No. 2. Research and Development-With Retention of Rights to the Government

Quotation

REQUEST FOR QUOTATION

INVITATION NO-43,45 Request for Quotation

in quadruplicate, subject to (1) the Terms and Conditions of the

panying Schedule, (3) General Provisions

see below

(2) the accom

and (4) such other contract provisions and specifications as are attached or incorporated by reference in

the Schedule, will be received at the above office

for furnishing the supplies or services described in the accompanying Schedule, for delivery f. o. b see attached pages attached hereto General information and instructions to

are contained in the terms and conditions

PAYMENT: Invoices and any required supplementing statements of certificates, each showing the contract number, are to be submitted by the Contractor to the cognizant Field Office of the Auditor General, U. S. Air Force, with as many copies thereof as are required by that office, for review and the preparation and certification of public vouchers, whereupon the public vouchers will be forwarded to the Coast Guard Testing and Development Division, U. S. Coast Guard Headquarters, Washington 25, D. C. for further review and certification as to receipt and acceptance, and thereafter will be forwarded to ACCOUNTING DIVISION, U S. COAST GUARD HEADQUARTERS, 6-9, WASHINGTON 25, D. C., for payment.

QUOTATION

calendar days

In compliance with the above, the undersigned offers and agrees, if this Bid be accepted within (60 calendar days unless a different period be inserted by the bidder) from the date of opening, to furnish any or all of the items upon which prices are quoted, at the price set opposite each item, delivered at the designated point(s) within the time specified in the Schedule. Discounts will be allowed for prompt payment as follows:

BIDDER REPRESENTS: (Check appropriate boxes)

percent, 30 calendar days.

(1) That he is, is not, a small business concern. (See definition on reverse hereof.) If bidder is a small business concern and is not the manufacturer of the supplies bid upon, he also represents that all supplies to be furnished hereunder will, will not, be manufactured or produced by a small business concern in the United States, its Territories, its possessions, or the Commonwealth of Puerto Rico.

(2) That he is a regular dealer in, manufacturer of, the supplies bid upon.

(8) (a) That he has, has not, employed or retained any company or person (other than a full-time bona fide employee working solely for the bidder) to solicit or secure this contract, and (b) that he has, has not, paid or agreed to pay any company or person (other than a full-time bona fide employee working solely for the bidder) any fee, commission, percentage or brokerage fee, contingent upon or resulting from the award of this contract; and agrees to furnish information relating to (a) and (b) above as requested by the Contracting Officer. (For interpretation of the representation, including the term "bona fide employee," see Code of Federal Regulations, Tille 44, Part 150.) (4) He operates as an individual, partnership, corporation, incorporated in the State of NAME AND ADDRESS OF BIDDER (Street, city, sone, and State. Type or SIGNATURE OF PERSON AUTHORIZED TO SIGN BID print)

Award will be made on this Form, or on Standard Form 26, or by other official written notice.

tract will be free from any defects in material or workmanship and will conform to the requirements of this contract. Notice of any such defect or nonconformance shall be given by the Government to the Contractor within one year of the delivery of the defective or nonconforming article. If required by the Government within a reasonable time after such notice, the Contractor shall with all possible speed correct or replace the defective or nonconforming article or part thereof. When such correction or replacement requires transportation of the article or part thereof, shipping costs, not exceeding usual charges, from the delivery point to the Contractor's plant and return, shall be borne by the Contractor; the Government shall bear all other shipping costs. This guaranty shall then continue as to corrected or replacing articles or, if only parts of such articles are corrected or replaced, to such corrected or replacing parts, until one year after date of redelivery. If the Government does not require correction or replacement of a defective or nonconforming article, the Contractor, if required by the Contracting Officer within a reasonable time after the notice of defect or nonconformance, shall repay such portion of the contract price of the article as is equitable in the circumstances.

23. PATENT INDEMNITY

The Contractor agrees to indemnify the Government and its officers, agents and employees against liability, including costs and expenses, for infringement upon any Letters Patent of the United States (except Letters Patent issued upon an application which is now or may hereafter be, for reasons of national security, ordered by the Government to be kept secret or otherwise withheld from issue) arising out of the performance of this contract or out of the use or disposal by or for the account of the Government of supplies furnished or construction work performed hereunder. The foregoing indemnity shall not apply unless the Contractor shall have been informed as soon as practicable by the Government of the suit or action alleging such infringement, and shall have been given an opportunity to present recommendations as to the defense thereof; and further, such indemnity shall not apply in any one of the following situations: (i) any infringement resulting from the addition to any such supplies of other supplies not furnished by the Contractor for the purpose of such addition; (ii) any settlement of a claim of infringement made without the consent of the Contractor, unless required by final decree of a court of competent jurisdiction; (iii) any claim of infringement arising from use or disposal outside the scope of any license limitation prior to first delivery under this contract; (iv) any infringement necessarily resulting from changes (other than the substitution of another standard commercial part or component manufactured or supplied by the Contractor) ordered pursuant to this contract, or from specific written instructions given by the Contracting Officer directing a manner of performing the contract not normally utilized by the Contractor.

24. REPORTING OF ROYALTIES

If this contract is in an amount which exceeds $50,000 the Contractor agrees to report in writing to the Contracting Officer, during the performance of this contract and prior to its completion or final settlement, the amount of any royalties or royalty rates paid or to

be paid by a ciretag so others in connection with the performance of Vila VAZIMA, vogether with the names and addresses of in ensors to Wii & Wh payinen ta are trade and either the patent numbers involved of win one information as will permit indentification of the patents of die SAZAR on which royalties are to be paid. Where the Contractor's compliance with the foregoing reporting requirement is found by the Contracting Officer to be impracticable because of the size of the Contractor's business or because of the nature of its accounting procedures, the Contractor may furnish one or more reports, based on ita established accounting periods and covering the entire contract period, of royalties in excess of $1,000 (if computed on an annual basis, paid or to be paid to each licensor on the Contractor's over-all business. together with such other information as will permit identification of the patents or other basis on which royalties are to be paid, in which event the Contractor shall furnish the Contracting Officer. upon his request and at Government expense, an allocation of such royalty payments to Government business or to the work or supplies covered by this contract; reference to any such periodic royalty reports, previously furnished to any Government agency and covering the period of performance of this contract, shall constitute compliance with the reporting requirement of this clause.

25. DISCOUNTS

Paragraph 7(a) of the Terms and Conditions of the Invitation for Bids (SF 33) is inapplicable and the following paragraph is substituted therefor:

"Prompt payment discounts will be evaluated only on the basis of payment within twenty (20) days. No discount offered for payment within less than twenty (20) days will be considered in evaluating bids for award. Bids offering discounts for payment within periods in excess of twenty (20) days will be evaluated for purposes of award as though they are discounts offered for payment within twenty (20) days. The offered discount of a successful bidder will form a part of the Award whether or not such discount was included in the evaluation of his bid, and such discount will be taken if payment is made within the discount period."

26. LATE BIDS

Paragraph 4 of the Terms and Conditions of the Invitation for Bids is amended by the addition of the following sentence: "However, any such mailed bid or modification to be considered must bear a postmark, placed thereon by a Post Office, indicating the date and place of posting."

27. LIQUIDATED DAMAGES

If this contract provides for the assessment of liquidated damages for delay in delivery, paragraph (f) of Section 11 of these General Provisions, entitled "Default," is automatically deleted and the following two paragraphs, () and (g), are effective and govern the conditions under which the liquidated damages will be assessed:

"() Subject to the provisions of paragraph (b) above, if the Contractor fails to deliver the supplies or perform the services within the time specified in this contract, or any extension thereof,

the actual damage to the Government for the delay will be impossible to determine, and therefore in lieu thereof the Contractor shall pay to the Government as fixed, agreed, and liquidated damages for each calendar day of delay the amount set forth elsewhere in this contract; Provided, That the Government may terminate this contract in whole or in part as provided in paragraph (a) of this clause, and in that event the Contractor shall be liable, in addition to the excess costs provided in paragraph (c) above, for liquidated damages accruing until such time as the Government may reasonably provide for the procurement of similar supplies or services.

"(g) The rights and remedies of the Government provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law or under this contract."

28. DELIVERY TERMS

1. If this contract provides for delivery "F.O.B. Destination," the following contract provision is applicable:

TERMS OF DELIVERY

The term "F.O.B. Destination," to which this contract is subject

means:

(a) On board conveyance of carrier, free of expense to the Government, to the city specified, in which the consignee's plant, store, warehouse, or other facility to which shipment will be made is located, and at which the principal transportation service (as distinguished from switching, local drayage, unloading, handling, or other service at destination, not borne by the delivering carrier) ends. If the consignee's plant, store, warehouse, or other facility to which shipment will be made is not located within the limits of a city as herein defined, the principal transportation service shall be understood to end at the carrier's nearest agency or nonagency station to which shipments are usually billed by the carrier. "Limits of a city" shall be understood to mean the free switching limits or free delivery limits of the city or municipality of destination as defined in the applicable freight tariff, or, if there is no applicable freight tariff with such definition, the commercial zone area as prescribed by the Interstate Commerce Commission pursuant to sections 202 (c) and 203(b)(8) of the Interstate Commerce Act, as amended (49 U.S.C. 302 (c) and 303(b) (8)), or, in the absence of such prescribed zone areas, the corporate limits or geographic limits of the local Government entity, as determined by law or local custom. This term will include delivery to the consignee's plant, etc., to the extent that the applicable rate for the principal transportation service, as above described, includes such delivery. (b) That it shall be the responsibility of the Contractor to do the following:

(1) Pack and mark in such manner as to afford adequate protection against normal transportation hazards and secure prompt delivery to the consignee, and comply with all packing and marking specifications of the contract;

(2) Properly prepare and distribute commercial bills of lading; (3) Pay and bear all transportation charges including accessorial charges to on board conveyance of carrier at named destina