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Agreement for Carriage of Bulk / Liquid General Cargo

This agreement is made on the date below mentioned between Felda Transport Services Sdn
Bhd (357718-K) a company incorporated in Malaysia having its registered office at Tingkat
2, Balai Felda, Jalan Gurney Satu, 54000 Kuala Lumpur (hereinafter referred to as “FTSSB”)
on the one part and the person whose name and address are mentioned under Part I of the
First Schedule (hereinafter referred to as the “Logistic Supplier”) on the second part.


1.0 FTSSB is in the transportation & haulage business in tanker for bulk/ liquid
Cargo, general cargo including livestock’s in Malaysia and is a member of the Felda
Group of Companies (hereinafter referred to as “Felda Group”) and apart from
carrying various goods for the Felda Group, but also contracted to carry various
goods for third party customers and FTSSB is desirous of contracting out part of such
carriage business by appointing independent person or registered business who has its
own vehicle to be the Logistic Supplier.

1.1 The Logistic Supplier has its own business or commercial vehicle registered
under its own name or as beneficial owner and in case of any truck under
financing the beneficial interest and has the right to carry the goods for
FTSSB for a given rate and is desirous to register with FTSSB as a logistic
supplier. The detail of the vehicle for the carriage business to be registered
with FTSSB is stated under part II of the First Schedule.

The Logistic Supplier agrees as follows:-

2.0 That it will register each and every vehicle intended for such carriage with FTSSB
and each vehicle is subject to inspection & approval by FTSSB before commencing
of carriage of the goods assigned.

2.2 That its vehicle and its company is covered under a valid goods-in-transit (“GIT”)
policy with reputable insurance company accepted & approved by FTSSB, the details
of which are stated under Part IV of the first schedule.

2.3 That it agree to register with FTSSB its qualified driver, co-driver or substituted
driver who must has a valit and unexpired driving licence of the required class of
licence, the details of the first driver is listed under Part V of the First schedule and
that this driver canoot be registered or drive any other carriage for other goods for
other company than solely for FTSSB. FTSSB retain the righ to the register or reject
any of the Logistic Supplier’s drivers without assigning any reason whatsoever. The
Logistic Supplier undertake to inform and register any replacement driver with
FTSSB for its approval.

2.4 That it has covered its driver or any substituted drivers under an employee injury
scheme either by way of SOCSO or Workmen Compensation Insurance, the detail of
which is stated under Part VI of the First Schedule. If the Logistic Supplier is a sole
proprietor and driving the said registered vehicle with FTSSB by himself, the same
details apply.
Both parties agree as follows:-

3.0 This agreement shall be valit for period commencing from the date and valid
till the automatic expiry date as stated in Part VII of the First schedule.

3.1 The Logistic Supplier agree & confirm that the type of vehicle
provide & registered with FTSSB is fit, appropriate & fitted with
proper carriage for the type of good it has contracted to carry as
ststed in part I of the second schedule.

3.2 The Logistic Supplier agree & confirm that vehicle prvide is clean
before & after each delivery and if at any time / trip the cargo is
found to be dirty or contaminated by FTSSB or its customer, which
may or may not result in any official claim, the Logistic
Provider/Supplier agree to be liable and to indemnify FTSSB for any
damage & losses not limiting to the of cost goods/cargo
contaminated or destroyed, but also legal cost to defend or institute
any claims.

3.3 The Logistic Provider will pay a Deposit (hereinafter called the
Security Deposit) to FTSSB of an amount as stated in Part II of the
second schedule depending on the types of carriage & types of goods
carried or the vehicle capacity. This deposit may be paid up front by
cash or by way of month deduction of 10% (of the Security Deposit
Amount) from fee, revenue earned/ billed.

3.4 All the registered vehicles belong to the Logistic Supplier must go
through in inspection (and held for reasonable period) at FTSSB
depot at a non-refundable inspection service fee of RM 25.00 per
inspection every six (6) month or at shorter intervel if FTSSB or its
authorised representative suspect or feel any registered vehicle is
unsafe, unclean, or the Logistic Supplier and/ or its driver has
violated or did not fulfil or may be in breach of any of the term &
conditions of this Agreement.

3.5 For each day or each trip the Logistic Supplier will ensure that its
driver first approach respective FTSSB depot and obtain from its
officer, a proper & relevant Delivery Order to load respective goods
from FTSSB supplier with accurate customer/ consignee name &
destination and the driver must return the said executed Delivery
Order Chopped & signed by the correct and proper
customer/recipient and return the document , manifest & weighting
tickets and other relevant document to FTSSB depot before the next
D/O is being issued. FTSSB retain the rights to retain or refuse to
issue the D/O for the next delivery if this condition is not met.

3.6 If the Logistic Provider or its driver, having collected the respective
Delivery Order fails to collect/ load the respective cargo or having
collected the cargo and fail to deliver and unload the said cargo to the
respective customer in time within the expected or stipulated time
frame, the said Delivery Order and/or the cargo must be returned to
the respective FTSSB depot and the Logistic Supplier is liable to
penalty charge of 20% which shall be deducted from the following
D/O and reflected in the monthly payment of haulage charges as
imposed by FTSSB.
3.7 The Logistic Supplier and/or its driver is responsible to provide a
proper professional delivery/ carriage business to ensure that the
goods collected is checked for its quality, quantity, contents,
condition, weight, measurement, and to deliver the same to the
respective customer/ consignee and acknowledge & receipt by them.

3.8 Once the good loaded onto the Logistic Suppliers Lorry, truck,
tranker or vehicle, it is the responsibilities of the Logistic Supplier
and/or the driver as the custodian of the said goods to deliver the
same to the designated destination, place &location of the customer/
consignee in good order and condition without any spillage, shortage
either in quatity, measurement, weight, quality, condition etc and the
Logistic Suppliermis liable to make good any discrepancies and
defects to the said goods for any damage & losses FTSSB and/or its
suppliers & customers may suffer.

3.9 Missing goods on transit whether by hijacking, pilferage or stolen

will be borne by the Logistic Supplier can be subject to the

i) Suspend from further delivery service.

ii) Prohibit the Logistic Supplier to carry any of the FTSSB
group ‘s other cargo.
iii) Black list the Logistic Supplier’s driver.
iv) Request for Bank Guarantee with the value up to the market
value of goods to be carried before reinstatement.

3.10 Logistic Supplier and/ or driver collectively agree that they are
responsible & liable to pay at their own costs & expense any fine,
compound, penalty, levy, charges including any jail term that may be
imposed by any court for any non-observancec, violation,
contravention, of any offence, bye laws, regulation and laws that are
applicable at any point of time or that may be introduced,
implemented or gazetted from time to time by the government, semi-
government, licencing & transportation agency or JPJ.

3.11 FTSSB and its Suppliers, customers, each customers, each has its
own sets of rules, regulation for their respective Depots, warehouse,
site or the like governing the loading, unloading for bulk/ liquid
and/or general cargoes and for security/ safety, traffic, parking, entry
& exit procedures and identification which all Supplier, Supplier
agent, lorry, truck, and haulage operators/ providers and their drivers,
co-drivers and attendants must observe and follow. The Logistic
Supplier and/or its driver hereby agree and confirm that any non-
observance of these rules etc, as aforesaid will constitute a breach of
the terms of this Agreement and FTSSB is at liberty to pre-detemine
this Agreement by serving to the Logistic Supplier shall have no
claim whatsoever against FTSSB and/or its supplier & customers as a
result of such determination of this Agreement.

3.12 Should there by any breakdown to vehicle during transit, rescue

service may be obtained by officially applying to the nearest FTSSB
depot and all cost incurred shall be borne by the Logistic Supplier
and this will not exonerate the Logistic Supplier from any liability
towards the goods in their custody, care & responsibilities.