1. BIDS: All quotes are good for 30 days from the date of the quotation and are based upon matching a sample produced by Racks and approved by the customer. Credit approval is a condition to all bids.
  2. TERMS: Unless otherwise agreed to in writing signed by Racks, credit terms are net 30. Racks’ most current trade customs are posted on our website www.racksinc.com. Racks, Inc. reserves the right to modify these trade customs from time to time. The Trade Customs as posted on our website on the date of the first shipment on all purchase orders shall govern all transactions on that order. Racks cannot accept amendments or modifications of these Trade Customs without prior written consent of an officer or director of the corporation. Title: All displays, or other items produced by Racks, including all product, tooling, film and artwork, shall remain the property of Racks Inc. until payment in full has been made to Racks on all Racks Invoices relating to the product.
  3. SHIPPING: All prices quoted are F.O.B. San Diego, California, unless otherwise stated in writing by Racks. Racks will plan for pickup with carriers regularly used by Racks, which offer the best terms to the shipment’s destination.
  4. DROP SHIP FEES: If requested to make drop shipments, Racks will charge a $5.50 documentation and handling fee per item within the first 30 days following the initial shipment of the displays. After the first 30 days, all drop shipments will be subject to a $7.50 documentation and handling fee.
  5. QUANTITY VARIATIONS: While every effort is made to ship the exact number ordered, Racks follows the custom and practice of the industry which allows for 5% quantity variation under and over the number displays ordered. If an exact number is required you must advise your sales agent at the time you request pricing and must obtain a bid stating the quantities are exact, no overs/no unders. Demand for exact quantities will affect pricing.
  6. U.S.A. WAREHOUSING: Absent contrary agreement, it is expected that all displays will be shipped upon completion. We can coordinate split delivery dates if so requested. If Racks is required to warehouse displays or production for more than 30 days, the customer will be billed for warehouse fees of $30.00 per month, or part thereof, per pallet, unless other arrangements have been made in writing. Unfinished goods stored at our production facility due to customer caused delays shall be billed at $75 per month.
  7. Inventory Management Fee: Any finished goods inventory, or other production material inventory, left in our possession longer than 3 months after the production completion date are subject to an inventory management fee. This fee covers our costs for maintaining inventory control, insuring, customer reporting, and shipping management services on an ongoing basis. The fee is based on both active open accounts and active open items. The open account fee is $250 per month, including one open item. The open item fee is $50 per month for each additional item. All fees are billed at the beginning of each month. Customers will be provided with an end of month inventory along with the invoice. These fees are in addition to the monthly warehouse fee or $30 per pallet where applicable. Warehouseman reserves the discretion to dispose of any item left in its possession longer than 2 years from initial completion date. Customer shall be liable for disposal costs, if any, which warehouseman will disclose to customer prior to incurring the costs. Customer shall not be liable for these fees if complete shipping instructions are provided prior to the fees being incurred.
  8. PRODUCTION STANDARDS: Racks production is based upon matching a sample, prototype or first article (sample) manufactured by Racks. If the customer supplies a display for Racks to produce, which was not manufactured by Racks, Racks will produce its own sample to match during production. Racks, Inc. agrees production will match the quality and tolerances, within industry standards, of the sample. It is the customer’s/customer’s agent’s obligation to check the sample for fitness for use, compatibility, and conformance with the customer’s intended use. It is the customer’s/customer’s agent’s obligation to approve the sample prior to authorizing Racks to begin production. Racks cannot be held responsible for customer/agent designs, fitness for use or compatibility with component parts not supplied by Racks, unless such issues are expressly stated in the customer’s purchase order or otherwise agreed to in writing signed by Racks. Production articles matching the sample shall be deemed conforming for all purposes.
  9. BILLING: Racks’ policy is that an order is completed upon the displays being ready for shipment, and when shipment is delayed at the customer’s request, the customer will be invoiced for all completed displays being held for shipment. Displays will be deemed completed and will be invoiced to the customer if the displays are in production, but Racks is precluded from completing the final pack out due to delays caused by the customer, including but not limited to delays in providing final specifications, artwork, or other materials to be packed with or affixed to the displays. The consent of Racks is required to modify or cancel any purchase orders once they are received by Racks, and Racks reserves the right to charge a reasonable cancellation fee to offset Racks’ actual cost incurred on any cancelled or modified orders.
  10. DELIVERY DATES: The delivery schedule quoted is an estimate of the time required to produce and begin shipping your order. The delivery schedule quoted does not begin to run until we have received your purchase order and approved your credit application. Racks is not responsible for delivery delays caused by the customer, including delays in approving samples, graphics and first articles, as well as providing customer supplied parts on information.
  11. PRINTING DIES: Your quotation does not include the costs associated with purchasing print dies for printing on the packing carton. If specifications require that print dies be made, print dies will be billed to the customer at cost.
  12. ARTWORK / PLATING: Unless expressly stated on your quotation, any costs associated with customer supplied artwork are not included in the quotation. All prices assume that artwork will be provided by the customer. Dies and printing plates are not included in the quotation unless expressly stated. Cost associated with matching PMS colors for artwork or branding are not included in the cost unless expressly stated. Any costs incurred by Racks will be billed to the customer at cost.