RIX Industries Flow Downs

5/23/2023

Description:

COUNTERFEIT PARTS DETECTION AND AVOIDANCE SYSTEM REQUIREMENTS

Clause:

Seller shall not furnish Counterfeit Parts, which are defined as unauthorized copies,imitation, substitute or modified parts (e.g. materials, parts, components,subassemblies) which are misrepresented as a specified genuine part(s) of an originalor authorized manufacturer. Counterfeit Parts can include, but are not limited to, thefalse identification of marking or labeling, grade, serial number, lot number, date code,documentation or performance characteristics, including used parts represented asnew. Counterfeit and Suspect Counterfeit Parts shall be deemed nonconforming to thisContract. A Suspect Counterfeit Part is a part for which there is objective and credibleevidence indicating that it is likely counterfeit.Seller shall plan, implement and control processes appropriate to the organization andthe products for the prevention of Counterfeit or Suspect Counterfeit Part use and theirinclusion in Goods. Seller’s Counterfeit Parts prevention processes shall address thefollowing:(i) Training of appropriate persons in the awareness and prevention of CounterfeitParts;(ii) Application of a parts obsolescence monitoring program;(iii) Controls for acquiring externally provided product from original or authorizedmanufacturers, authorized distributors, or other approved sources;(iv) Requirements for assuring traceability of parts and components to their originalor authorized.(v) Verification and test methodologies to detect counterfeit parts;(vi) Monitoring of counterfeit parts reporting from external sources;(vii) Quarantine and reporting of suspect or detected counterfeit parts, includingpreventing reentry into the supply chain.If Seller provides Electronic, Electrical or Electromechanical (EEE) parts or assembliescontaining EEE parts, Seller shall implement a counterfeit electronic parts detection andavoidance system compliant with the requirements of SAE standard AS5553 (revisionas of the effective date of this Contract).If Seller becomes aware or suspects that it has furnished Counterfeit or SuspectCounterfeit Parts to Buyer, Seller promptly, but in no case later than thirty (30) daysfrom discovery, shall notify Buyer and replace, at Seller’s expense, such CounterfeitParts or Suspect Counterfeit Parts with Goods that conform to the requirements of thisContract. For confirmed Counterfeit Parts or Suspect Counterfeit Parts, GIDEPnotification shall also be made no later than sixty (60) days after discovery. Seller shallbe liable for all costs related to the delivery or replacement of Counterfeit Parts orSuspect Counterfeit Parts including any testing or validation costs necessitated by theinstallation of Goods in replacement of Counterfeit Parts or Suspect Counterfeit Parts.Seller bears responsibility for procuring authentic parts or items from its subcontractorsand shall ensure that all such subcontractors comply with the requirements of thisArticle. Seller shall include the substance of this Article, including this flowdownrequirement, in all subcontracts awarded by Seller for work under this Contract.