Common use of QUALITY PROBLEMS Clause in Contracts

QUALITY PROBLEMS. In the event of product non-conformity, it must be possible to trace back production so that the affected batches of products can be isolated. The customer will provide the Supplier with the necessary data for tracing back. In so far as the problems relate to product quality, it is the Supplier’s duty to develop solutions once a complaint has been made. The Supplier shall ensure that it has rapid access at all times to the necessary resources for the investigation and analysis of defects. The procedure for the management of complaints is to be standardised as follows (the Supplier will be notified by LEONI of the detailed particulars required for this in the relevant test report): ▪ An initial response must be sent to LEONI at the latest on the next working day (for the Supplier) following receipt of the information/test report (where this is necessary for an in- itial response). Content of the initial response: 8D report including an “Immediate Measures” section. ▪ At the latest 10 working days after the issuing of the complaint by LEONI, LEONI is to be furnished with a comprehensive 8D report. Should it not be possible for the Supplier to submit a comprehensive 8D report within this timeframe, the Supplier must notify LEONI of this fact, accompanying its notification with a well-founded interim report. This interim report must name a date previously agreed upon with Leoni by which the comprehensive 8D report (or next interim report) will be submitted. ▪ These deadlines may be reduced by a reasonable period of time at the request of LEONI or the customer in question. The deadline of 10 days (for submission of the comprehensive 8D report) may only be extended on the basis of well-founded interim reports being submitted. However, this will be at the discre- tion of LEONI or a particular client of LEONI. Final defect analysis reports must be to the point, conclusive and comprehensive. The Supplier is required to provide proof of effectiveness of all the necessary measures. The reporting format to be used is that of the 8D report. If the Supplier is unable to restore the agreed level of quality within the mutually agreed timeframe, LEONI will be entitled to demand that the Supplier seek help from an external service provider at the Supplier’s expense.

QUALITY PROBLEMS. In the event of product non-conformitya quality problem, it must access to batch and pro- duction data has to be possible to trace back production so that the affected batches of products can be isolatedwithin one calendar day. The customer will provide the Supplier with the necessary data for tracing back. In so far as If the problems relate are due to product qualitythe quality of the products, it is con- tractual partners are obligated to work out approaches to solutions within one business day after the Supplier’s duty problem has occurred. Supplier has to develop solutions once a complaint has been made. The Supplier shall ensure that it has rapid short-term access at all times to the necessary resources for the investigation and fault analysis of defectsis possible at any time. The procedure for the management handling of complaints is stipulated as follows: - 1 calendar day at the latest after receipt of <infor- mation/parts> (or pictures, defect samples, respectively), acknowledgement of receipt has to be standardised as follows (the Supplier will be notified by LEONI of the detailed particulars required for this in the relevant test report): ▪ An initial response must be sent to LEONI juwi. - 2 calendar days at the latest on the next working day (for the Supplier) following after receipt of <infor- mation/parts> (if needed for a primary response), primary response has to be sent to juwi. Contents of primary re- sponse: 8D-report including section „Immediate Measures“. - 14 calendar days at the information/test latest after juwi issued the com- plaint, a complete 8D-report (where has to be submitted. If this is necessary for an in- itial response). Content of the initial response: 8D not possible, Supplier has to report including an “Immediate Measures” section. ▪ At the latest 10 working days after the issuing of the complaint by LEONI, LEONI is to be furnished this together with a comprehensive 8D report. Should it not be possible for the Supplier to submit a comprehensive 8D report within this timeframe, the Supplier must notify LEONI of this fact, accompanying its notification with a well-founded detailed interim report. This interim report must name a date previously agreed upon with Leoni by which also has to state when the comprehensive 8D complete 8D-report (or the next interim report, respectively) will be submitted. ▪ These deadlines may be reduced by a reasonable The period between two interim reports must not exceed 14 calendar days. This pe- riod of time at (of 14 calendar days for submitting the request of LEONI or the customer in question. The deadline of 10 days (for submission of the comprehensive 8D com- plete 8D-report) may only be extended prolonged on the basis of well-founded de- tailed interim reports being submitted. However, this will be at the discre- tion of LEONI or a particular client of LEONI. Final defect fault analysis reports must have to be meaningful, coherent and complete with regard to the point, conclusive and comprehensive. The Supplier is required to provide proof of effectiveness of all the necessary measurescontents. The reporting format has to be used is that of the 8D 8D-report. 5 Environmental Protection/ Occupational Safety Supplier agrees to observe all statutory regulations on envi- ronmental protection and to keep impact on people and the environment as low as possible with the help of adequate conservation programs and adequate internal environmental protection. For this purpose, the introduction and further development of an environmental management system (EMS) according to ISO 14001 is expected. juwi reserves the right to assess the level of implementation with the help of audits. If the Supplier is unable to restore performs services on juwi’s premises, he will observe the agreed level of quality within relevant safety and accident prevention regula- tions and respect juwi’s instructions concerning the mutually agreed timeframe, LEONI will be entitled to demand that the Supplier seek help from an external service provider behavior at the Supplier’s expensecompany site. 6 Final Provisions All changes and amendments to this Quality Assurance Agreement must be made in writing If a provision of this Quality Assurance Agreement is partly or entirely invalid, the remainder of the Agreement shall not be affected; the parties agree to decide upon a provision that is legally admissible and best reflects the original purpose of the invalid provision. The same applies to potential loop- holes. This Quality Assurance Agreement is governed by German law excluding the conflict of law provisions. Mainz, Germany shall be the exclusive place of jurisdiction.