AGREEMENT OF AUTHORISATION AND CESSION OF PAYMENT

PROJECT NAME: ……………………………………………………………………………………………………………………………..

CLIENT: ………………………………………………………………………………………………………………………………………………..

CONTRACT NAME: ………………………………………………………………………………………………………………………………

CONTRACT NO: …………………………………………………………………………………………………………………………….

CESSION

MEMORANDUM OF AGREEMENT MADE AND ENTERED INTO BY AND BETWEEN

……………………………………………………………………………………………………………………………………………………………….

Herein represented by ……………………………………………………………………………………………… in his / her

Capacity as ………………………………………and duly authorised thereto of the one part ( Hereinafter to as the CEDENT ).

AND

………………………………………………………………………………………………………………………………………………………………

Herein represented by ………………………………………………… and duly authorised thereto of the one part

( Hereinafter to as the CESSIONARY)

Whereas in terms of the above contract number……………………………………………………………………entered into between the CEDENT and ELUNDINI LOCAL MUNICIPALITY ( “THE CLIENT”) the CEDENT is obliged to deliver and supply to the CLIENT as per the scope of the CONTRACT.

And whereas the CEDENT requires the services and expertise to be supplied by the CESSIONARY, and the CESSIONARY is prepared to supply such services, expertise to the CEDENT on condition that the CEDENT cedes its claim to payment in terms of the CONTRACT in respect of the supply and delivery of services and expertise to the CESSIONARY and to the value of ……………………………….

………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………in words.

And wheras the CLIENT, in terms of the Clause & of Colto general conditions of the Roads and Bridges Works (1998) , is prepared to consent to such cession on the following conditions :

a) Irrespective of the date of signing of the cession, the cession will become operative on the date on which ……………………………………………………. CONSULTING ENGINEERS lends his/ her approval thereto:

b) The CLIENT will not be liable for any payment to the CESSIONARY in terms of this cession unless both the CEDENT and the CESSIONARY advise the CLIENT in writing of the amount payable to the CESSIONARY, and supply such invoices and documents and information to enable the ENGINEER to issue a certificate of payment , provided that :

1) The CLIENT can suspend payment to the CESSIONARY until such time as the aforementioned conditions have been complied with, or until any dispute between the CEDENT and the CESSIONARY relating to such payment is resolved.

2) The CLIENT’S liability in terms of this cession will be limited to the amount certified by the ENGINEER.

3) The CLIENT’S liability in terms hereof will be subject to the relevant provisions of the agreement.

4) The CEDENT hereby indemnifies the Elundini Local Municipality, Eastern Cape Province against any claim the CEDENT has or may have against the Elundini Local Municipality, Eastern Cape Province to the CESSIONARY. The CEDENT undertakes not to change any terms and / or conditions of this Agreement without prior written agreement of the CESSIONARY.

Thus done and signed at MACLEAR on this ………………….day of ……………………………………. 2016 by the CEDENT in the presence of the undersigned witnesses :

WITNESS: 1) ……………………………………………………..

2) …………………………………………………….

Print Name ……………………………………………………………… Signature ………………………………………………………..

CEDENT

Thus done and signed at MACLEAR on this ……………….day of ………………………………………2016 by the CESSIONARY in the presence of the undersigned witnesses:

WITNESSES: 1) ………………………………………………………

2)……………………………………………………..

Print Name………………………………………………………………Signature…………………………………………………………..

CESSIONARY

Thus done and signed at MACLEAR on this ………………….day of ……………………………………. 2016 by the CONSULTING ENGINEERING in the presence of the undersigned witnesses :

WITNESS: 1) ……………………………………………………..

2) …………………………………………………….

Print Name ……………………………………………………………… Signature ………………………………………………………..

CONSULTING ENGINEERS

Thus done and signed at MACLEAR on this ………………….day of ……………………………………. 2016 by the CLIENT in the presence of the undersigned witnesses :

WITNESS: 1) …………………………………………………….. Signature ………………………………………………………………

2) ……………………………………………………. Signature ……………………………………………………………..

Print Name ……………………………………………………………… Signature ………………………………………………………..

CLIENT