General Terms and Conditions of Contract

General Terms and Conditions of Contract and Warranty – Navalco, S.L.


1. General Provisions

1.1. These general terms and conditions regulate all supplies of parts, components, accessories, electronic products, and specialized services for assembly, repair, installation, and maintenance (hereinafter referred to as “Work/Service”) provided by Navalco, S.L. (hereinafter referred to as “Navalco” or “the Contractor”), except when specific terms are specified in the relevant offer or order acceptance.

1.2. These General Terms and Conditions may only be modified by written agreement between the parties, and additional terms included in documents issued by the customer (hereinafter referred to as “the Customer”) that have not been expressly accepted by Navalco shall not be valid.

2. Technical Documentation and Intellectual Property

2.1. All plans, designs, and technical documentation provided by Navalco for the execution of the Work/Service are the property of Navalco and may not be used, copied, or transferred without its express authorization.

2.2. The Customer undertakes to provide, no later than the date of receipt of the products or commencement of the work, all the information and plans necessary to facilitate the commissioning, operation, and/or maintenance of the contracted products or services.

3. Working Conditions and Safety

3.1. The Customer is responsible for providing at its plant, ship, or installation site all necessary conditions for the proper execution of installation, assembly, or maintenance work by Navalco, including basic infrastructure, safety measures, and controlled access.

3.2. For work involving high risk or specific working environments, the Customer must provide appropriate protective equipment and comply with the safety protocols stipulated by Navalco. Any breach of these protocols by the Customer or its employees releases Navalco from liability.

4. Warranty and Liability

4.1. Duration and Coverage of the Warranty
Navalco’s warranty exclusively covers manufacturing or assembly defects for a period of 6 months for work performed either on-site or in the workshop. Investigation services or technical consultancy are excluded from this warranty.
For parts or components repaired or replaced under warranty, a new 6-month warranty period will apply starting from the date of repair or replacement, exclusively for those parts or components. The remaining product or service will retain the balance of the original warranty period.
Navalco reserves the right to choose between repairing or replacing the defective parts or components covered under warranty, provided it is technically and economically viable.

4.2. Payment Condition for Warranty Validity
The warranty is subject to the timely fulfillment of the agreed payment terms. In the event of payment default, Navalco reserves the right to suspend any warranty coverage until the agreed payment terms are regularized.

4.3. Defect Notification and Claims Process
The Customer has a period of 7 days from the receipt of the product or service to notify any hidden defects. After this period, only claims for apparent defects identified and reported within the initial 6-month warranty period will be accepted.
All claims must be made in writing using the form available on Navalco’s website (www.navalco.es) Warranty Application Form – Navalco.pdf. The form must be fully completed and sent to navalco@navalco.es within the specified period. The claim must include detailed documentary and photographic evidence of the defect.

4.4. Limitation of Liability
Navalco’s liability shall not exceed 30% of the contracted budget value, limited to the repair or replacement of defective products covered under the warranty. Navalco assumes no responsibility for indirect damages, loss of profits, or expenses arising from cranes, underwater work, or similar activities, which shall be the responsibility of the Customer.

4.5. Travel and Transportation Expenses
Transportation and/or personnel travel costs for assembly and disassembly are not covered under warranty services. All these additional costs, as well as travel, customs, and other related expenses, will be fully borne by the Customer.

4.6. Operating Parameters and Manufacturer Conditions
The warranty will automatically become void if the supplied products, particularly engines, are operated outside the parameters recommended by the manufacturer or if the specified oil and fuel outlined in the technical manuals provided by Navalco and/or the manufacturer are not used. Additionally, any unauthorized modifications to the engine or components will invalidate the warranty. It is the client’s responsibility to ensure proper use in accordance with the specifications.

4.7. Ownership of Replaced Parts
All defective parts or components replaced during the warranty period must be returned to Navalco and will become the property of the company.

5. Prices, Payments, and Invoicing Terms

5.1. Product and service prices are established in the offer and will only be valid for the period specified therein and according to the incoterm conditions of the offer. Prices do not include applicable taxes or additional customs or import costs, which will be borne by the Customer.

5.2. Unless otherwise agreed, payment will be made by bank transfer within 30 days from the invoice date. In the event of late payment, Navalco reserves the right to apply late payment interest of 1.5% per month on the amount due and to suspend future deliveries until the payment is regularized.

6. Return and Exchange Policy

6.1. Products may only be returned with Navalco’s prior written authorization, within 10 days following receipt, and must be in perfect condition, in their original packaging, and without having been installed or used. If not, and after inspection, Navalco reserves the right to accept or reject the return.

7. Confidentiality

7.1. Both parties agree to maintain the confidentiality of all technical, financial, and commercial information exchanged under the contract, without prejudice to the obligation to share information with third parties under conditions stipulated by law or administrative requirements.

7.2. The Customer agrees not to use Navalco’s confidential information for purposes other than those provided for in this contract, nor to disclose it to third parties without prior written consent from Navalco.

8. Force Majeure

8.1. Navalco shall not be liable for any delay or failure to deliver products or services due to force majeure, such as natural disasters, labor disputes, failures in the supply of essential materials, pandemics, or governmental restrictions.

8.2. In the event of force majeure, Navalco will inform the Customer at the earliest opportunity, and both parties will seek a mutually acceptable solution to minimize the effects of the delay.

9. Dispute Resolution

9.1. To resolve any dispute arising in connection with the contract, both parties agree to submit to mediation or arbitration proceedings under the jurisdiction of A Coruña, Spain, unless otherwise agreed.