EDI Confirmation by Continental Suppliers
EDI Confirmation of a Delivery Schedule is not usually required by Continental if not otherwise agreed by Continental location and Supplier. This is referred to as ‘management by exception process’. With this any Delivery Schedule or call-off issued to Supplier within agreed capacities and flexibilities shall be legally binding for the Supplier upon receipt of the EDI transmission or other communications. Supplier understands and agrees that its confirmation of receipt is not necessary and that the Delivery Schedule or call-off shall be deemed confirmed by Supplier, except as set forth below.
In case the Delivery Schedule exceeds the agreed maximum capacity or the 20% (twenty) upward flexibility within the lead time, the Delivery Schedule shall be legally binding on the Supplier, unless a written objection is sent to and received by Continental within 2 (two) working days after receipt of the Delivery Schedule or call-off by the Supplier to which Supplier is objecting. If such objection is not so timely received by Continental, the Delivery Schedule or call-off shall be deemed confirmed by and legally binding on Supplier.
If Supplier’s objection is timely received by Continental, Supplier shall then be obligated to provide Continental a detailed recovery plan or action plan within 3 (three) working days after the receipt of the Delivery Schedule or Call-off to which Supplier is objecting. The provision of any plan or the acceptance of any plan by Continental does not release the Supplier from the obligation to initiate commercially reasonable measures to meet the upward flexibility demand. The obligation to comply with previously confirmed deliveries is also not affected by this.
Only if Supplier is not able to meet provisions of the Delivery Schedule or the forecast information they must clearly point out the exact deviations and reasons to Continental in writing. If delivery within the usual transit times is jeopardized, Supplier has to inform Continental without undue delay significantly prior of the requested delivery date. In case Supplier wants expressively to confirm Delivery Schedules, Supplier can send a delivery forecast message by EDI.