, priority, allocation, or allotment order Issued by the Government, whether
Federal, State o local, or causes beyond its control including, but not limited to, Acts of God or a public enemy, acts of Government, fires, floods, epidemics,
quarantine restrictions, strikes, lockouts, freight embargoes, unusually severe weather, unavailability of materials or shipping space, delays of carriers or suppliers
or delays of any subcontractors. 6. Mustang reserves the right to make delivery In Installments unless otherwise expressly stated herein. All such Installments
shall be separately Involced and paid for when due, without regard to subsequent deliveries. Delay In delivery of an Installment shall not relieve Customer of its
obligations to accept remaining deliveries. 7. If the produci(s) is not paid for In full In cash at the time of delivery, Mustang will retain and Customer hereby grants
to Mustang a security Interest in such product(s) within the meaning of the Uniform Commercial Code together with all and any substitutions, additlons, or
accessions to such product(s), and in any and all proceeds from the sale, exchange or disposal thereof to secure payment of the purchase price of such product(s).
Customer, prior to or after delivery, specifically agrees to enter Into and execute a financing statement, or statements, and an Agreement between the parties in
relation to the security Interest of Mustang. Customer further appoints Mustang, as it's attomeyimfact to execute any such financing statement or security
agreement in the place and stead of Customer. In the event Customer fails to execute any such financing statement of security agreement upon request by
Mustang, the entire balance of the purchase price shall at Mustang's option become due and payable and Mustang shall have all remedlas available to it provided
for and set out in the Uniform Commercial Code. Customer also agrees to execute and deliver to Mustang any notes or other evidences of Indebtedness that may
be required by Mustang, However, any note taken herewith shall be evidence of Customer's obligation to pay the unpaid time balance only and is not to be
considered or construed to be payment for the producl(s). LATE OR DEFERRED PAYMENT SHALL BEAR INTEREST AT THE HIGHEST CONTRACT RATE
PERMITTED BY LAW. S. Customer further agrees to indemnify and save harmless Mustang from all loss, damage, expense and penalty arising from any action on
account of any Injury to person or property of any character whatsoever occasioned by the operation, handling or transportation of any of the product(s) covered
by this proposal and white the product(s) Is In fire possession or under the custody and control of the customer. 9. In consideration of the sale of the product(s)
by Mustang. Customer agrees to pay Mustang for such product(s) at Mustang's principal office In Houston, Harris County, Texas. 10. In the event any action
either to collect payment or enforce the terns and provisions of this proposal becomes necessary. Customer agrees to pay reasonable attorney's fees to Mustang
should this matter be placed In the hands of an attorney for collection, 11, Customer agrees that this proposal, upon acceptance by Customer, shall not be
countermanded by him and that when it Is accepted (and until the execution and delivery of the contract and note or notes required to consummate the sale of this
above specified) [twill, together with any security agreement, Promissory note or other evidence of Indobledness executed by Customer Subsequently hereto,
constitute the entire agreement between the parties relative to this transaction. Customer further agrees that Mustang Is not bound by any representations or
agreements made by any agent or employee of Mustang relative to this transaction unless specifically embodied herein. 12, The only warrantles, if any, applicable
to any Item of machinery, equipment or other persona[ property subject hereto are Identified on the reverse side hereof. a. Mustang will not make nay warranties,
express or implied, regarding any item of machinery, equipment o other personal property subject hereto, and Mustang DISCLAIMS ALL WARRANTIES. EXPRESS
OR IMPLIED, INCLUDING, RUT NOT LIMITED TO, ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND OF FITNESS FOR A PARTICULAR PURPOSE with
respect to each such Item. Customer's sole and exclusive remedy, if any, for defects in materials or workmanship with respect to any new Item of machinery,
equipment or other personal property subject hereto shall be against the manufacturer or manufacturers thereof pursuant to the express, written warranty, if any,
extended by such manufacturer or manufacturers with respect to such products and described on the reverse side hereof. If any such express, written warranty Is
applicable, a copy thereof will be furnished upon request. b. Neither Mustang nor other manufacturers are responsible for any warranty other than that warranty as
set out In the warrant(is) described above. Customer further acknowledges and agrees that this proposal contains all agreements between Customer and Mustang,
and Customer hereby accepts them. Customer further agrees and acknowledges that no verbal contracts, agreements or warranties other than what is written in
this proposal have been given or received, and so acknowledges by his signature hereon. c. CATERPILLAR WARRANTIES extend only to parts or attachments
sold by CATERPILLAR. Mustang and CATERPILLAR DISCLAIM ANY WARRANTY, express or implied, Including any warranty of MERCHANTABILITY or FITNESS
FOR A PARTICULAR PURPOSE, for parts or attachments manufactured by persons other than CATERPILLAR. d, DISCLAIMER OF WARRANTY FOR NON -
CATERPILLAR PRODUCTS: Provisions in the following two paragraphs apply only to products sold by Mustang which were manufactured by persons other than
CATERPILLAR, e, DISCLAIMER OF IMPLIED WARRANTIES: The parties agree that any IMPLIED WARRANTIES OF MERCHANTABILITY or OF FITNESS FOR A
PARTICULAR PURPOSE and all warrant] as, express or Implied, except for any express warranties given by the manufacturer of the product, are EXCLUDED from
this transactlon by Mustang and shall not apply to the products sold. f. Customer further agrees that his SOLE AND EXCLUSIVE remedy against the manufacturer
of the product shall be as contained in any manufacturer's warranty forms he has received. Customer further agrees that no other remedy (including but not
limited to claims for INCIDENTAL, CONSEQUENTIAL, OR SPECIAL DAMAGES OR ANY CAUSE, LOSS, ACTION, CLAIM, DEMAND, OR DAMAGE WHATSOEVER, or
INJURY TO PERSON OR PROPERTY OR ANY OTHER CONSEQUENTIAL, ECONOMIC OR INCIDENTAL LOSS) shall be avatlable to him. g. This WARRANTY IS
EXPRESSLY IN LIEU OF ANY OTHER WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR
A PARTICULAR PURPOSE. REMEDIES SET FORTH IN THIS WARRANTY ARE EXPRESSLY DECLARED TO BE SOLE AND EXCLUSIVE REMEDIES UNDER THE
WARRANTY, AND MUSTANG SHALT. NOT BE LIABLE FOR ANY SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES RESULTING FROM THE USE OR
PERFORMANCE OF ITS EQUIPMENT. 13. Customer shall Indemnify, defend and hold Mustang harmless and against all claims, suits, judgments, costs, losses,
expenses (Including attorneys fees) and liabilities from Infringement (actual or claimed) of patents, copyrights or trademarks arising from compliance with
Customer's design, specifications or Instructions and the fulfillment of Customer's Order. 14. This proposal shall be interpreted and construed in accordance with
the laws of the Slate of Texas. Invalidity of any portion of this proposal shall not affect the validity or enforceability of the remainder of the terms and conditions
hereof, and the parties hereby agree that this proposal shall be construed as ifsuch invalid provision had not been Inserted, 15, In the event Mustang consents In
writing to cancellation, Customer shall pay Mustang, at Mustang" option, the fallowing as liquidated damages: a. Invoice price of all goods which have been
Identified to 14e contract, whether such goods have been delivered to Customer or not. b. Actual costs incurred by Mustang for goods not completed which are
allocable to the balance of the contract, Including the cost of discharging Mustang's liabilities, which are so applicable and costs of materials on hand which were
acquired or produced in aonrractlon with partial finished work and materials. c. A reasonable allowance for profit in connection with goods called for under the
contract, but with respect to which production has not yet begun at the time of cancellation, Reasonable costs Incurred by Mustang, Including accountants' and
attorney's fees, if any, in making any termination settlement hereunder.
P.O. Box 1373. 12800 Northwest Freeway
Houston, Texas 77251-1373
Phone (713) 460-7211
Fax (713) 460-3852
Reference: City of Beaumont -- Pine St.
Subject: Standby Diesel Generator Set
Quote #31212352
June 5, 2023
Page 1 of 4
Generator Set: Customer Net Price (1) Unit 1750kW $870,000.00
FOB Houston, TX
Local Start Up & Commissioning of Generator Set Included
1750kW Standby Generator Set:
The EPA Tier 2 Emergency Stationary Only system shall consist of a Caterpillar Model 3512 Diesel
Generator Rated 1750 I(W Standby, 2400 Volt, 1800 RPM, 3Phase, 60 Hertz, 4 Wire, 0.8 pf.
With the Following Additional Accessories Included:
•
2 YEAR WARRANTY •
•
24HR UL142 SUB BASE TANK •
•
WEATHERPROOF SOUND ENCLOSURE •
(75dBA @ 23FT)
•
•
ENCLOSURE ELECTRICAL PACKAGE
•
CRITICAL GRADE SILENCER
•
•
ENGINE MOUNTED RADIATOR
•
JACKET WATER HEATER
•
•
EMCP 4 CONTROLLER
LOCAL ANNCIATOR NFPA 110
REMOTE ANNUNCIATOR NFPA
DIGITAL VOLTAGE REGUALTOR
GENERATOR SPACE HEATER
HD ELEC START MOTOR DUAL 24V
BATTERIES
BATTERY CHARGER 20A NFPA
AIR CLEANER
SPRING ISOLATORS
Delivery: Approximately 100 Weeks after submittal approval. Delivery times do not start until after the
submittal is approved.
P.O. Box 1373 • 12800 Northwest Freeway
Houston, Texas 77251 -1373
Phone (713) 460-7211
Fax (713) 460-3852
Reference: City of Beaumont — Pine St.
Subject: Standby Diesel Generator Set
Clarifications/Exceptions:
• This quotation is based on customer email.
• Submittals available 4-6 weeks after receipt of order.
• All fuel provided by others.
• No maintenance tools included.
Quote #31212352
June 5, 2023
Page 2 of 4
• No instillation included. Equipment Only.
• The package quoted is manufacturer's standard. Welding, painting, and all internal parts are
manufacturer's standard.
• Mustang Cat requires a minimum of three (3) weeks notice to schedule all start-
up/commissioning/testing.
• The engine will be visually and mechanically inspected for proper functioning.
Terms:
• In the event Mustang consents in writing to cancellation, Customer shall pay Mustang, at
Mustang" option, the following as liquidated damages: a. Invoice price of all goods which
have been identified to the contract, whether such goods have been delivered to Customer or
not. b. Actual costs incurred by Mustang for goods not completed which are allocable to the
balance of the contract, including the cost of discharging Mustang's liabilities, which are so
applicable and costs of materials on hand which were acquired or produced in connection
with partial finished work and materials. c. A reasonable allowance for profit in connection
with goods called for under the contract, but with respect to which production has not yet
begun at the time of cancellation. Reasonable costs incurred by Mustang, including
accountants' and attorney's fees, if any, in making any termination settlement hereunder.
• Mustang CAT Payment Terms are NET 30. The invoice will be issued once the equipment is
shipped to site.
• All customers that are not tax exempt will be charged a TERP Tax of 1.5%
P.O. Box 1373 • 12800 Northwest Freeway Quote #31212352
Houston, Texas 77251-1373
Phone (713) 460-7211 June 5, 2023
Fax (713) 460-3852 Page 3 of 4
Reference: City of Beaumont -- Pine St.
Subject: Standby Diesel Generator Set
Notes:
• Offloading is to be provided by others.
• References to right hand and left hand items refer to their location on the engine as viewed
facing the flywheel end.
• Each Engine Shipment Includes one (1) Parts Catalog and one (1) Operator's Instruction
Manual.
• Mustang Power Systems does not have copies of other states/cities/counties regulations and,
therefore, we may not meet these regulations.
• Mustang Cat accepts no penalty charges for any liquidated damages due to late deliveries.
• Mustang Cat takes exception to ALL items that are not in above quote. Equipment supplied will
be limited to that described in this proposal.
The field service technicians will:
• Ensure that the user has received the proper literature.
• Review safe start, stop and operation procedures with the user.
• Review maintenance, service, and adjustments with the user.
• Generator and ATS are to be installed by others. Installation shall be completed prior to start-
up/testing by others, additional charges will incur if installation is not completed before start-
up/testing.
• Start-up/Commissioning/Training shall be performed during regular business hours (Mon. -- Fri.
8:00 AM to 5:00 PM).
• Additional field assistance is available from Mustang at the current rates.
Mustang Cat takes exception to ALL items that are not in above quote. Equipment supplied will be
limited to that described in this proposal.
Nick Traber
Mustang Power Systems
EPG Engine Sales
Office: 713-452-7217
Cell: 361-649-2187
Email: ntraber(c)mustangcat.com
P.O. Box 1373 . 12800 Northwest Freeway Quote #31212352
Houston, Texas 77251-1373
Phone (713) 460-7211 June 5, 2023
Fax (713) 460-3852 Page 4 of 4
Reference: City of Beaumont — Pine St.
Subject: Standby Diesel Generator Set
TERMS AND CONDITIONS OF SALE
C All prices are exclusive of sales tax and unless terms to Mustang are agreed to in advance, all prices are payable in full prior to delivery, Orders are placed at
manufacturer's current list price. In the event of price changes by manufacturer, customer will pay the price prevailing at the time of delivery. 2. This proposal
shall terminate unless Mustang receives written acceptance hereof within the period set forth on the reverse side hereof. Such written acceptance must refer to the
proposal number and date of this proposal. 3. Customer acknowledges and agrees thal this proposal contains all agreements between Customer and Mustang and
Customer hereby accepts them. Customer further agrees and acknowledges that no verbal contracts, agreements or warranties other than what Is written within
this proposal have been received or given, and signature on this proposal by Customer acknowledges this fact.4. Unless otherwise slated herein, ail prices are
F.O.B. Mustang's plant, except in cases of overseas shipment, in which cases, at Mustang's option, prices are F.O.B. Port of Exit. Method of delivery In writing from
RO,B, point shall be at Mustang's discretion unless specifically designated by Customer. Notwithstanding any agreement to pay freight, legal title to, beneficial
ownership of, right to possession of and risk of toss and damage to ail merchandise described herein shall pass from Mustang to Customer upon delivery to a
common carrier or licensed trucker or in cases of overseas shipment, upon delivery on board an aircraft or vessel at the Port of Exit, which delivery shall constitute
delivery to the Customer. S. Every, effort will be made to meet the Customer's required delivery dates but Mustang will not be liable for damages or be deemed to
be In default by reason of any failure to deliver or delay in delivery due to any preference, priority, allocation, or allotment order issued by the Government, whether
Federal, State o local, or causes beyond Its control Including, but not frill led to, Acts of God or a public enemy, acts of Government, fires, floods, epidemics,
quarantine restrictions, strikes, lockouts, freight embargoes, unusually severe weather, unavailability of materials or shipping space, delays of carriers or suppliers
or delays of any subcontractors, 6, Mustang reserves (he right to make delivery In installments unless otherwise expressly stated heroin. All such installments
shall be separately Invoiced and paid for when due, without regard to subsequent deliveries. Delay In delivery of an Installment shall not relieve Customer of Its
obligations to accept remaining deliveries. 7. If the product(s) Is not paid for In full in cash al (he time of delivery, Mustang will retain and Customer hereby grants
to Mustang a security Interest In such product(s) within the meaning of the Uniform Commercial Code together with all and any substitutions, additions, or
accessions to such producl(s), and in any and all proceeds from the sale, exchange or disposal thereof to secure payment of the purchase price of such products).
Customer, prior to or after delivery, specifically agrees to enter Into and execute a financing statement, or statements, and an Agreement between Ilia parties in
relation to the security Interest of Mustang. Customer further appoints Mustang, as We attorney -in -fact to execute any such financing statement or security
agreement In the place and stead of Customer. In the event Customer falls to execute any such financing statement of security agreement upon request by
Mustang, the entire balance of Ilia purchase price shall at Mustang's option become due and payable and Mustang shall have all remedies available to It provided
for and set out in the Uniform Commercial Code, Customer also agrees to execute and deliver to Mustang any notes or other evidences of Indebtedness that may
be required by Mustang, However, any note taken herewith shall be evidence of Cuslomer's obllgailon to pay the unpaid time balance only and is not to be
considered or construed lobe payment for the product(s). LATE OR DEFERRED PAYMENT SHALL BEAR INTEREST AT THE HIGHEST CONTRACT RATE
PERMITTED BY LAW. S. Customer further agrees to Indemnify and save harmless Mustang from all loss, damage, expense and penalty arising from any action on
account of any Injury to person or property of any character whatsoever occasioned by the operation, !handling or transportation of any of the productjs) covered
by this proposal and white the producl(s) Is In the possession or under the custody and control of the customer. 9. Inconsideration of the sate of the product(s)
by Mustang, Customer agrees to pay Mustang for such product(s) at Mustang's principal office In Houston, Harris County, Texas. 10. In the event any action
either 10 collect payment or enforce the terms and provisions of this proposal becomes necessary. Customer agrees to pay reasonable attorney's fees to Mustang
should this matter be placed in the hands of an attorney for collection, 11. Customer agrees That this proposal, upon acceptance by Customer, shall not be
countermanded by him and that when it is accepted (and until the execution and delivery of the contract and note or notes required to consummate the sale of file
above specified) it will, together with any security agreement, promissory note or other evidence of Indebtedness executed by Customer subsequently hereto,
constitute (he entire agreement between the parties relative to this transaction, Customer further agrees that Mustang is not bound by any representations or
agreements made by any agent or employee of Mustang relative to this transaction unless specifically embodied herein. 12. The only warranties, If any, applicable
to any Item of machinery, equipment or other personal property subject hereto are identified on the reverse side hereof, a. Mustang will not make nay warranties,
express or implied, regarding any Item of machinery, equipment a other personal property subject hereto, and Mustang DISCLAIMS ALL WARRANTIES. EXPRESS
OR IMPLIED, INCLUDING, BUT NOT LIMITED 70, ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND OF FITNESS FOR A PARTICULAR PURPOSE with
respect to each such Item. Customer's safe and exclusive remedy, if any, for defects In materials or workmanship with respect to any new item of machinery,
equipment or other personal property subject hereto shall be against the manufacturer or manufacturers thereof pursuant to the express, written warranty, if any,
extended by such manufacturer or manufacturers with respect to such products and described on the reverse side hereof, if any such express, written warranty Is
applicable, a copy (hereof will be furnished upon request. b. Neither Mustang nor other manufacturers are responsible for any warranty other than that warranty as
set out in (ha warrantjls) described above. Customer further acknowledges and agrees that this proposal contains all agreements between Customer and Mustang,
and Customer hereby accepts them. Customer further agrees and acknowledges that no verbal contracts, agreements or warranties other than what is written In
this proposal have been given or received, and so acknowledges by his signature hereon, c. CATERPILLAR WARRANTIES extend only to parts or attachments
sold by CATERPILLAR. Mustang and CATERPILLAR DISCLAIM ANY WARRANTY, express or Implied, including any warranty of MERCHANTABILITY or FITNESS
FOR A PARTICULAR PURPOSE, for parts or attachments manufactured by persons other than CATERPILLAR. d. DISCLAIMER OF WARRANTY FOR NON -
CATERPILLAR PRODUCTS: Provisions In the fallowing two paragraphs apply only to products sold by Mustang which were manufactured by persons other than
CATERPILLAR. e, DISCLAIMER OF IMPLIED WARRANTIES: The parties agree that any IMPLIED WARRANTIES OF MERCHANTABILITY or OF FITNESS FOR A
PARTICULAR PURPOSE and all warranties, express or implied, except for any express warranties given by the manufacturer of the product, are EXCLUDED from
this transaction by Mustang and shall not apply to the products sold. f, Customer further agrees that his SOLE AND EXCLUSIVE remedy against the manufacturer
of the product shall be as contained In any manufacturer's warranty forms he has received. Customer further agrees that no other remedy (Including but not
limited to claims for INCIDENTAL, CONSEQUENTIAL, OR SPECIAL DAMAGES OR ANY CAUSE, LOSS, ACTION, CLAIM, DEMAND, OR DAMAGE WHATSOEVER, or
INJURY TO PERSON OR PROPERTY OR ANY OTHER CONSEQUENTIAL, ECONOMIC OR INCIDENTAL LOSS) shall be available to him. g. This WARRANTY IS
EXPRESSLY IN LIEU OF ANY OTHER WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR
A PARTICULAR PURPOSE, REMEDIES SET FORTH IN THIS WARRANTY ARE EXPRESSLY DECLARED TO BE SOLE AND EXCLUSIVE REMEDIES UNDER THE
WARRANTY, AND MUSTANG SHALL NOT BE LIABLE FOR ANY SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES RESULTING FROM THE USE OR
PERFORMANCE OF ITS EQUIPMENT. 13. Customer slhali indemnify, defend and hold Mustang harmless and against all claims, suits, judgments, costs, lasses,
expenses (including attorneys fees) and liabilities from Infringement (actual or claimed) of patents, copyrights or trademarks arising from compliance with
Customer's design, specifications or Tnstructlons and the fulflllment of Customer's Order. 14. This proposal shall be Interpreted and construed in accordance with
the laws of tha State of Texas. Invalidity of any portion of this proposal shall not affect the validity or onforceabhlty of the remainder of ilia terms and conditions
hereof, and the parties hereby agree that this proposal shall be construed as If such Invalid provision had not been Inserted. 16. in the event Mustang consents In
writing to cancellation, Customer shall pay Mustang, at Mustang" option, the following as liquidated damages: a. Invoice price of all goods which have been
Identified to the contract, whether such goods have been delivered to Customer or not. b. Actual costs Incurred by Mustang for goads not completed which are
allocable to the balance of the contract, including the cost of discharging Mustang's liabilities, which are so applicable and costs of materials on hand which were
acquired or produced In connection with partial flnished work and materials, c. A reasonable allowance for profit In connection with goods called for under the
contract, but with respect to which production has not yet begun at the time of cancellation. Reasonable costs incurred by Mustang, Including accountants' and
attorney's fees, If any, In making any termination settlement hereunder.