draft service contract€¦ · arbitration by filing a written request with the secretariat of the...

Annex D - Draft Service Contract

Initialled by the Legal Representative for acceptance

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DRAFTSERVICECONTRACT

OpenCallforTendersfortheSupplyofaWebContentManagementSystem

undertheSoftwareasaServicemodel

Ref:CFT-EUI-CS-2017-001

The European University Institute (hereinafter referred to as “the Institute”, “the EUI” or “the

contractingauthority”),establishedinSanDomenicodiFiesole,viadeiRoccettini9,Firenze,Italy,

CF80020410488,representedby itsPresident,Prof.RenaudDehousse/forthepurposesofthe

signature of this contract by [insert name of the Secretary General or authorising officer by

delegationorsubdelegation]1,

ontheonepart,

and

[Fullofficialname]

[Officiallegalform]2

[Statutoryregistrationnumber]3

[Fullofficialaddress]

[VATregistrationnumber]

(Hereinafterreferredtoas“theContractor”or“theCompany”),representedforthepurposesof

thesignatureofthiscontractbyMr/Ms[forename,surnameandfunction]

[Thepartiesidentifiedaboveandhereinaftercollectivelyreferredtoas“thecontractor”shallbe

jointlyandseverallyliablevis-à-visthecontractingauthorityfortheperformanceofthiscontract].

ontheotherpart,

1Signatorymustbeanauthorisingofficer(bydelegationorsub-delegation)designatedinaccordancewitharelevantDelegationDecision,e.g.President’sDecisionNo.69/70of18.12.2013orSecretaryGeneral’sDecisionNo.1/2014of06.02.2014.2Deleteifcontractorisanaturalpersonorabodygovernedbypubliclaw.3Delete if contractor isabodygovernedbypublic law.Fornaturalpersons, indicate thenumberof their identitycard,or failingthat,oftheirpassportorequivalent.



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HAVEAGREED

tothespecialconditions,thegeneralconditionsforservicecontractaswellastothefollowing

Annexes:

AnnexI SpecialTenderSpecificationsCFT-EUI-CS-2017-001of03/04/2017

AnnexII Contractor'stender(referenceNo[complete]of[insertdate])including

o Technicaloffer(date)

o Economicoffer(date)

o Supportingdocuments:

o DeclarationonHonourconcerninglegalstatus;

o PerformanceBond(equalto10%ofthemeanannualcontractvaluebased

ontheEconomicoffer);

o Certificateofenrolmentincommercialregister;

o Insurances(asperArt.I.11.2),

whichformanintegralpartofthiscontract(hereinafterreferredtoas“thecontract”).

Intheeventofanyconflictherein,

• ThetermssetoutintheSpecialConditionsshalltakeprecedenceoverthoseintheotherparts

oftheContract.

• ThetermssetoutintheGeneralConditionsshalltakeprecedenceoverthoseintheAnnexes.

• The terms setout in theSpecial Tender Specifications (Annex I) shall takeprecedenceover

thoseinthetender(AnnexII).

For the avoidance of doubt, the Contractor acknowledges and agrees that the terms of the

ContractshallapplytotheexclusionoftheContractor’sstandardtermsandconditionsand/orany

conditionswhichmightbeimpliedbytradecustom,practiceorothercourseofdealing.

Subject to the above, the several instruments forming part of the Contract are to be taken as

mutually explanatory. Ambiguities or discrepancies within or between such parts shall be



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explainedorrectifiedbyawritteninstructionissuedbytheInstitute;subjecttotherightsofthe

ContractorunderArticleI.7shoulditdisputeanysuchinstruction.

I-SPECIALCONDITIONS

ARTICLEI.1–SUBJECTMATTER

I.1.1The subject matter of the Contract isthe supply of a Web Content Management System

under the Software as a Service model, and all related activities of training, consultancy and

collaboration.

I.1.2N.A.

I.1.3Thecontractorshallexecutethetasksassignedto it inaccordancewiththeSpecialTender

Specificationsannexedtothecontract(AnnexI).

ARTICLEI.2-ENTRYINTOFORCEANDDURATION

I.2.1Thecontractshallenter intoforce[onthedateonwhich it issignedbythe lastparty]4 [on

[insertdate]ifithasalreadybeensignedbybothparties].

I.2.2Undernocircumstancesmayperformancecommencebeforethedateonwhichthecontract

entersintoforce.

I.2.3 The duration of the execution of the tasks shall not exceed 12months. Unless otherwise

specified,allperiodsoutlinedinthecontractarecalculatedincalendardays.

Executionofthetasksshallstartfrom[thedateofentryintoforceofthecontract][insertdate].

Theperiodofexecutionofthetasksmaybeextendedonlywiththeexpresswrittenagreementof

thepartiesbeforetheexpirationofsuchperiod.

I.2.4TheContractorissubjecttoaprobationaryperiodofthreemonths.If,duringthisperiod,the

execution of the service does not correspond to the requirements of the Special Tender

Specifications,ortoanyimprovementsofferedinthetenderbytheContractor,theInstituteshall

4 Asarulethecontractingauthoritysignslast. Inthiscase,thecontractorshouldbedulyinformedofthedateon

whichthecontractentersintoforce(dateofsignaturebythecontractingauthority).



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be entitled to terminate the Contract by serving a notice of thirty (30) days by registered

mail.

I.2.5Where,attheendofthenaturaltermoftheContract,theContractingAuthorityhasnotyet

awardedacontractfortheservicecoveringtheimmediatelyfollowingperiod,theContractorshall

beobligedtocontinueprovidingtheservice(s)foraperiodnotexceedingsix(6)monthsunderthe

sametermsandconditionsinforceattheexpirationdate.

I.2.6 Contractrenewal

Optional Renewal: The contract may be renewed up to 6 times, each time for a period of

executionoftasksof12months,onlythreemonthsbeforepaymentofthebalanceandwiththe

expresswrittenagreementoftheparties,indicatingthedateonwhichexecutionofthetasksshall

start.Renewaldoesnotimplyanymodificationordefermentofexistingobligations.

ARTICLEI.3-PRICES

I.3.1The[maximum]totalamounttobepaidbythecontractingauthorityunderthecontractshall

be[amountinfiguresandinwords]5excludingVAT,coveringallservices/tasksexecuted(including

charges).

The Institute is exempt frompaymentof value added tax for services andpurchasesunder the

normalcourseofbusinessforamountsexceeding€300.00(pursuanttoArticle72-paragraph1-e)

andparagraph2ofPresidentialDecree633of26/10/1972andsubsequentamendments).

TheeconomicofferoftheContractorisprovidedinAnnexII.

I.3.2Pricerevision

Thetotalamountreferredto inArticle I.3.1shallbefixedandnotsubjecttorevisionduringthe

firstyearofperformanceofthecontract.

At thebeginningof thesecondandevery followingyearof thecontract, theamount(s)maybe

revisedupwardsordownwards, if suchrevision is requestedbyoneof theparties inwritingno

laterthanthreemonthsbeforetheanniversaryofthedateonwhichtheContractwassigned.The

5Thetotalamountwillbedeterminedbytheofferofthesuccessfultenderer.



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otherpartyshallacknowledgereceiptwithin15daysofreceptionoftherequestforpricerevision.

Thenewpricesshallbecommunicatedinwritingassoonasthefinalindexisavailable.

The revision shall be determined by any change resulting from the “EUROSTAT” index of

reference.

The EUROSTAT index of reference for the revision is the “Harmonised index of consumer

prices”.Themost recent “Harmonised index of consumer prices” published before the request

shallbeusedforthere-evaluation.Inthecasewherethere-evaluationrequest isreceivedafter

theannualexpirationdate, thesamewillbegrantedwitheffect fromthedateofreceiptofthe

request.

ARTICLEI.4-PAYMENTARRANGEMENTS

I.4.1Payment

PaymentoftheamountsdueandchargesundertheContractshallbemadeonlyiftheContractor

has fulfilledall itscontractualand legalobligationsbythedateonwhichthe invoice iscorrectly

submitted.

PaymentoftheamountsdueandchargesundertheContractshallbemadeonamonthlybasis.

Toobtainpayment,theContractorwillfollowtheanalyticalproceduresrequiredbytheInstitute

intermsofbilling,issuinguponrequestspecificinvoicesforeachcost/activityreported.

TheContractingAuthorityshallmakepaymentwithinsixty(60)daysofreceiptofinvoice.

ThespecificrulesareoutlinedinArticleII.15–Reportingandpayments,clauseII.15.3-Invoices

andVAToftheGeneralConditions.

Deductions resulting fromeconomicpenalties fornon-compliancereferred to inArticle8of the

Special Tender Specificationswill be compensated simultaneouslywith thepaymentof invoices

fortheperiodofreference.



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I.4.2Performanceguarantee6

Performanceguaranteebyfinancialguarantee

AperformanceguaranteeforanamountofEURequalto10%ofthemeanannualcontractvalue

basedontheContractor’sownEconomicOffershallbeissuednolaterthan[insertdate][thedate

ofdispatchofthe invoiceforpaymentofthebalance]7accordingtotheconditions laiddownin

ArticleII.15.5.

ARTICLEI.5-BANKACCOUNT

PaymentsshallbemadetotheContractor'sbankaccountdenominatedinEuro(€),orinthelocal

currencyifthereceivingpartyhasitslegalseatoutsideEuro-area,andidentifiedasfollows:

Nameofbank: Branchaddressinfull: Exactdesignationofaccountholder: IBANcode: SWIFTcode:

ARTICLEI.6–COMMUNICATIONDETAILSANDDATACONTROLLER

For the purposes of Article II.6, the data controller shall be the Communications Service,

representedbyitsDirector.

AnynoticeorothercommunicationrelatingtotheContractshallbemadeinwriting,shallbearthe

Contractnumberandshallbesenttotheappropriateaddressoremailaddresssetoutbelow(or

suchotheraddressorpersonastherelevantpartymaynotifytotheother):

ContractingAuthority:EuropeanUniversityInstituteCommunicationsServiceViadeiRoccettini,9-50014SanDomenicodiFiesole(FI)Emailaddress: [email protected]

Contractor:

Nameandsurname: 6 Ifthetenderspecificationsprovideforcomplexservices,theprovisionalapprovalofproductscanleadtopaymentofthe

balanceandfinalapprovaloftheproductswithfullsatisfactiononexecutioncantakeplacesometime(uptoseveralmonths)afterpaymentofthebalance.Thenaperformanceguaranteeisnecessarytocoverthisperioduntilfinalacceptance.

7 Thisbankguaranteecanberequestedlaterintheexecutionofthecontract,notnecessarilyatthebeginning,sinceitcoversex-postperformanceandthelongeraguaranteeis,themoreexpensiveitis.



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Function: Companyname: Fullofficialaddress: Email:

ARTICLEI.7-APPLICABLELAWANDSETTLEMENTOFDISPUTES

I.7.1ThecontractshallbegovernedbytheEUI’srelevantregulatoryacts(e.g.theEUI’sregulation

onPublicProcurement&theEUI’sFinancialRules),complementedwherenecessarybythelawof

Italy.

I.7.2Any dispute arising in relation to the present contract shall be submitted in good faith by

either party to mediation under the International Mediation Rules of the Milan Chamber of

ArbitrationbyfilingawrittenrequestwiththeSecretariatoftheMilanChamberofArbitration.

I.7.3If for any reason thedispute remainsunsettled60daysafter the request formediation, it

shallbesubjecttoarbitrationundertheRulesoftheMilanChamberofArbitration.Theseatofthe

arbitrationshallbeMilanandthelanguageofthearbitrationshallbeEnglish.Theawardshallbe

finalandbinding.

ThearbitraltribunalshallapplytheEUI’srelevantregulatoryacts,includingtheEUI’sregulationon

PublicProcurementandtheEUI’sFinancialRules,complemented,wherenecessary,bythelawof

Italy.

ARTICLEI.8-EXPLOITATIONOFTHERESULTSOFTHECONTRACT

SeeARTICLEII.10.-OWNERSHIPOFTHERESULTS-INTELLECTUALANDINDUSTRIALPROPERTYRIGHTS

ARTICLEI.9-TERMINATIONBYEITHERPARTY

Either party may, unilaterally and without being required to pay compensation, terminate the

contract by formally notifying the other party by giving twelve weeks’ notice. Should the

contracting authority terminate the contract, the contractor shall only be entitled to payment

corresponding to part-performance of the contract before the termination date (e.g. payment

corresponding to the services which are the subject of valid Purchase Orders before the date

termination is notified to become effective (“TerminationDate”). The first paragraph of Article

II.14.3shallapply.



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OnreceiptofsuchnoticefromtheInstitute,theContractorshalltakeallappropriatemeasuresto

minimisecosts,preventdamage,andcancelorreduceitscommitmentsinrelationtotheInstitute.

ItshalldrawupanydocumentsrequiredbytheContractanditsAnnexesfortheservicesprovided

uptotheTerminationDate,withinaperiodnotexceedingsixtydaysfromtheTerminationDate.

ARTICLEI.10-MECHANISMOFSANCTIONSANDPENALTIES

The carrying out of the service by non-regular or unsatisfactory means in the opinion of the

ContractingAuthority,shall incurtheapplicationofpenaltiespursuanttoArticle8oftheSpecial

TenderSpecifications.

The non-regular and unsatisfactory provision of the service will be notified in writing to the

Contractorwhoshall respond inanycasewith itscomments inwritingwithin5 (five)days from

the dispute.If said response is not acceptable according to the appreciation of the Contracting

Authority or if there is no answer or the same is not received within the time specified, the

Contracting Authority will apply the penalties referred to in Article 8 of the Special Tender

Specifications,fromthedateofthecommencementofthepoorperformance.

The request and/or payment of penalties shall not discharge the Contractor under any

circumstancesfromperformanceoftheobligationsforwhichitiscurrentlyresponsible.

ARTICLEI.11-PROVISIONSRELATINGTOSAFETY

NotApplicable.

ARTICLEI.12–CONTRACTUALFEES

If applicable, any consequential contract costs (fixed-fee registration) will be paid by the

Contractorwithouttherightofrecourseagainstthecontractingauthority.

ARTICLEI.13-OTHERSPECIALCONDITIONS

Duetothespecificcharacteristicsoftheservicesprovidedwithinthiscontract:

• ARTICLEII.16–REIMBURSEMENTS

isnotapplicable.



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SIGNATURES

FortheContractor,

CompanyName/name&surnameof

representative/function

Signature/s:_____________________________

SignedinFlorence,on______________

FortheInstitute,

Name/surname/function

Signature/s:_______________________

SignedinFlorence,on______________

InduplicateinEnglish



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II–GENERALCONDITIONSFORSERVICECONTRACTS

ARTICLEII.1–PERFORMANCEOFTHECONTRACT

II.1.1Thecontractorshallperformthecontractaccordingtothehighestprofessionalstandards.

II.1.2Thecontractorshallbesolelyresponsiblefortakingthenecessarystepstoobtainanypermit

orlicencerequiredforperformanceofthecontractunderthelawsandregulationsinforceatthe

placewheretheassignedtasksaretobeexecuted.

II.1.3Withoutprejudice toArticle II.4, any referencemade to the contractor’spersonnel in the

contractshallrelateexclusivelytoindividualsinvolvedintheperformanceofthecontract.

II.1.4 The contractor must ensure that the personnel performing the contract possess the

professionalqualificationsandexperiencerequiredfortheexecutionofthetasksassignedtoit.

II.1.5Thecontractorshallneitherrepresentthecontractingauthoritynorbehaveinanywaythat

wouldgivesuchanimpression.

II.1.6Thecontractorshallbesolelyresponsibleforthepersonnelwhoexecutethetasksassigned

tothecontractor.Thecontractorshallstipulatethefollowingemploymentorservicerelationships

withitspersonnel:

a. personnelexecutingthetasksassignedtothecontractormaynotbegivenordersdirectly

bythecontractingauthority;

b. thecontractingauthoritymaynotunderanycircumstancesbeconsideredtobethe

employerofthepersonnelreferredtoinpoint(a)andthepersonnelshallundertakenotto

invokeagainstthecontractingauthorityanyrightarisingfromthecontractualrelationship

betweenthecontractingauthorityandthecontractor.

II.1.7 In the event of disruption resulting from the action of one of the contractor's personnel

workingonthecontractingauthority’spremisesorintheeventthattheexpertiseofamemberof

the contractor's personnel fails to correspond to the profile required by the contract, the

contractorshallreplacehimorherwithoutdelay.Thecontractingauthorityshallhavetherightto

makeareasonedrequestforthereplacementofanysuchpersonnel.Thereplacementpersonnel

musthavethenecessaryqualificationsandbecapableofperformingthecontractunderthesame



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contractualconditions.Thecontractorshallberesponsible foranydelay in theexecutionof the

tasksassignedtoitresultingfromthereplacementofpersonnel.

II.1.8 Should the execution of the tasks be directly or indirectly hampered, either partially or

totally,byanyunforeseenevent,actionoromission,thecontractorshall immediatelyandonits

own initiative record it and report it to the contracting authority. The report shall include a

descriptionoftheproblemandanindicationofthedateonwhichitstartedandoftheremedial

actiontakenbythecontractortoensurefullcompliancewithitsobligationsunderthiscontract.In

such an event the contractor shall givepriority to solving theproblem rather thandetermining

liability.

II.1.9Thecontractorshallobservetherulesstemmingfromexistinglawsandagreementsonthe

employment of labour, disability, age, workplace accidents, involuntary unemployment and all

otherprovisionsgoverningtheexecutionphaseofthecontract.

II.1.10 For workers employed in the execution of the service, whether they are Contractor

employees (or working partners in the case of cooperatives) and/or subcontractors, the

Contractor undertakes to complywith regulatory conditions andwages that are not to be less

thanthoseresulting fromcollectiveagreementsandfromnational territorial labouragreements

applicable on the date of the Contract as well as with conditions resulting from subsequent

amendments and additions, and generally, from any other collective agreement subsequently

entered intoby categoryas applicable to theContractor.Theobligation remainsevenafter the

expiryofsuchcontractsandcollectiveagreementsuntiltheyarereplaced.

TheseobligationsshallbindtheContractorthroughouttheperiodofvalidityofthecontracteven

if it is not adhering to the signatory associations or withdraws from them, and whatever the

natureoftradeorindustrialapplications,thestructureorsizeoftheCompanyaswellasitslegal

statusoreconomicunion,includingthecooperativeform.

ItshallbepossiblefortheContractingAuthoritytoasktheContractoratanytimetosubstantiate

the application of the regulations provided for in the collective salary category contracts and

supplementalagreements forworkersemployed intheservice.If theContractor is foundtonot



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beincompliancewiththeseobligations,theContractingAuthoritywillapplyawithholdingtaxof

upto20%oftheamountdue.

Thedeductionwillbe releasedonlyuponpresentationby theContractorof thedocumentation

certifying the payment of social security contributions and compulsoryworkplace accident and

occupational illness insurance,without theContractor itselfbeingable to layanyclaim towards

non-ordelayedpayment.

II.1.11 Should the contractor fail to perform its obligations under the contract, the contracting

authority may -without prejudice to its right to terminate the contract- reduce or recover

paymentsinproportiontothescaleoftheunperformedobligations.Inaddition,theContracting

Authoritymay claim compensation or impose liquidated damages in accordancewith Art. II.12

and/oranypenaltiesindicatedintheSpecialTenderSpecifications.

ARTICLEII.2–MEANSOFCOMMUNICATION

II.2.1 Anycommunicationrelatingtothecontractortoitsperformanceshallbemadeinwriting

andshallbearthecontractnumber.Anycommunicationisdeemedtohavebeenmadewhenitis

receivedbythereceivingpartyunlessotherwiseprovidedforinthiscontract.

II.2.2 Electroniccommunicationshallbedeemedtohavebeenreceivedbythepartiesontheday

of dispatch of that communication provided it is sent to the addressees listed in ArticleI.6.

Withoutprejudicetothepreceding,ifthesendingpartyreceivesamessageofnon-deliverytoor

of absence of the addressee, it shall make every effort to ensure the actual receipt of such

communicationbytheotherparty.

Electronic communication shall be confirmed by an original signed paper version of that

communicationifrequestedbyanyofthepartiesprovidedthatthisrequestissubmittedwithout

unjustified delay. The sender shall send the original signed paper version without unjustified

delay.

II.2.3 Mail sent using the postal services is deemed to have been received by the contracting

authorityonthedateonwhichitisregisteredbytheresponsibleservicereferredtoinArticleI.6.

Anyformalnotificationshallbemadebyregisteredmailwithreturnreceiptorequivalent,orby

equivalentelectronicmeans.



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ARTICLEII.3-LIABILITY

II.3.1Thecontractorshallbesolelyresponsibleforcomplyingwithanylegalobligationsincumbent

onit.

II.3.2Thecontractingauthorityshallnotbeheldliableforanyclaim,loss,costorexpenseorany

damagecausedorsustainedbythecontractor,includinganydamagecausedbythecontractorto

thirdpartiesduringorasaconsequenceofperformanceof thecontract,except in theeventof

wilfulmisconductorgrossnegligenceonthepartofthecontractingauthority.

II.3.3The contractor shall beheld liable for any lossordamage, cost (including legal andother

professionalfees)orexpensessustainedbythecontractingauthoritybutcausedbythecontractor

inperformanceof the contract, including in theeventof subcontractingand forany claimbya

thirdpartybutonlytoanamountnotexceedingthreetimesthetotalamountofthecontract.The

Contractor shall remain liablewithout any limitation as to the amount if the damage or loss is

causedbythegrossnegligenceorwilfulmisconductoftheContractororbyitsemployees,andfor

deathcausedbynegligenceorwilfulmisconductofitsemployees.

II.3.4Inaddition,thecontractorshall,intheexecutionofservice,complywithallproceduresand

precautions that apply to prevent the possibility of damage to property of the contracting

authority and thirdparties, andespeciallyof injury topersonsengaged in the serviceand third

parties,incompliancewiththeprovisionsofapplicablelaw.Anyliability,intheeventofaccidents,

for damages caused by the contractor’s staff will fall, therefore, upon the contractor, thus

relievingthecontractingauthority.

II.3.5 The contractor shall indemnify and hold the Institute harmless for all damages and costs

incurredduetoanyclaim.Thecontractorshallprovidecompensationintheeventofanyaction,

claim or proceeding brought against the contracting authority by a third party as a result of

damage caused by the contractor during the performance of the contract. In the event of any

action brought by a third party against the contracting authority in connection with the

performanceofthecontract,thecontractorshallassistthecontractingauthority.

II.3.6 Thecontractor shall takeoutan insurancepolicyagainst risksanddamage relating to the

performance of the contract, if required by the relevant applicable legislation. It shall take out



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supplementaryinsuranceasreasonablyrequiredbystandardpracticeintheindustry.Acopyofall

therelevantinsurancecontractsshallbesenttothecontractingauthorityshoulditsorequest.

ARTICLEII.4-CONFLICTOFINTEREST

II.4.1TheContractorshalltakeallthenecessarymeasurestopreventanysituationofconflictof

interest. Such situationariseswhere the impartial andobjectiveperformanceof the contract is

compromised for reasons involving economic interest, political or national affinity, family or

emotionalties,oranyothersharedinterest.

II.4.2Anysituationconstitutingorlikelytoleadtoaconflictofinterestduringtheperformanceof

thecontractshallbenotifiedtothecontractingauthorityinwritingwithoutdelay.Intheeventof

any such conflict, the contractor shall immediately take all the necessary steps to rectify the

situation. The contracting authority reserves the right to verify that the steps taken are

appropriateandmayrequirethatadditionalstepsbetakenwithinaspecifieddeadline.

II.4.3Thecontractordeclaresthat ithasnotgrantedandwillnotgrant,hasnotsoughtandwill

not seek, has not attempted andwill not attempt to obtain andhas not accepted andwill not

accept,anyadvantage,financialorinkind,toorfromanypartywhatsoever,whensuchadvantage

constitutes an illegal practice or involves corruption, either directly or indirectly, in so far as it

servesasanincentiveorrewardrelatingtotheperformanceofthecontract.

II.4.4IncompliancewiththeEUI’sStaffRegulations,inparticularArt.11,EUI’sstaffmembersshall

not, without the permission of the Appointing Authority, accept any gift, directly or indirectly

connectedwiththeirownworkactivities.TheContractorconfirmsacknowledgementofthisrule

andtheconsequentterminationofthecontractincaseofnon-conformity.

II.4.5Thecontractorshallpassonalltherelevantobligationsinwritingtoitspersonnelandtoany

naturalpersonwiththepowertorepresentitortakedecisionsonitsbehalfandensurethatitis

notplacedinasituationwhichcouldgiverisetoconflictsofinterest.Thecontractorshallalsopass

on all the relevant obligations in writing to third parties involved in the performance of the

contractincludingsubcontractors.



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Without prejudice to Article II.1 the Contractor shall replace, immediately and without

compensationfromtheInstitute,anymemberoftheContractor’sStafffacedwithorbroughtinto

suchasituation.

ARTICLEII.5-CONFIDENTIALITY

II.5.1Thecontractingauthorityandthecontractorshalltreatwithconfidentialityanyinformation

anddocuments, inany form,disclosed inwritingororally in relation to theperformanceof the

contractandidentifiedinwritingasconfidential.

II.5.2TheContractorshall:

a. notuseconfidentialinformationanddocumentationforanypurposeotherthanfulfilling

itsobligationsunderthecontractwithoutpriorwrittenagreementofthecontracting

authority;

b. ensuretheprotectionofsuchconfidentialinformationanddocumentationwiththesame

levelofprotectionitusestoprotectitsownconfidentialinformation,butinnocaseany

lessthanreasonablecare;

c. notdisclosedirectlyorindirectlyconfidentialinformationanddocumentationtothird

partieswithoutpriorwrittenagreementofthecontractingauthority.

II.5.3 The confidentiality obligation set out in Article II.5.1 shall be binding on the contracting

authority and the contractorduring theperformanceof the contract and for five years starting

fromthedateofthepaymentofthebalanceunless:

a. thedisclosingpartyagreestoreleasetheotherpartyfromtheconfidentialityobligation

earlier;

b. theconfidentialinformationbecomespublicthroughothermeansthanviabreachofthe

confidentialityobligationsthroughdisclosurebythepartyboundbythatobligation;

c. thedisclosureoftheconfidentialinformationisrequiredbylaw.

II.5.4TheContractorshallobtainfromanypersonwiththepowertorepresentitortakedecisions

on its behalf, as well as from third parties involved in the performance of the contract, an

undertakingthattheywillcomplywiththeconfidentialityobligationssetoutinArticleII.5.1.



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ARTICLEII.6-PROCESSINGOFPERSONALDATA

II.6.1AnypersonaldataincludedinthecontractshallbeprocessedbytheInstituteinaccordance

with the EUI’s Data Protection policy pursuant to the EUI President’s Decision No. 40/2013

regardingDataProtectionattheEUI.Suchdatashallbeprocessedbythedatacontrollersolelyfor

thepurposesoftheperformance,managementandmonitoringofthecontractwithoutprejudice

to its possible transmission to the bodies charged with monitoring or inspection tasks in

applicationofrelevantEUandnationallaw.

II.6.2Thecontractorshallhavetherightofaccesstoitspersonaldataandtherighttorectifyany

suchdata.Thecontractor shouldaddressanyconcerns related to theprocessingof itspersonal

datatotheDataControllerindicatedinArt.I.6.

II.6.3 The contractor shall have the right of recourse at any time to the Director of the

Communications Service by simultaneous notification to the Data Protection Officer

([email protected]).

II.6.4Wherethecontractrequirestheprocessingofpersonaldatabythecontractororanyofits

subcontractors, the contractor may act only under the supervision of the data controller, in

particularwith regard to the purposes of the processing, the categories of datawhichmay be

processed, the recipientsof thedataand themeansbywhich thedatasubjectmayexercise its

rights. In that respect, the contractor shall be bound by the relevant provisions of the EUI

President’sDecisionNo. 40/2013aswell asby theDataProtectionDirective (95/46/EC) andall

applicable national laws and regulations of the country where it is established regarding the

processingofpersonaldataandprivacy.

II.6.5Thecontractorshallgrantitspersonnelaccesstothedataonlytotheextentstrictly

necessaryfortheperformance,managementandmonitoringofthecontract.

II.6.6Thecontractorundertakestoadoptappropriatetechnicalandorganisationalsecurity

measureshavingregardtotherisksinherentintheprocessingandtothenatureofthepersonal

dataconcernedinorderto:

a. preventanyunauthorisedpersonfromgainingaccesstocomputersystemsprocessing

personaldata,andespecially:



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i. unauthorisedreading,copying,alterationorremovalofstoragemedia;

ii. unauthoriseddatainput,aswellasanyunauthoriseddisclosure,alterationor

erasureofstoredpersonaldata;

iii. unauthoriseduseofdata-processingsystemsbymeansofdatatransmission

facilities;

b. ensurethatauthorisedusersofadata-processingsystemcanaccessonlythepersonaldata

towhichtheiraccessrightrefers;

c. recordwhichpersonaldatahavebeencommunicated,whenandtowhom;

d. ensurethatpersonaldatabeingprocessedonbehalfofthirdpartiescanbeprocessedonly

inthemannerprescribedbytheContractingAuthority;

e. ensure that,duringcommunicationofpersonaldataandtransportofstoragemedia, the

datacannotberead,copiedorerasedwithoutauthorisation;

f. design its organisational structure in such a way that it meets data protection

requirements.

ARTICLEII.7-SUBCONTRACTING

II.7.1 The contractor shall not subcontract without prior written authorisation from the

contractingauthoritynorcausethecontracttobedefactoperformedbythirdparties.

II.7.2Therequest forsubcontractingmustbeaccompaniedbyaclear indicationof theactivities

thatwillbesubcontracted,andmustnecessarilysatisfytherequirementsofthecurrentcontract

andanyapplicableItalianregulations.Inthecaseofsubcontractingoccurringduringtheperiodof

validity of the contract resulting from this procedure, the contractor must submit all required

documentation to the Instituteandawait itspriorauthorisationbeforemaking it indispensable,

effectiveandoperational.

II.7.3 Even where the contracting authority authorises the Contractor to subcontract to third

parties, theContractorshall remainboundby itsobligationstothe InstituteunderthisContract

andshallguaranteetheprovisionoftheServicesandbesolelyliablefortheproperperformance

oftheContractasifitwasperformingtheServicesitself.



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II.7.4TheContractorshallensurethatthesubcontractdoesnotaffectrightsandguaranteeswhich

thecontractingauthorityhasbyvirtueof thisContractandagrees to indemnify thecontracting

authorityagainstanyclaim,loss,costorexpensesawardedagainst,suffered,incurred,oragreed

tobepaidbythecontractingauthorityasaconsequencethereof.

ARTICLEII.8-AMENDMENTS

II.8.1Any amendment to the contract shall be made in writing before fulfilment of any new

contractualobligationsandinanycasebeforethedateofpaymentofthebalance.

II.8.2Theamendmentmaynothavethepurposeortheeffectofmakingchangestothecontract

whichmightcallintoquestionthedecisionawardingthecontractorresultinunequaltreatment

oftenderers.

ARTICLEII.9–ASSIGNMENT

II.9.1 Thecontractor shallnotassign the rights, including claims forpayments, andobligations

arisingfromthecontract,inwholeorinpart,withoutpriorwrittenauthorisationfromthe

contractingauthority.

II.9.2 In the absence of such authorisation, or in the event of failure to observe the terms

thereof,theassignmentofrightsorobligationsbythecontractorshallnotbeenforceable

againstthecontractingauthorityandshallhavenoeffectonit.

ARTICLEII.10–OWNERSHIPOFTHERESULTS-INTELLECTUALANDINDUSTRIALPROPERTYRIGHTS

II.10.1 Intellectual PropertyRights (“IPR”)means all patents and patent rights, trademarks and

trademark rights, trade names and trade name rights, service marks and service mark rights,

servicenamesandservicenamerights,brandnames,copyrightsandcopyrightrights,tradedress,

businessandproductnames,logos,slogans,tradesecrets,industrialmodels,utilitymodels,design

models, designs, rights in confidential information, know-how, rights in the nature of unfair

competition rights and rights to sue for passing off, and all pending applications for and

registrationsofpatents,trademarks,servicemarks,andcopyrightstogetherwithallconnectedand

similaroranalogousrightsinanycountryorjurisdictionforthefulltermthereof.



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II.10.2Pre-existingIPRmeansallIPRexistingpriortothedateofthisServiceContractandallIPR

in any materials, acquired or developed by or for Contractor or Contracting Authority

independently of this Service Contract, and any IPR in Contractor’s standard hardware and

softwareproductsormodificationsorupdatestosuchproducts.

II.10.3 All IPR title and interest in all reports, datamanuals and/or othermaterials (other than

software) (includingwithout limitationall and anyaudio or audio visual recordings, transcripts,

books,papers,records,notes,illustrations,photographs,diagrams)producedforthepurposesof

thisServiceContract (collectively“theMaterials”)(oranypartorpartsthereof)shallvest inthe

Contracting Authority and the Contractor so acknowledges and confirms. For the avoidanceof

doubttheContractorherebyassignsallIPRtitleandinterestintheMaterials(includingbywayof

present assignmentof futurecopyright)to theextent thatanysuch IPRtitleor interestmaybe

deemedbylawtoresideintheMaterialstotheContractingAuthorityabsolutely.

II.10.4TheContractingAuthoritygrantstotheContractoraroyalty-freenon-exclusivelicenceto

usetheContractingAuthority’sPre-existingIPRfortheTermtotheextentnecessarytoenablethe

Contractor to fulfil its obligationsunder this Service Contract. Save as expressly set out in this

clause all Pre-Existing IPR shall remain the sole propertyof the partywho owned, acquired or

developedsuchintellectualproperty.

II.10.5TheContractorshallwaiveorprocureawaiverofanymoralrightssubsistingincopyright

producedunderorinperformanceofthisContract.

II.10.6NothinginthisServiceContractshallprohibitorbedeemedtoprohibittheContractorfrom

providingservicessimilartotheServicestoanypartyotherthanthePartieshereto. Innoevent

shalltheContractorbeprecludedfromindependentlydevelopingforitself,orforothers,materials

whicharecompetitivewith,orsimilarto,theServicesandtouseitsgeneralknowledge,skillsand

experience, and any ideas, concepts, know-how, formats, templates, methodologies and

techniquesthatareacquiredorusedinthecourseofprovidingtheServices.

II.10.7 TheContractor shall ensure that all and any necessary consents and/or licences for any

software, instrument, modality or methodology are obtained and in place before use for the

purposesofthisServiceContract(to includebutnotbelimitedtoensuringthattheContracting

Authority shall be vestedwith all necessary rights so as to enable theContractingAuthority to



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enjoythebenefitoftheServicesforitsbusinesspurposes).TheContractorherebyindemnifiesthe

Contracting Authority and shall keep and hold the Contracting Authorityharmless from and in

respectofallandanyliability,loss,damages,claims,costs,orexpenseswhicharisebyreasonof

anybreachofthirdpartyIPRinsofarasanysuchrightsareusedforthepurposesofthisService

Contract.

II.10.8 At the option of the Contracting Authority for and in respect of any such breach, the

Contractorshallatitsexpenseandoption:

1. procurethenecessaryrightsfortheContractingAuthoritytocontinueuse;

2. replacetherelevantdeliverablewithanon-infringingequivalent;

3. replace the relevant deliverable to make it non-infringing while giving equivalent

performance;or

4. iftheContractorcannotobtaintheremediesin1),2)or3)above,itmaydirectthereturnof

thedeliverableandrefundtotheContractingAuthoritychargespaidforsuchdeliverable

lessareasonableamountfortheContractingAuthority‘suseofthedeliverableuptothe

time of return, provided such reasonable amount is due to the owner of the said

deliverable,TOGETHERwithalldirectlossestherebyaccruingtotheContractingAuthority

asaresultofthebreach.

II.10.9 Upon the terminationof this Service Contract forwhatever reason, the Contractor shall

immediatelydeliveruptotheContractingAuthorityall theMaterialsprepareduptothedateof

termination.AsanexceptiontoitsobligationsunderthisclausetheContractormayretainonecopy

of theMaterials, inpaper form, in theContractor’s legal files for thepurposeofandonly to the

extent necessary for ensuring compliance with its obligations under this Service Contract. The

provisionsofthisclausewillsurvivetheexpirationorterminationofthisServiceContractforany

reason.

ARTICLEII.11-FORCEMAJEURE

II.11.1 'Forcemajeure'meansanyunforeseeableandexceptional situationoreventbeyond the

parties' controlwhich prevents either of them from fulfilling any of their obligations under the

contract, which was not attributable to error or negligence on their part or on the part of



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subcontractorsandwhichprovestobeinevitableinspiteofexercisingduediligence.Anydefault

ofaservice,defectinequipmentormaterialordelaysinmakingthemavailable,unlesstheystem

directly from a relevant case of force majeure, as well as labour disputes, strikes or financial

difficulties,cannotbeinvokedasforcemajeure.

II.11.2 Apartyfacedwithforcemajeureshallformallynotifytheotherpartywithoutdelay,stating

thenature,likelydurationandforeseeableeffects.

II.11.3Thepartyfacedwithforcemajeureshallnotbeheldinbreachofitscontractualobligations

ifithasbeenpreventedfromfulfillingthembyforcemajeure.Wherethecontractorisunableto

fulfil its contractual obligations owing to forcemajeure, it shall have the right to remuneration

onlyforthetasksactuallyexecuted.

II.11.4 Thepartiesshalltakeallthenecessarymeasurestolimitanydamageduetoforcemajeure.

ARTICLEII.12–LIQUIDATEDDAMAGES

Thecontractingauthoritymayimposeliquidateddamagesshouldthecontractorfailtocomplete

itscontractualobligations,alsowithregardtotherequiredqualitylevel,accordingtotheSpecial

TenderSpecifications.

Shouldthecontractorfailtoperformitscontractualobligationswithinthetime-limitssetbythe

contract, then, without prejudice to the contractor's actual or potential liability or to the

contracting authority's right to terminate the contract, the contracting authority may impose

liquidateddamagesforeachandeverycalendardayofdelay.

Thecontractormaysubmitargumentsagainstthisdecisionwithin30daysofreceiptoftheformal

notification. Intheabsenceofareactionon itspartorofwrittenwithdrawalbythecontracting

authoritywithin30daysof the receiptof sucharguments, thedecision imposing the liquidated

damagesshallbecomeenforceable.

Thepartiesexpresslyacknowledgeandagreethatanysumspayableunderthisarticleareinthe

nature of liquidated damages and not penalties, and represent a reasonable estimate of fair

compensationforthelossesincurredduetofailuretofulfilobligationswhichmaybereasonably

anticipated.



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ARTICLEII.13–SUSPENSIONOFTHEPERFORMANCEOFTHECONTRACT

II.13.1Suspensionbythecontractor

Thecontractormaysuspendtheperformanceofthecontractoranypartthereofifacaseofforce

majeuremakessuchperformance impossibleorexcessivelydifficult.Thecontractorshall inform

thecontractingauthorityaboutthesuspensionwithoutdelay,givingallthenecessaryreasonsand

detailsandtheenvisageddateforresumingtheperformanceofthecontract.

Oncethecircumstancesallowresumingperformance,thecontractorshallinformthecontracting

authorityimmediately,unlessthecontractingauthorityhasalreadyterminatedthecontract.

II.13.2Suspensionbythecontractingauthority

Thecontractingauthoritymaysuspendtheperformanceofthecontractoranypartthereof:

(a) if the contract awardprocedureor theperformanceof the contractprove tohavebeen

subjecttosubstantialerrors,irregularitiesorfraud;

(b) inordertoverifywhetherpresumedsubstantialerrors,irregularitiesorfraudhaveactually

occurred.

Suspensionshall takeeffecton theday thecontractor receives formalnotification,orata later

dateprovidedinthenotification.Thecontractingauthorityshallgivenoticeassoonaspossibleto

thecontractortoresumetheservicesuspendedorinformthecontractorthatitisproceedingwith

the termination of the contract. The contractor shall not be entitled to claim compensation on

accountofsuspensionofthecontractorofpartthereof.

ARTICLEII.14-TERMINATIONOFTHECONTRACT

II.14.1Groundsfortermination

Notwithstanding any other term of this Contract, the Contracting Authoritymay terminate the

Contract,apurchaseorderorspecificcontractinthefollowingcircumstances:

a. if a change to the Contractor’s legal, financial, technical or organisational or ownership

situation is likely to affect the performance of the contract substantially or calls into

questionthedecisiontoawardthecontract;



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b. iftheexecutionofthetasksofthecontractorapurchaseorderoraspecificcontracthas

not actually commenced within three months of the date foreseen, and the new date

proposed,ifany,isconsideredunacceptablebythecontractingauthority;

c. ifthecontractordoesnotperformthecontractorapurchaseorderorspecificcontractas

established in the Special Tender Specifications, the request for services, or fails to fulfil

anyothersubstantialcontractualobligation;

d. intheeventofforcemajeurenotifiedinaccordancewithArticleII.11oriftheperformance

ofthecontracthasbeensuspendedbythecontractorasaresultofforcemajeure,notified

inaccordancewithArticle II.11,whereeither resumingperformance is impossibleor the

modificationstothecontractmightcallintoquestionthedecisionawardingthecontractor

resultinunequaltreatmentoftenderers;

e. ifthecontractorisdeclaredbankrupt,isbeingwoundup,ishavingitsaffairsadministered

by the courts, has entered into an arrangementwith creditors, has suspended business

activities, is the subjectofproceedings concerning thosematters, or is in anyanalogous

situationarisingfromasimilarprocedureprovidedforinnationallegislationorregulations;

f. ifthecontractororanynaturalpersonwiththepowertorepresentitortakedecisionson

itsbehalfhasbeenfoundguiltyofprofessionalmisconductprovenbyanymeans;

g. ifthecontractorisnotincompliancewithitsobligationsrelatingtothepaymentofsocial

securitycontributionsor thepaymentof taxes inaccordancewiththe legalprovisionsof

thecountryinwhichitisestablishedorwiththoseofthecountryoftheapplicablelawof

thiscontractorthoseofthecountrywherethecontractistobeperformed;

h. if thecontractingauthorityhasevidence that thecontractorornaturalpersonswith the

powertorepresentitortakedecisionsonitsbehalfhavecommittedfraud,corruptionor

anyotherillegalactivitydetrimentaltothefinancialinterestsoftheEUI,orhasevidenceor

seriouslysuspectsthattheyareinvolvedinacriminalorganisationormoneylaundering;

i. if the Contracting Authority has evidence that the Contractor or natural persons with

power to represent or take decisions on its behalf have committed substantial errors,

irregularities or fraud in the award procedure or the performance of the Contract,

includingthecaseofsubmissionoffalseinformation;



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j. iftheContractorisunable,throughitsownfault,toobtainanypermitorlicencerequired

fortheperformanceoftheContract,purchaseordersorspecificcontracts;

k. in the presence of serious misconduct by employees, duly reported in writing by the

contractingauthorityandwhich isnotpromptlyhandledby replacementofpersonnel in

question.

II.14.2Procedurefortermination

Where thecontractingauthority intends to terminate thecontract,apurchaseorderor specific

contract,itshallformallynotifythecontractorofitsintention,specifyingthegroundsthereof.The

Contracting Authority shall invite the Contractor tomake any observations and, in the case of

point II.14.1,pointc) to informthecontractingauthorityabout themeasures takentocontinue

thefulfilmentofitscontractualobligations,within30daysfromreceiptofthenotification.

IftheContractingAuthoritydoesnotconfirmacceptanceoftheseobservationsbygivingwritten

approval within 30 days of receipt, the termination procedure shall proceed. In any case of

termination, the contracting authority shall formally notify the contractor about its decision to

terminatethecontract.

In the cases referred to in points in letters a), b), c), e), g) and j) of Article II.14.1, the formal

notificationshallspecifythedateonwhichtheterminationtakeseffect.

Inthecasesreferredtoinpointsd),f),h)andi)andk)ofArticleII.14.1theterminationshalltake

effectonthedayfollowingthedateonwhichnotificationisreceivedbythecontractor.

II.14.3Effectsoftermination

In the event of termination, the Contractor shall waive any claim for consequential damages,

includingany lossofanticipatedprofits foruncompletedwork.On receiptof thenotificationof

termination, the Contractor shall take all the appropriatemeasures tominimise costs, prevent

damages,andcancelorreduceitscommitments.TheContractorshallhave60daysfromthedate

ofterminationtodrawupthedocumentsrequiredbythespecialconditionsforthetasksalready

executed on the date of termination and produce an invoice if necessary. The Contracting

Authoritymayrecoveranyamountspaidunderthecontract.



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The Contracting Authority may claim compensation for any damage suffered in the event of

termination.

On termination the Contracting Authority may engage any other Contractor to execute or

completetheservices.TheContractingAuthorityshallbeentitledtoclaimfromtheContractorall

extracostsincurredinthisregard,withoutprejudicetoanyotherrightsorguaranteesitmayhave

undertheContract.

ARTICLEII.15-REPORTINGANDPAYMENTS

II.15.1Dateofpayment

PaymentsshallbedeemedtobeeffectedonthedatewhentheyaredebitedtotheContracting

Authority'saccount.

II.15.2Currency

Thecontractshallbeineuros.

Paymentsshallbeexecutedineuro(€)orinthelocalcurrency,ifthereceivingpartyhasitslegal

seatoutsideEuro-area.

II.15.3InvoicesandVAT

TheInstituteisateachingandresearchcentrewhichusesadecentralisedadministrativestructure

and which manages, in addition to the different internal projects, several activities which are

externallyfinancedbybothpublicandprivatesponsors.TheContractorundertakestofollowthe

analyticalinvoicingproceduresrequestedbytheInstitute,issuingondemandspecificinvoicesfor

eachcostcentre/activityidentified.

InvoicesshallshowtheidentificationdetailsoftheContractor,theamount,currencyanddate,as

wellasthereferencetotheContract,purchaseorderorspecificcontract.

TheEUIis,asarule,exemptfrompaymentofValueAddedTax(VAT)pursuanttoArt.151,para1

(b) and para 2 of Council Directive 2006/112/EC, as last amended by Council Directive

2009/162/UE.

This exemption applies to goods imported and services provided for the Institute’s official

activitiesforamountsexceeding€300.00(threehundred/00).



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TheEUIisexemptfromcustomsdutiesanddirecttaxeswithinthetermsofArticles4and5ofthe

"ProtocolonthePrivilegesandImmunitiesoftheEuropeanUniversityInstitute".

TheContractorshallaccordinglycompletethenecessaryformalitieswiththerelevantauthorities

toensurethatsuppliesandservicesrequiredfortheperformanceofthecontractareexemptfrom

taxesandduties,includingVATexemption.

II.15.4 Suspensionofthetimeallowedforpayment

The contracting authority may suspend the payment periods at any time by notifying the

contractor that its invoice cannot be processed, either because it does not comply with the

provisionsofthecontract,orbecausetheappropriatedocumentshavenotbeenproduced.

The contracting authority shall inform the contractor inwriting as soonaspossibleof any such

suspension,givingthereasonsforit.

Suspensionshalltakeeffectonthedatethenotificationissentbythecontractingauthority.The

remaining payment period shall start to run again from the date on which the requested

informationorreviseddocumentsarereceivedorthenecessaryfurtherverification,includingon-

the-spotchecks,iscarriedout.Wherethesuspensionperiodexceedstwomonths,thecontractor

mayrequestthecontractingauthoritytojustifythecontinuedsuspension.

Wherethepaymentperiodshavebeensuspendedfollowingrejectionofadocumentandthenew

documentproducedisalsorejected,thecontractingauthorityreservestherighttoterminatethe

contractinaccordancewithArticleII.14.1(c).

II.15.5 Performanceguarantees

Performanceguaranteesshallcoverperformanceoftheserviceinaccordancewiththetermsset

outintheSpecialTenderSpecificationsuntilitsfinalacceptancebythecontractingauthority.The

amount of a performance guarantee shall not exceed the total price of the contract. The

guaranteeshallprovide that it remains in forceuntil finalacceptance.Thecontractingauthority

shallreleasetheguaranteewithinamonthfollowingthedateoffinalacceptance.

InaccordancewithArticleI.4,theperformanceguaranteeshallfulfilthefollowingconditions:



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a. thefinancialguaranteeisprovidedbyabankoranapprovedfinancialinstitutionor,atthe

requestofthecontractorandagreementbythecontractingauthority,byathirdparty;

b. theguarantorstandsasfirst-callguarantoranddoesnotrequirethecontractingauthority

tohaverecourseagainsttheprincipaldebtor(thecontractor).

Thecostofprovidingsuchguaranteeshallbebornebythecontractor.

ARTICLEII.16-REIMBURSEMENTS

II.16.1Whereprovidedbythespecialconditionsorbythetenderspecifications,thecontracting

authorityshall reimbursetheexpenseswhicharedirectlyconnectedwithexecutionofthetasks

on production of original supporting documents, including receipts and used tickets, or failing

that,onproductionofcopiesorscannedoriginals,oronthebasisofflatrates.

II.16.2 Travelandsubsistenceexpensesshallbereimbursed,whereappropriate,onthebasisof

the shortest itinerary and the minimum number of nights necessary for overnight stay at the

destination.

II.16.3 Travelexpensesshallbereimbursedasfollows:

a. travelbyairshallbereimburseduptothemaximumcostofaneconomyclassticketat

thetimeofthereservation;

b. travelbyboatorrailshallbereimburseduptothemaximumcostofafirstclassticket;

c. travelbycarmustbeauthorisedbythecontractingauthorityandshallbereimbursed

onthebasisofakilometreallowance,currentlyfixedatEuro0,22perkilometre.Other

expenses(motorwaytolls,ferrycrossings,etc.)canalsobereimbursedonpresentation

ofthecorrespondingsupportingdocuments.

II.16.4 SubsistenceexpensesshallbereimburseduptoEuro175perdayasfollows:

d. for journeys of less than 80 km for a return trip, no subsistence allowance shall be

payable;

e. dailysubsistenceallowanceshallbepayableonlyonreceiptofsupportingdocuments

provingthatthepersonconcernedwaspresentatthedestination;



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f. dailysubsistenceallowanceispaidasaflat-rateandisconsideredtocoverthehotelor

other related cost (if applicable), breakfast and the twomainmeals, local travel, the

costoftelecommunications,includingfaxandinternet,andallothersundries;

g. taxiexpensesarereimburseduptoamaximumof€70pervisit.

Parkingexpenses(airportsonly)arereimburseduptoamaximumof4dayspervisit.

All supporting documents (duly completed) must always be attached to the statement of

expenses.

II.16.6 Conversionbetweentheeuroandanothercurrencyshallbemademonthlyapplyingthe

marketratesforthepenultimatedayofthepreviousmonthquotedbytheEuropeanCentralBank

or,dependingonavailability,providedby thedelegationsorotherappropriate sourcesclose to

thatdate.

ARTICLEII.17–RECOVERY

II.17.1 Ifanamountistoberecoveredunderthetermsofthecontract,thecontractorshallrepay

thecontractingauthoritytheamountinquestionaccordingtothetermsandbythedatespecified

inthedebitnote.

II.17.2 Iftheobligationtopaytheamountdueisnothonouredbythedatesetbythecontracting

authorityinthedebitnote,theamountdueshallbearinterestattherateappliedbytheEuropean

Central Bank for its main refinancing operations in Euros (the reference rate) plus 3.5%. The

referencerateshallbetherateinforceonthefirstdayofthemonthinwhichthepaymentperiod

ends,aspublishedintheCseriesoftheOfficialJournaloftheEuropeanUnion.

Interestonlatepaymentsshallcovertheperiodfromthedayfollowingtheduedateforpayment,

uptoandincludingthedatewhenthecontractingauthorityreceivesfullpaymentoftheamount

owed.

Anypartialpaymentshallfirstbeenteredagainstchargesandinterestonlatepaymentandthen

againsttheprincipalamount.



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II.17.3 If payment has not been made by the due date, the contracting authority may, after

informing the contractor in writing, recover the amounts due by offsetting them against any

amountsowedtothecontractorbytheInstitute.

ARTICLEII.18–CHECKSANDAUDITS

II.18.1 Thecontractingauthoritymaycheckorhaveanauditontheperformanceofthecontract.

Itmaybecarriedouteitherdirectlybyitsownstafforbyanyotheroutsidebodyauthorisedtodo

soonitsbehalf.

Such checks and auditsmay be initiated during the performance of the contract and during a

periodoffiveyearswhichstartsrunningfromthedateofthepaymentofthebalance.

Theauditprocedureshallbedeemedtobeinitiatedonthedateofreceiptoftherelevantletter

sentbythecontractingauthority.Auditsshallbecarriedoutonaconfidentialbasis.

II.18.2 The Contractor, during the lifetime of the Contract, shall or shall procure that its

subcontractors shall gather, compile, correlate, collect and otherwise maintain all relevant

accounts, records, books and other information in documentary form or on easily accessible

electronicmedia(“Records”),arisinginconnectionwiththeperformanceoftheContract.

The contractor shall keep all original documents stored on any appropriatemedium, including

digitisedoriginalswhentheyareauthorisedbynational lawandundertheconditions laiddown

therein,foraperiodoffiveyearswhichstartsrunningfromthedateofpaymentofthebalance.

II.18.3 The contractor shall allow the contracting authority's staff and outside personnel

authorised by the contracting authority the appropriate right of access to sites and premises

where the contract is performed and to all the information, including information in electronic

format,neededinordertoconductsuchchecksandaudits.Thecontractorshallensurethatthe

information is readily available at themoment of the check or audit and, if so requested, that

informationbehandedoverinanappropriateform.

II.18.4 Onthebasisofthefindingsmadeduringtheaudit,aprovisionalreportshallbedrawnup.

Itshallbesenttothecontractor,whichshallhave30daysfollowingthedateofreceipttosubmit

observations.Thefinalreportshallbesenttothecontractorwithin60daysfollowingtheexpiryof

thatdeadline.



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On thebasisof the final audit findings, the contractingauthoritymay recoverallorpartof the

paymentsmadeandmaytakeanyothermeasurewhichitconsidersnecessary.

draft service contract€¦ · arbitration by filing a written request with the secretariat of the...

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