SPECIAL TERMS AND CONDITIONS FOR ISSUANCE OF ID/ SMART CARDS


1. Preamble
A. All Issuance of ID/Smart cards service related contracts placed through GeM shall be governed by the following set of Terms and Conditions:
                   I. General terms and conditions for Goods and Services.
                  II. Service STC contained in this document
                 III. BID / Reverse Auction specific ATC
B. The above terms and conditions are in reverse order of precedence i.e. ATC supersedes Service specific STC which supersede GTC, whenever there are any conflicting provisions. 

C. This document represents the Special Terms and Conditions (STC) and the Service Level Agreement (SLA) governing the contract between the Buyer and Service Provider. The purpose of this document is to outline the scope of work, stakeholders’obligations and terms and conditions of all services covered as mutually understood by the stakeholders.


2. Objectives and Goal
The objective of this document is to ensure that all the special terms and conditions are in place to ensure consistent delivery of services to the buyer by the service provider. The goal of this document is to:
⦁ Provide clear reference to service ownership, accountability, roles and responsibilities of both parties
⦁ Present a clear, concise and measurable description of services offered to the buyer
⦁ Establish terms and conditions for all the involved stakeholders, it also includes the actions to be taken in case of failure to comply with conditions specified
⦁ To ensure that both the parties understand the consequences in case of termination of services due to any of the stated reasons
This document will act as a reference document that both the parties have understood the above-mentioned terms and conditions and have agreed to comply by the same. 


3. Stakeholders
The main stakeholders associated with this agreement are:
1. Buyer: The Buyer is responsible to provide clear instructions, approvals and timely payments for the services availed as per the contractual terms
2. Service Provider: The service provider is responsible to provide all the required services in timely manner. The service provider may also include seller, supplier/bidder/contractor, any authorized agents, permitted assignees, successors, and nominees as per the context and as described in the document
The responsibilities and obligations of the stakeholders have been outlined in this document. The document also encompasses payment terms and penalties in case of non-adherence to the defined terms and conditions. 

4. Service Scope
Service fulfilment involving digitization, printing, lamination, dispatch of various Govt IDs and documents – this will involve 3 working streams -  providing manpower, IT development, deployment of hardware etc
5. Terms and Conditions
5.1 Buyer’s Obligations
i. Buyer or his/her nominated representative shall act as the nodal point for implementation of the contract and for issuing necessary instructions, approvals, commissioning, acceptance certificates, payments etc. to the service provider
ii. Buyer shall ensure that timely approval is provided to the service provider as and when required, which may include approval of project plans, implementation methodology, design documents, specifications, or any other document necessary in fulfilment of this contract.
iii. Buyers’ representative shall interface with the service provider, to provide the required information, clarifications, and to resolve any issues as may arise during the execution of the Contract. Buyer shall provide adequate cooperation in providing details, coordinating and obtaining of approvals from various Govt.al agencies, in cases, where the intervention of the buyer is proper and necessary.

5.2 Service Provider’s Obligations
iv. The service provider will be solely responsible for arranging any software tools and hardware required for the purpose of printing of cards. 
v. Service provider shall ensure that the supplied finished cards should be of excellent quality such that they adhere to the test procedures as laid out in ISO.
vi. During the contract period, the service provider will ensure maintenance services, including warranty support, of hardware items procured by service provider at no additional cost to the buyer. The service provider shall be responsible for the payments arising out of any Third Party claims. Service provider may procure insurance for meeting such liabilities at his own expense.
vii. The service provider will have a mechanism to track the inventory of cards, no. of cards printed, issued, dispatched etc. along with the monitoring of SLA and calculation of penalties. The access of such information should be provided to the buyer, preferably in real-time through a software application. 

5.3 Standard Terms and Conditions
QUALITY OF SERVICES
i. The card printing quality should be equal to or better than the sample submitted by the service provider during bid response. In case the quality is not up to the mark, the service provider shall have to reprint the same without any additional charges.
ii. The errors in card printing not attributable to buyer shall be treated as an error and the service provider shall have to reprint the same without any additional charges. Any variation in printing of Data/Photo and other particulars shall be treated as errors and the service provider shall be solely responsible.
iii. In case of failure by the service provider to deliver the cards, within the period specified, not being of the stipulated quality and specifications or in the case of being delivered without a correct invoice induplicate, the buyer shall have the power to reject the cards and to purchase from others. Unless the service provider shall themselves provide with supply that shall be sufficient and satisfactory - any excess of cost so incurred over the contract price together with all charges and expenses attending the purchase shall be recoverable by the buyer from the service provider. 
iv. Without the buyer's express written approval, the service provider may not assign or sublet the contract or any portion of it or allow any person to become interested in it in any way. 
v. The service provider shall ensure the data flowing in and out of the office premises digitally shall be secured, using required data and network security components and applications, installed in all the firewalls, and desktop computers. 
vi. Any physical documents of the buyer, citizen or any other stake holder related to the project shall not be taken out of premises under any circumstances. 
vii. Upon buyers’ directions, all the software application used / developed / purchased etc. may be audited for security by Cert-In empanelled agency at the cost of service provider before deploying the software.

 MANPOWER DEPLOYMENT 
i. Independent Contractor - The relationship between Buyer and service provider under this agreement is that of principal to principal basis and neither party shall have the power or authority to bind or obligate the other party except as expressly set forth in this Agreement. Therefore, Service Provider nor the personnel of the Service Provider shall become the employee of the Buyer under this Agreement. The Buyer shall also not be liable to the service provider nor its personnel, beyond the scope and the fees as mentioned in the STC. For the sake of clarity, it is stated that Buyer shall not be responsible for any claim such as salary or allowances, bonus, compensation, damages or anything arising out of their employment/duty under this STC. The Service Provider shall make them known about this position in writing before deploying the personnel to the Buyer site. The Buyer shall in no way be responsible for the violation of any laws from the time being in force, either by the Service Provider or its employees.
ii. In an event that, for any reason, the manpower provided changes their contact number during the tenure of the contract then the service provider will immediately notify the buyer of the above change.
iii. The persons deployed by the service provider shall solely be the responsibility of the service provider and buyers shall have no obligation for any sort of claims raised by the service provider’s employees/personnel. For all intents and purposes, the service provider shall be the “Employer” within the meaning of different Labour Legislations in respect of manpower so employed and deployed in the buyer’s premises and shall be responsible to fulfil all obligations under applicable laws without any recourse to the buyer. 
iv. The service provider shall be liable for ensuring compliance with the provisions of all applicable laws including but not limited to Labour Law [Central/State] and specially Workmen Compensation Act, EPF Laws, ESI Laws, Income tax laws and Minimum Wages Laws, Contract Labour (Regulations Abolition Act), Pollution Control Board and any other relevant acts as may become applicable during the tenure of the contract. The onus of compliance to all the applicable Laws/Acts/Rules shall rest with the service provider only and the buyer will not be liable in any manner. 
v. The service provider shall also provide at its own cost all benefits- statutory or otherwise, to all its deployed personnel and the buyer shall not have any liability whatsoever on this account.
vi. If required by the buyer and wherever applicable, the service provider shall provide documentary proof for the qualifications and experience of the manpower deployed by them. The bio-data, qualification and experience of the said manpower should be certified by the service provider.
vii. The personnel being deployed shall ordinarily be continued and should not be changed without written intimation and consultation with the buyer. In case the manpower deputed by the service provider is found not suitable, the service provider shall replace such manpower without any additional cost to the buyer, if directed by the buyer. The service provider shall not deploy or shall discontinue deploying such person(s). 
viii. In an event that the service provider fails to deliver or fails to carry out tasks as per schedule due to the absence of personnel or any other reasons, the service provider at his own cost shall make an alternate arrangement by providing similar manpower for which agreement is entered into, without any extra charges. Failure to do so will evoke a penalty and the buyer shall have the right to recover damages as per the provisions of the contract.
ix. The service provider shall be personally responsible for any theft, misconduct and /or disobedience on the part of personnel deployed by them.
x. In case any loss is incurred by the buyer owing to the negligence or mishandling by the deployed personnel of the service provider, the service provider shall be responsible to make good the losses suffered by the buyer, subject to GTC provisions on limitation.
xi. Any damages caused by the service provider in existing facilities while carrying out the work shall be made good by the service provider to buyer’s entire satisfaction at their own risk and cost.
xii. The service provider shall provide prior information to the buyer and obtain necessary approvals, for any hazardous material being brought to the site and service provider shall ensure safe and secure storage and usage of such material.
In case of sub-contracting, 
i. The service provider shall ensure that the Sub-Contractor appointed is competent, professional and possesses the requisite qualifications and experience appropriate to the tasks they will perform.
ii. Where the buyer deems necessary, it shall have the right to require replacement of any sub-contractor with another service provider and the service provider shall in such case terminate forth with all agreements / contracts other arrangements with such service provider and find suitable replacement for such service provider to the satisfaction of the buyer at no additional charge.
iii. The service provider shall not terminate the contract / agreement with the sub-contractor(s) without prior written consent of the buyer. Further, in case the service provider terminates any contract/arrangement or agreement with a sub-contractor for any reason whatsoever, the service provider shall ensure the smooth continuation of services by providing forthwith, a suitable replacement which is acceptable to the buyer at no additional cost to the buyer.
iv. All the personnel proposed by the service provider except sub-contracting services should be necessarily be on the payroll of the service provider. The service provider shall be responsible and shall ensure the proper performance of the sub-contractors and shall be liable for any non-performance or breach by such service providers.

6. Payment Schedule
i. The Payment Procedure shall be in as specified in the General Terms and Conditions of GeM. 
ii. Payment schedule to be as per payment terms specified in bid document. 

Formula Used:
Total Value = A*B

where A= esitimated number of cards during cintract period(to be provided by buyer)

B=Rate per card

 


7. Penalties and Termination



S No.


Description


Penalty

(in %age of contract value)

1.      

Non-completion of any milestone as per timelines as laid out in contract

For every week’s delay, a penalty of 0.1% (x%) of total invoice.

2.      

Delay in printing and packaging

Within 1 day(24 hours) from the day of approval – x Rs per card

 

Delay beyond 1 day - 10 Rs per card

Delay beyond 2 days - 20 Rs per card

3.      

More than 3% of a batch's cards are discovered to be defective as per quality of the card.

A penalty of 1% proportionate to the invoice value for batch of cards inspected.

4.      

An error rate greater than2%, for example, any variation in printing of Data/Photo and other particulars shall be treated as errors.

A penalty of 1% proportionate to the invoice value for batch of cards considered.

5.      

If employee is found disclosing any confidential information document to the Service Provider/ any third parties

Cancellation of the contract with cancellation charges @ 1% of the order value along with recovery of losses caused (if any) and legal action against the Service Provider depending on the gravity of the act

6.      

If over 10% (x%) of cards/certificate supplied in any batch are found faulty or does not meet the quality setup by the Buyer.

Termination of contract

7.      

If cumulative penalties reach 10% of the contract value

Termination of contract