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Legal Framework

Terms of Service

B2B Cooperation Agreement for Medical-Grade Metal Components Supply

Last Updated: January 2024 Version 2.0
1

Scope of Cooperation

These Terms of Service govern all B2B transactions between our company and clients for the supply of medical-grade metal components.

Applicable Parties

  • Medical device brands and manufacturers
  • Healthcare wholesalers and distributors
  • Medical equipment importers and trading companies
  • Private-label manufacturers and R&D firms

Product Scope

Our services exclusively cover precision metal components for In-Vitro medical devices, including but not limited to:

  • Customized metal parts and assemblies
  • OEM/ODM precision-machined components
  • Prototyping and low-volume production runs

Note: We do NOT supply complete medical devices or engage in retail business.

2

Order Rules

Standard procedures for quotation, order placement, payment, and delivery.

Minimum Order Quantity

  • • Standard parts: 500 pcs
  • • Custom parts: 1,000 pcs
  • • Prototypes: 10-50 pcs

MOQ negotiable for long-term partners

Payment Terms

  • • New clients: 50% deposit
  • • Balance: Before shipment
  • • Regular clients: NET 30

T/T, L/C, accepted

Lead Time

  • • Samples: 7-15 days
  • • Standard orders: 21-45 days
  • • Large volume: 30-45 days

After deposit confirmation

Order Confirmation: All orders require written confirmation (email/contract). Verbal agreements are not binding.

3

Customization Terms

OEM/ODM services, prototyping fees, and tooling ownership policies.

Prototyping & Sampling Fees

Standard Prototypes
$100 - $800
Per design iteration
Complex Custom Parts
$400 - $2,000
Including DFM analysis

Refund Policy: Sampling fees are 100% refundable upon mass production order confirmation (MOQ met).

Mold & Tooling Ownership

A
Client-Funded Tooling

If the client pays for mold/tooling development costs separately, full ownership transfers to the client upon final payment. We retain manufacturing rights only for orders placed by the client.

B
Company-Funded Tooling

If tooling costs are absorbed by our company (included in unit price), we retain ownership. Exclusive manufacturing rights can be negotiated via separate agreement.

C
Tooling Maintenance

We provide free tooling maintenance for 2 years from first production run. Extended maintenance available under service contract.

4

Quality Assurance & After-Sales

Inspection procedures, warranty terms, and return/replacement policies.

Quality Control Standards

  • ISO 9001 Compliance: All production processes follow ISO 9001 quality management system
  • Inspection Reports: Full dimensional reports, material certificates, and surface treatment documentation provided
  • Pre-Shipment Inspection: 100% visual inspection + AQL 2.5 sampling for dimensional accuracy

Inspection Upon Receipt

  • Timeframe: 7 days from delivery
  • Procedure: Check quantity, packaging, and visible defects
  • Claim Process: Submit photos + inspection report within 7 days

Claims submitted after 7 days will not be accepted unless pre-approved in writing.

Warranty Coverage

  • Standard Parts: 6 months from shipment
  • Custom Parts: 3 months from shipment
  • Covers: Material defects, manufacturing errors, dimensional deviations

Not Covered: Improper storage, misuse, unauthorized modifications, or normal wear.

Return & Replacement Policy

Manufacturing Defects

Free replacement + freight covered by us

Design Changes

Client covers tooling modification + price difference

Wrong Order (Our Error)

Full refund or free replacement + return shipping covered

5

Liability & Dispute Resolution

Breach of contract terms and legal framework for conflict resolution.

Breach of Contract

Client
  • Payment Delay: 2% penalty per week after due date; order suspension after 30 days
  • Order Cancellation: After production start: client forfeits deposit + covers incurred costs
  • Specification Changes: After sample approval: client pays for new tooling/setup costs
Supplier
  • Delivery Delay: 1% penalty per week (max 10% of order value); client may cancel after 30 days
  • Quality Issues: Free replacement + compensation up to 5% of order value for severe defects
  • Confidentiality Breach: Liability for damages + potential contract termination

Dispute Resolution Framework

1
Friendly Negotiation (30 Days)

Both parties commit to good-faith discussions to resolve disputes amicably.

2
Mediation (Optional)

Engage neutral third-party mediator mutually agreed upon by both parties.

3
Arbitration / Legal Action

If unresolved, disputes shall be submitted to arbitration in Qingdao, China, under Chinese commercial law.

Governing Law: These Terms are governed by the laws of the People's Republic of China. Language: English version prevails in case of translation discrepancies.

Force Majeure

Neither party shall be liable for delays or failures in performance resulting from acts beyond reasonable control, including but not limited to: natural disasters, war, government restrictions, pandemics, or supply chain disruptions. Affected party must notify the other within 7 days with supporting documentation.

Questions About Our Terms?

Our B2B team is ready to discuss customized cooperation agreements tailored to your specific needs.