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TERMS AND CONDITIONS
These Terms and Conditions are part of the proposal and/or contract documents for any transaction between KILTER LLC DBA KILTER MECHANICAL and any construction, installation, or service customer (“Customer”) for or on whose behalf Kilter Mechanical agrees to perform work. These Terms and Conditions supersede and govern any other contracts or documents between the parties.
1. Scope of Work; Changes; Substitutions. Kilter Mechanical’s scope of work shall be as set forth in any Customer-approved bid, estimate, proposal, or “Description of Work” or as otherwise agreed in writing for the agreed-upon price. Kilter Mechanical may withdraw its offer to perform any scope of work at any time prior to receipt of notice of acceptance by the Customer and/or if it is not approved by a properly appointed officer of Kilter Mechanical. Customer has made the choice as to material, equipment, and specification(s) and agrees Kilter Mechanical has followed those instructions. If Customer rejects recommendation(s) from Kilter Mechanical regarding the proper work required, Customer accepts responsibility. Kilter Mechanical makes the material and equipment size and specification(s) determination based upon information provided by Customer to Kilter Mechanical and not by Kilter Mechanical’s independent evaluation. Unless otherwise set forth herein, Kilter Mechanical reserves the right to make substitutions of equal materials or equipment without prior approval of Customer. Any and all changes to the work, set-offs, deductions, or other changes to the work must be agreed to in writing by Kilter Mechanical to become enforceable. Failure to make full payment for changes in the scope shall be cause for termination by Kilter Mechanical.
2. Price. Prices quoted by Kilter Mechanical are good for 30 days only. If written notice of the Customer’s acceptance is not received by Kilter Mechanical within 30 days, Kilter Mechanical bid, estimate, proposal, or “Description of Work” is subject to change upon Kilter Mechanical’s discretion.
3. Payment. Customer shall pay upon receipt all invoices for work performed by Kilter Mechanical. Final payment in full is due from Customer upon completion of the work in all cases. Kilter Mechanical shall have the right to demand payment “cash on delivery” or a deposit, in such cases as order, shipment, and delivery of equipment may warrant. If Customer fails to make full payment upon completion of the work by Kilter Mechanical, Customer shall pay a late charge on any outstanding balance at 2% per month and shall pay Kilter Mechanical’s costs for collection of unpaid balances, including without limitation reasonable attorneys’ fees, court costs, and interest at the maximum legal rate.
Customer’s, failure to pay in full for any work shall be treated as Customer’s material breach and allow Kilter Mechanical to cease work on this or any other work for Customer without liability. In the event of nonpayment, Kilter Mechanical may, without prior notice, remove all workmen and stored material or equipment from the project site. Customer’s payment for work furnished, lost profit, and costs of handling shall be due immediately upon invoice by Kilter Mechanical without liability to replace any equipment. Kilter Mechanical reserves all other rights, in law or in equity, including mechanics’ lien rights.
4. Personal Liability The Customer, by his/her signature on any bid, estimate, description of work, or other agreement with Kilter Mechanical, agrees to be PERSONALLY LIABLE for all monies due to Kilter Mechanical despite the existence of any corporate entity or other potential limitation; and Customer agrees that any affiliate now or hereafter existing shall be liable jointly and severally with Customer for any and all amounts due under this Agreement.
5. Title to Equipment and Security Agreement. Title to all equipment and materials provided by Kilter Mechanical under this Agreement shall not pass to Customer until payment in full has been unconditionally paid to and received by Kilter Mechanical. Kilter Mechanical shall have a security interest in the equipment, parts, and materials installed for customers until payment in full is received by Kilter Mechanical and Customer acknowledges this security interest by signing the contract documents. This secured interest shall apply for all purposes, including any bankruptcy or against any person claiming any interest in or to the goods or equipment. In the event of nonpayment, Customer also grants Kilter Mechanical an unhindered right of entry onto the premises at which the work is being performed to remove all materials or supplies or equipment placed by Kilter Mechanical. It is hereby agreed that a posted notice, a form UCC-1, or other public filing may be made as evidence of a security interest in the equipment and/or retention of title to the equipment by Kilter Mechanical until paid in full.
6. Insurance. Kilter Mechanical maintains general liability insurance to cover personal injury or damage to tangible property in an amount of not less than $50,000. A certificate of liability insurance can be provided upon request.
7. Access to the Property. Customer must provide Kilter Mechanical a right of unhindered and adequate entry into the property, including storage rooms, attics or other locations where the work is to be performed during usual business hours and within the usual scheduling of Kilter Mechanical. Unless specified in the scope of work, Kilter Mechanical’s price does not include the cost of widening or repairing entry point or openings, which if required, Customer will pay as a change to the price.
8. Termination. Kilter Mechanical shall have the right to terminate this Agreement for cause; cause shall include, but not be limited to, nonpayment or any other breach of these Terms and Conditions. In the event of termination of the Agreement, Kilter Mechanical shall be entitled to the value of all services provided or incurred, including but not limited to design, installation, handling charges, and administrative and collection costs and expenses. In the event that a breach is due to nonpayment by Customer or other cause not entirely caused by the acts or omissions by Kilter Mechanical, Kilter Mechanical shall also be entitled to its lost profit for the project.
9. Site Conditions. All Kilter Mechanical proposals, estimates, or the like presume the existence of suitable conditions for the placement of all equipment, goods, and work required to be installed by Kilter Mechanical and the existence of conditions as per plans. Any variances in the conditions may require additional payment to be made by the Customer as shall be determined by Kilter Mechanical based upon the conditions encountered and actual and administrative costs incurred. This includes delays or changes in the scope of work caused by Customer, property owner, or other contractors working on site.
10. No Consequential Damages or Damages for Delays. In no event shall Kilter Mechanical be responsible for any damages related to delay, including but not limited to delay due to unavailability of equipment, materials, or labor or for any circumstances beyond Kilter Mechanical’s direct control. Circumstances beyond Kilter Mechanical’s direct control include, without limitation, pandemic or disease, measures taken by any governmental authority, work stoppage, or weather phenomena. Similarly, Kilter Mechanical shall not be liable under any circumstances for any incidental or consequential damages or loss suffered by Customer or any other persons as a result of its performance or failure to perform under this Agreement or otherwise, including without limitation damages for loss of time, loss of use, income, profit, financing, or reputation. Customer’s sole remedies are those described in paragraph 12, below.
11. Manufacturer’s Warranty. All materials, parts, and equipment are not warranted by Kilter Mechanical and are only warranted by the manufacturers or suppliers as provided for by manufacturers or suppliers in writing.
12. Exclusive 1-Year Labor Warranty. IT IS THE MUTUAL INTENT OF KILTER MECHANICAL AND CUSTOMER THAT THE EXCLUSIVE WARRANY SET FORTH BELOW IS GIVEN BY KILTER MECHANICAL IN LIEU OF: (A) ALL OTHER EXPRESS OR IMPLIED WARRANTIES AND REMEDIES, INCLUDING, WITHOUT LIMITATION, THE IMPLIED WARRANTIES OF HABITABILITY, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, AND WORKMANLIKE CONSTRUCTION, WHICH ARE HEREBY DISCLAIMED: AND (B) ALL OTHER CONTRACTUAL, EQUITABLE, OR TORT-BASED CAUSES OF ACTION OR REMEDIES WHATSOEVER RELATING TO KILTER MECHANICAL’S WORK, IT BEING THE EXPRESS INTENT OF THE PARTIES THAT THE CUSTOMER’S SOLE REMEDY WITH RESPECT TO KILTER MECHANICAL’S WORK IS THE EXCLUSIVE WARRANTY.
Kilter Mechanical expressly warrants the labor performed by Kilter Mechanical (the “Exclusive Warranty”) for 1 year or as otherwise indicated in writing (the “Warranty Period”), provided however, that Customer must give written notice of any alleged deficiency promptly upon discovery of the same and allow Kilter Mechanical a reasonable period of time within which to investigate and perform any repair and/or replacement. A failure to give Kilter Mechanical prompt written notice shall waive Customer’s right to require repair or replacement or make any claim against Kilter Mechanical based upon Kilter Mechanical’s work. Further, the Exclusive Warranty shall not transfer to subsequent property owners other than Customer. The Warranty Period begins at the time of completion of the work, provided that the Exclusive Warranty shall not apply unless and until Kilter Mechanical has been paid in full.
Unauthorized repairs or attempted repairs shall void the Exclusive Warranty entirely. Kilter Mechanical shall not be liable during or following the Warranty Period for any: (a) damage due to ordinary wear and tear or abusive use, which shall include improper pet or pest control, failure to maintain and replace air filters, failure to clean condensate lines, and/or failure to twice yearly perform system tune-ups; (b) damage due to use of the equipment beyond the design temperatures or recommended settings, as communicated by Kilter Mechanical and/or in applicable manufacturer notices, guides, literature, or other documents concerning products or equipment installed; (c) defects that are the result of characteristics common to the equipment or materials used; (d) loss, injury, or damages caused in any way by the weather elements; (e) conditions resulting from condensation on, or expansion or contraction of, any materials; (f) loss, injury, or damages caused in any way by existing structural deficiencies of the project site and/or components of the project site upon which Kilter Mechanical performed no work; (g) changes in odors, noise, or other subjective conditions resulting from Kilter Mechanical work; (h) damages to drywall, trim, flooring, or paint incidental to the performance of Kilter Mechanical’s work or access to the work area(s).
13. Claims Deadline. If Customer contends Kilter Mechanical has not fulfilled its obligations under the Exclusive Warranty, Customer, may, as its exclusive option, make a demand for mediation and file a lawsuit venued in Maricopa County, Arizona as provided in paragraph 14 below, within 18 months after completion of Kilter Mechanical’s work. The parties agree and understand that the requirements stated herein are intended to reduce or modify statutes of repose or limitation and agree that the terms stated herein will govern their agreement to the exclusion of such statutes. Customer waives all claims and causes of action not commenced by the timely filing of a lawsuit as set forth above within this 18-month period. The 18-month period within which the Customer has to file all claims or causes of action shall not be extended by any corrective work performed by or on behalf of Customer or for any other reason unless Kilter Mechanical expressly agrees so in writing.
14. Dispute Resolution. The parties will attempt to resolve any dispute arising out of or relating to these Terms and Conditions and/or the parties’ respective performances by friendly negotiations. Should resolution not be reached, the parties shall then submit any disputes to nonbinding mediation in Maricopa County, Arizona. If mediation is not successful, remaining disputes shall exclusively be resolved by litigation in Maricopa County Superior Court.