General Terms and Conditions of Ch.Batsch Verfahrenstechnik GmbH

I. General

1. The following General Terms and Conditions of Ch.Batsch Verfahrenstechnik GmbH apply exclusively. Conflicting or deviating terms and conditions by the Customer will not be accepted by Ch.Batsch Verfahrenstechnik GmbH, generally. Conflicting or deviating terms and conditions by the customer are only accepted with the written consent of the Ch.Batsch Verfahrenstechnik GmbH. Any derogation or modifications to these General Terms of Conditions are only accepted with the exclusively written consent of the Ch.Batsch Verfahrenstechnik GmbH.

2. The following General Terms and Conditions shall also apply if Ch.Batsch

Verfahrenstechnik GmbH unconditionally performs the order in the knowledge that the Customer's terms and conditions may conflict with or deviate from its own. 3. The General Terms and conditions of Ch.Batsch Verfahrenstechnik GmbH are confirmed by the Customer when the order is placed. The following General Terms and Conditions shall also apply to all future business relations with the Customer even if they have not been explicitly agreed again.

II. Offers and Conclusions of Contracts

1. The offers and estimates of Ch.Batsch Verfahrenstechnik GmbH shall be always without obligation. All offers and prices contained in brochures, advertisements and other advertising material are without engagement and non-binding. All offers and prices contained in brochures, advertisements and other advertising material concern exclusively to the standard machines of Ch.Batsch Verfahrenstechnik GmbH. The quotations of Ch.Batsch Verfahrenstechnik GmbH are binding. Offers are obligatory for 3 months if especially nothing other was arranged in writing.

2. In the case of obvious errors, spelling and calculation mistakes in the offers and confirmations there shall be no obligation on Ch.Batsch Verfahrenstechnik GmbH. Spelling and calculation mistakes in the offers and confirmations can be appealed and may be modified accordingly by Ch.Batsch Verfahrenstechnik GmbH within 5 workdays since delivery.

3. Cost quotations and offer documents as well as design documents and materials (in the form of drawings and samples) are property of Ch.Batsch Verfahrenstechnik GmbH and are protected by copyright. Any data of products by Ch.Batsch Verfahrenstechnik GmbH are strictly confidential and may not be transmitted to a third party. With offences the Ch.Batsch Verfahrenstechnik GmbH reserves legal steps expressly!

4. A contract only comes about if an order by the buyer is received by Ch.Batsch Verfahrenstechnik GmbH in writing (including by means of a signature on the non-binding offer), by fax or by electronic transmission and the latter is confirmed within the supply duration, as well as payment arrangements are observed and the written order confirmation by Ch.Batsch Verfahrenstechnik GmbH arrived at the buyer.

III. Prices and Changing in Prices

1. The prices stated in quotations are exclusive of the legal value added tax of currently 19 % and are valid ex works non-binding, without packaging, without transport, without insurance, without extra driving costs of service technicians, without the assembly and without commissioning. The same shall apply to renting plants. If delivery is in delay more than 6 months due to circumstances for which the buyer is responsible the prices valid on the day of delivery are decisive, exclusively.

2. The Ch.Batsch Verfahrenstechnik GmbH is entitled to pass on to the buyer cost increases which result from increases in wage and material costs and price increases by the suppliers of Ch.Batsch Verfahrenstechnik GmbH.

IV. Payment arrangements

1. In principle apply the terms of payment of the quotation, of the confirmation or of the invoice by Ch.Batsch Verfahrenstechnik GmbH. Unless other terms of payment are stated in the quotations, confirmations or invoices shall become due for payment immediately.

2. If the buyer is in default of payment, Ch. Batsch Verfahrenstechnik GmbH is entitled to levy interest at a rate of 5% above the respective base rate. If the buyer is an entrepreneur or another person according to Article 310 Paragraph 1 Sentence 1 of the German Civil Code (BGB) then the interest rate is 8% above the respective base rate. In the case of payment default of one payment on the part of the buyer, all other claims of the Ch.Batsch Verfahrenstechnik GmbH become due immediately, including deferred claims. If a higher damage caused by default developed demonstrably, the Ch.Batsch Verfahrenstechnik GmbH is entitled to make these valid.

V. Delivery Period, Delivery with Installation

1. The period of delivery begins after the receipt of the order confirmation and after Ch.Batsch Verfahrenstechnik GmbH received the advanced payment. The delivery deadline shall be deemed as complied with if the delivery item has left the contractor's works by the expiry of the deadline, or in case of collection by the customer if the contractor has informed the customer of its readiness for dispatch. Additional changes of the specification of services by the Buyer need to be in written form. Changes of order shall lead to the abolition of agreed deadlines and terms, unless otherwise agreed!

2. In order to effect an installation immediately after delivery, all constructional works, including the energy supply, must be finished before the mounting can be started, so that the installation or assembly may begin in accordance with the agreement and be carried out without any interruption. All constructional and technical measures, including the energy supply shall not under any circumstances become contractual components! The Buyer is exclusively responsible for the completion of these works and furthermore bears all costs!

3. The Buyer has to provide for the installation assistance personnel, other necessary equipment and required material at his own costs. Furthermore the Buyer assumes expenses of traveling and lodging and also he shall bear the hour rates and daily rates of the Ch.Batsch Verfahrenstechnik GmbH and the employees.

VI. Reservation of Ownership

1. The object of the delivery remains the property of the Ch.Batsch Verfahrenstechnik GmbH until full payment of the agreed price and of all other claims.

2. Renting plants are always in the property of Ch.Batsch Verfahrenstechnik GmbH.

3. The object delivered may be neither pledged nor transferred for security to a third party before it is paid in full. In the event of distraints, as well as seizure or any other rights of disposal by third parties, the customer is required to notify the Ch.Batsch Verfahrenstechnik GmbH thereof without delay and provide the Ch.Batsch Verfahrenstechnik GmbH with all information and documentation necessary to protect the Ch.Batsch Verfahrenstechnik` s rights.

4. The Purchaser has to insure, at his costs, the delivered object against theft, breakage, fire, water and other damage for the duration of the retention of title, and - on the Ch.Batsch Verfahrenstechnik GmbH so requesting - to show proof of this insurance.

VII. The Bearing of Risks, Storage Costs

1. If the Buyer is in default of acceptance or if the delivery is delayed due to other circumstances for which he is responsible, the risk shall be passed to the buyer from this point in time, the risk shall be passed to the buyer from this point in time. In addition, the purchase price shall become due for payment in cases of this kind. Furthermore for this reason the Ch.Batsch Verfahrenstechnik GmbH does not assume any liability for deterioration, destruction and services not used.

2. The actual amount of the storage costs arising from the default in taking delivery will be charged in at least the amount of 0,5% of the total invoice amount sum for every month or part of month of storage.

VIII. Warranty an Guarantee

1. The period of guarantee for items of the Ch.Batsch Verfahrenstechnik GmbH is 2 years starting on the date of transfer of risk.

2. This warranty is only extended to brand new items. Used items, repairs, alterations and modifications are excluded from the guarantee.

3. The Ch.Batsch Verfahrenstechnik GmbH must be informed of all deficiencies in writing within 14 days after receipt of consignment. If the defect is not reported in time a warranty claim does not exist.

4. The Ch.Batsch Verfahrenstechnik GmbH shall have the choice of remedy for the defective delivery item either through the correction of the defect (improvement) or delivery of a defect free item (subsequent delivery) within a reasonable period of time. If the complaint is justified, the Ch.Batsch Verfahrenstechnik GmbH bears the costs thereof. The Purchaser has not a right to choose either remedy of defect or the delivery of goods free from defects!

5. Excluded from any warranty are defects and damages originating in the following: Wear and tear caused by operation, normal abrasion or improper use; mistakes in operating the product and negligent conduct on the side of the customer; operation under wrong conditions of current (intensity of current or circuit voltage) as well as connection to an inadequate source of power; fire, lightning, detonation or excess voltage caused by the source of power; humidity of any kind; wrong or defective program or software and/or processing data as well as all parts of consumption, unless the customer proves that these circumstances are not cause for the defects complained about. Furthermore warranty is excluded if defects or repairs will be corrected or done by unauthorized personnel or third parties.

6. Returns are only accepted after a previous written agreement by the Ch.Batsch Verfahrenstechnik GmbH. The customer shall bear the cost for returns!

IX. Reservation of the Right to Rescind

1. If, after execution of the contract, it comes to the knowledge of the Ch.Batsch Verfahrenstechnik GmbH that the customer is in financial difficulties or its assets have been impaired so as to place the Ch.Batsch Verfahrenstechnik GmbH`s claim to payment at risk, the Ch.Batsch Verfahrenstechnik GmbH shall have the right, after setting a reasonable period of grace for payment, to require collateral for performance, and, in the event of a refusal to do so, to charge for any expenses which the Ch.Batsch Verfahrenstechnik GmbH has incurred and to withdraw from the contract.

2. In the event of unforeseen events or subsequent impossibility the Ch.Batsch Verfahrenstechnik GmbH is entitled to withdraw from the contract partially ot completely.

X. Liability

1. Unless different agreements have been made, the Ch.Batsch Verfahrenstechnik GmbH shall be liable without limitation for intent and gross negligence of the Ch.Batsch Verfahrenstechnik GmbH, its legal representatives or 2. servants as well as for damages from injury of life, body or health, based on a breach of obligations and for which the Ch.Batsch Verfahrenstechnik GmbH, its legal representatives or servants are responsible.

2. The Ch.Batsch Verfahrenstechnik GmbH shall be liable for other negligent breaches of substantial contractual obligations, for whatever legal reason, according to the reason. The limitations on liability apply accordingly to the benefit of employees and persons commissioned by the Ch.Batsch Verfahrenstechnik GmbH. 3. In all other cases any liability is excluded. As for the rest, the settlements of the product liability law shall remain untouched.

XI. Legal Validity

1. In case of any uncertainties which arise due to errors in translation, the German version of this general terms and conditions is the legally binding one!

2. If any of the terms and conditions should be determined invalid by reason of the relevant laws then the remaining terms and conditions shall remain in full effect.

3. The English version of the General Terms and Conditions (translation) exclusively serves informational purposes; solely the German version of the General Terms and Conditions is legally binding!

XII. Place of Performance, Place of Jurisdiction and Applicable Law

1. The place of performance and place of jurisdiction for all disputes arising from this contract is Bonn, North Rhine-Westphalia, Germany. The Ch.Batsch Verfahrenstechnik GmbH reserves the right to file suit at the customer's general place of jurisdiction or to address any other court that has jurisdiction.

2. The application of UN commercial law (CISG)is impossible. The application of UN commercial law is specifically excluded also where its application is provided for in customer's business terms.

3. This contract including any future privity of contract is subject exclusively to the Law of the Federal Republic of Germany, excluding the UN Sales Convention.

4. The English version of the General Terms and Conditions (translation) exclusively serves informational purposes; solely the German version of the General Terms and Conditions is legally binding! Please ask for the German version of the General Terms and Conditions. Furthermore the German version of the General Terms and Conditions is available as AGB on
www.batsch-verfahrenstechnik.de!