By accepting a NAECO PO, the supplier acknowledges and agrees to the following:

    1. Whether NAECO supplied or Vendor supplied, lot numbers must be referenced on the shipment documents (packing slip/invoice/certs). Do not mix lot numbers.
    2. Provide a Certificate of Conformance and/or test reports per customer requirements with each lot shipped. If parts are NAECO supplied, then please return product in its original packaging, i.e. trays, jars etc., unless otherwise notified.
    3. Prior to the change, NAECO must be notified and approve any changes to the manufacturing process or manufacturing location.
    4. Prior to shipment, NAECO must be notified of any deviation to specifications prior to shipment.
    5. NAECO and its customers reserve the opportunity to reasonable access of supplier facilities at an agreed upon time.
    6. Manufacturing and inspection records must be kept for a minimum of 10 years.
    7. Parts purchased must be free from foreign object debris (FOD).
    8. Any falsification of production records may be a US Federal offense.
    9. Outside Processing suppliers accept the liability of 3X the cost of the OSP charge for any parts/lots found to be out of tolerance per the print requirements.
    10. If parts are damaged, vendor is responsible for the full value of the damaged parts. All damaged parts must be returned to NAECO.
    11. If parts need to be stripped for any reason, NAECO must be contacted for prior written approval before making any changes in process or material that would prevent the purchased parts from meeting specified requirements. Product must conform to regulatory requirements.  The stripping process may cause pitting.
    12. If required on the drawing, all shipments must have color photographs of microstructures for each lot of contact material.
    13. By accepting this purchase order, the supplier agrees to not accept orders from NAECO’s customer for any direct business for the ordered or same design products.
    14. All parts containing silver or silver plating must be shipped in its original packaging with Silver Saver paper covering a minimum of 1/2 of the surface area of the container. Parts packaged with egg crates, cardboard or wood separators must have Silver Saver paper between each layer.
    15. NAECO reserves the right to seek actual and/or consequential damages for breach of any of the above contractual conditions, as well as injunctive relief as needed to remedy damages caused by breach of any of the above conditions.
    16. These terms shall be contractually binding and shall supersede those on any subsequent Order Acknowledgement, Order Confirmation or other contradicting terms requested from the supplier in performance of this order.
    17. The jurisdiction for any legal action is agreed to be Fayette County, Georgia, USA.

Additional Industry Purchasing Requirements

NAECO will communicate, as applicable, the following information to suppliers regarding the processes, products and services to be provided to NAECO, including the identification of relevant technical data (e.g. specifications, drawings, process requirements, work instructions, etc.

Additionally, NAECO will communicate, as necessary, the approval of:

  • Products and services,
  • Methods, process and equipment,
  • The release of products and services.

While NAECO does not perform any design function, NAECO will, as required by its customer, communicate to its vendor its requirements for:

  • Design and development control
  • Special requirements, critical to quality aspects, or key characteristics
  • Test, inspection and verification (including production process verification)
  • The use of statistical techniques for product evaluation

NAECO expects its suppliers to:

  • Implement/Maintain a Quality Management System (QMS).
  • Utilize customer-designated / Nadcap®
    approved sub-contractors, including process sources (e.g., special process, as applicable).
  • Ensure necessary precautions and processes to prevent the use of counterfeit parts.
  • Flow-down to external suppliers (sub-contractors) all applicable requirements
  • Provide test specimens for design approval, inspection/verification, investigation and/or auditing.
  • Retain documented information, including retention periods and disposition requirements.

NAECO expects that its vendors respective associates are aware of:

  • Their contribution to product/service conformance.
  • Their contribution to product safety, and
  • The importance of ethical behavior (i.e. complying with all product specifications, federal, state and local regulations and all industry standards).


Effective 1 January, 2021

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