_ABC ASDF_QWERTY COMPANY_

Region VII, Central Visayas, Cebu

TRUCKING AND HANDLING SERVICES CONTRACT

FOR THE DELIVERY OF ___ RICE UNDER THE
DSWD SUPPLEMENTARY FEEDING PROGRAM

KNOW ALL MEN BY THESE PRESENTS:

This Contract made and entered into this ____day of AUGUST, 2013 at Cebu City, by and
between:

The _ABC ASDF_QWERTY COMPANY_ (___), a government agency duly organized and existing
by virtue of Presidential Decree No. 4 as amended by PD Nos. 1485 and 1770 with office and
postal address at Sugar Center Building, North Avenue, Diliman, Quezon City, Philippines,
represented herein by its Regional Director EFREN J. JUANDELACRUZ herein referred to as ___;

- and -

NORTHERN NEGROS CONSTRUCTION DEVELOPMENT with business address at North

Poblacion, La Libertad, Negros Oriental, Philippines, represented herein by its Proprietress,
JOCELYN S. JOSEDELACRUZ herein referred to as CONTRACTOR.

WITNESSETH:

WHEREAS, the ___ has rice stocks for delivery to different Municipalities of Negros
Oriental under the DSWD Supplementary Feeding Program;

WHEREAS, the ___ needs handling services to undertake the movements of rice stocks
for delivery under the DSWD Supplementary Feeding Program;

WHEREAS, the ___ invited bids for the SUPPLY OF TRUCKING AND HANDLING SERVICES
for 2013 DSWD SUPPLEMENTARY FEEDING PROGRAM for the Provinces of Cebu and Negros
Oriental, Region VII, and has accepted the bid of CONTRACTOR for the Province of Negros
Oriental in the amount of SIX HUNDRED NINETY SIX THOUSAND TWO HUNDRED ELEVEN
PESOS AND SIXTY EIGHT CENTAVOS (Php 696,211.68);

WHEREAS, the following documents shall be deemed to form and be read as part of this
Contract;

1. Bid Form and Price Schedule submitted by the winning bidder;

2. Schedule Requirements;
3. Technical Specifications;
4. General Conditions of the Contract;
5. Special Conditions of the Contract;
6. Notice of Award; and
7. Notice to Proceed.

NOW THEREFORE, for and in consideration of the foregoing premises and the
terms and conditions herein set forth, the parties have hereto agreed, as they hereto
agree as follows:

I. DUTIES AND RESPONSIBILITIES OF ___

A. TRUCKING SERVICES
1. The ___ shall issue the Notice to Proceed for the delivery of ___ stocks to
specified routes. This Contract shall be for the trucking and handling of a
maximum of 8,728.80 bags, as bidded and awarded, which volume may be
reduced by ___ according to the actual operational needs of ___ Negros Oriental.

2. ___ Negros Oriental shall provide and determine the assignments and dispatch of
trucks according to their operational requirements.

3. ___ Negros Oriental shall issue to the drivers or their authorized representatives
a Warehouse Stock Issue (WSI) to cover the issuance of DSWD-SFP rice stocks for
delivery to determined / identified LGUs / drop off points.

4. ___ shall, at all times, allow the drivers or their authorized representatives to
witness the actual weighing of stocks so as to verify the veracity of the entries
being made in the documents prior to the affixing of their signatures thereon.

5. ___ shall ensure that the cargoes are properly secured prior to
deployment/transfer and may provide escort/s for this purpose. It shall conduct
inspection of the truck, cargoes and other trucking documents. The exercise of
this option shall not however exempt the CONTRACTOR from liability for any
shortages, loss, deterioration, or damage that may be incurred while the cargoes
are in transit.

6. The ___ has the option to inspect the delivery trucks prior to deployment to
ensure their road worthiness. The inspection shall not however operate to
diminish the liability of the CONTRACTOR for any loss or damage that may arise
therefrom.

7. The ___ shall monitor the unloading and discharging of rice stocks at the
determined LGU recipients / drop off points.

8. The ___ shall pay the CONTRACTOR for the actual volume hauled based on the
bidded trucking rates after deducting the losses, shortages, and damages, if any.

B. HANDLING SERVICES

1. The nature and description of the handling services to be rendered shall be as

follows:

Activity : Movement of rice stocks for delivery under the

DSWD Supplementary Feeding Program.

Handling Movements:
a) Tail end to truck bed (piling on truck bed)
b) Pile in truck to tail end (recipient’s end)
c) Tail end to storage area
d) Piling at storage area

2. Actual volume subject to the handling services may be different from the volume
as awarded which may either be increased or decreased, depending on the
operational requirements of ___ Negros Oriental. The CONTRACTOR shall be
paid based on actual services rendered.

3. The ___ shall provide the necessary materials, facilities, and equipment in the
proper and safe handling of rice stocks.

4. The ___ through its Warehouse Supervisors, shall notify the CONTRACTOR of the
minimum labor requirements of his warehouse, at least one (1) day before the
intended schedule of delivery.
 5. The ___ undertakes to pay the CONTRACTOR the awarded rate of Ps. 3.40 per 50
kg bag, per move, inclusive of twelve percent (12%) VAT, upon the submission
by the CONTRACTOR of the required supporting documents.

II. DUTIES AND RESPONSIBILITIES OF CONTRACTOR

A. TRUCKING SERVICES

1. The CONTRACTOR shall provide ___ the following trucks:

MAKE/MODEL PLATE NO. O. R. # C.R. # TONNAGE

FUSO GWH 131 290691903 61825421 400 Bags
FUSO GWH 102 328332863 57024088 400 Bags
FUSO GWJ 992 328332841 114244900 400 Bags
FUSO GWH 123 290691914 78488594 400 Bags
INTERNATIONAL GXE 102 328372870 49910420 400 Bags
HARVESTER
FUSO GWJ 989 266507426 46421932 400 Bags

The above trucks shall not be used / offered to any other party for the whole
duration of this Contract.
Certified photocopies of the Certificates of Registration (C.R.) with LTO are
hereto attached as Annex(es) _____.
1. Should the above enumerated trucks will not be available due to mechanical
breakdown, the CONTRACTOR shall provide substitute units of the same or
comparable make and tonnage capacity.

The CONTRACTOR may also provide additional units to expedite the

completion of delivery of awarded volume.

The substitute / additional units may either be owned or leased by the

CONTRACTOR. In either case, it shall be his obligation to submit to the ___,
certified photocopies of the following documents:

a) Official Receipt and Certificate of Registration;

b) Certificate of Franchise from the Land Transportation and Franchising
Regulatory Board;
c) For owned units, copy of Deed of Sale for newly purchased trucks, if
any;
d) For leased units, notarized lease agreement;
e) Driver’s license and Community Tax Certificate of the assigned driver.

2. CONTRACTOR shall ensure the worthiness of the trucks to vouch that they
are fit / suited for grains cargo transport. Flooring should be free from holes
to avoid spillage and pilferage. It should likewise be free from hazardous and
toxic substances, objectionable odor, dirt, or foreign matter that may cause
damage, adulteration, and contamination of the cargo.

3. To ensure continuity of hauling operations, the CONTRACTOR shall provide

sufficient tarpaulin covers and other necessary logistics to ensure that the
cargoes are protected from weather elements.

4. CONTRACTOR shall provide trucks with drivers and / or representatives to be

constituted as agents or attorneys-in-fact and shall be authorized:

a) To sign documents for the truck(s) assigned to;

b) To witness weighing of stocks at the points of origin and affix his
signature on documents certifying said facts;
 c) To receive orders from duly authorized ___ representative/s for work
assignments.

5. The CONTRACTOR’S drivers and/or authorized representatives shall witness

the actual weighing of stocks at the point of origin, pursuant to item I.4 of
this contract, and to verify the correctness of entries made on ___ warehouse
documents before affixing their signatures thereon.

If for any reason the drivers and / or their authorized representatives are
prevented from witnessing the actual weighing of stocks, they shall sign the
___ warehouse documents under protest and shall notify the ___ office
concerned of such fact within forty - eight (48) hours from arrival at the point
of destination. Failure to notify the ___ shall render the protest as of no
force and effect, in which case the entries made on the ___ documents shall
be deemed correct and conclusive.

6. The CONTRACTOR shall also provide a truck helper for every unit, at his own
account.

7. The CONTRACTOR is liable for any losses, shortages and damages that may be
incurred on any of the stocks, with respect to quantity and quality, from the
time these are received and loaded to the trucks up to the time these are
unloaded and duly received by authorized ___ representatives at designated
receiving points, subject to items IV.2, VI.1, and VI.2 of the contract.

8. CONTRACTOR shall immediately notify the ___ in writing in the event of

delay under the following circumstances:

a) Impassable roads / landslides / detours

b) Collapsed / impassable bridges
c) Other events, which may cause delay like mechanical breakdown,
hijacking, theft, or robbery.

B. HANDLING SERVICES

1. The CONTRACTOR shall provide sufficient and efficient labor force for the
loading, unloading, piling, and other handling activities which will be performed
in relation to the delivery of rice under the 2013 DSWD Supplementary Feeding
Program.

2. Upon written request of ___, the CONTRACTOR shall provide additional laborer's
at least two (2) days before the intended need for additional handling services.

3. The CONTRACTOR shall ensure that his laborers exercise extraordinary diligence
in the handling of ___ stocks and shall at all times prohibit the use of hooks
(ganzo) or any other similar instrument that may cause damage to containers and
stocks.

4. To expedite or facilitate the movement of stocks, the CONTRACTOR may provide

additional facilities or equipment and shall ensure that these equipment and
facilities are fit to be used to avoid adulteration or contamination of ___ stocks.

5. The CONTRACTOR shall observe safe and proper piling of stocks in accordance
with ___’s warehousing practices. In the event of any collapse due to faulty
piling or improper application of warehouse keeping practices, the CONTRACTOR
shall cause the re-piling of the stocks at his own account and shall assume all
damages and expenses incurred therefrom.
 6. For security and reference purposes, the CONTRACTOR shall provide ___ a list of
his handlers deployed. The list shall indicate the names and addresses of the
laborers and shall be updated accordingly should there be any changes in the
deployment of laborers.

7. The CONTRACTOR shall comply with pertinent labor laws, local ordinances,
government rules and regulations, etc. necessary for the proper implementation
of this contract.

I. COMPENSATION

A. The ___ shall pay the CONTRACTOR for its trucking and handling services for the
actual volume hauled / transferred, and handled at a rate summarized as follows:

1. Trucking of ___ cargoes:

Php 10,500.00 per truck of 400 bags capacity per day

2. Handling of ___ cargoes:

Php 3.40 per bag per move

B. Trucking services shall be paid or considered for a minimum of one (1) day to a
maximum of 2.5 days based on the report submitted by the ___ delivery man.

II. PENALTY

1. Failure of the CONTRACTOR to provide the number of trucks offered in the bidding
shall entitle ___ to avail itself of any of the following:

B. Permanent failure

A.1. Rescind the contract, without prejudice to an action for damages.

C. Temporary failure, either total or partial

B.1. Get the services of another hauler under the same terms and
Conditions, or use ___ trucks, if available, at the
CONTRACTOR’S expense, until the latter can comply with his obligation.

B.2. Specific performance with damages;

B.3. Rescind the contract, without prejudice to an action for

damages.

III. PERFORMANCE SECURITY BOND

1. To guarantee the faithful performance of his duties and responsibilities under

this contract, the CONTRACTOR shall file a Performance Security Bond in favor of
___ in the amount of THIRTY FOUR THOUSAND EIGHT HUNDRED TEN PESOS
AND FIFTY EIGHT CENTAVOS (Ps. 34,810.58) valid for a period of one (1) year.

2. The bond shall answer for damages and costs incurred by ___ and attributed to
the CONTRACTOR, including but not limited to:

a) Theft, pilferage or damages of ___ stocks or property by the CONTRACTOR’S

laborers.
 b) Damages which may be incurred due to the CONTRACTOR’S refusal or failure
to perform any of his obligations under this contract; and

c) In case of litigation, attorney’s fees and costs as may be awarded by the

courts.

3. The bond shall be released to the CONTRACTOR upon the expiration or

termination of this contract after his outstanding obligations and liabilities have
been satisfied, if any. If the bond is insufficient to cover the full liabilities of the
CONTRACTOR under this contract, he shall be personally liable to pay for the
deficiency.

IV. LIABILITIES OF CONTRACTOR

1. The CONTRACTOR shall be held liable for losses and damages of ___ stocks, property
and equipment as well as ___ leased properties entrusted to them, while
undertaking the labor services agreed upon. These shall include losses or damages
due to the fault or negligence of the laborers. Payment of these losses and damages
shall be based on the ___ replacement costs at the time of loss / damage.

2. The CONTRACTOR shall not be held liable for any loss or damage brought by force
majeure and / or fortuitous events, provided, the laborers exercised extraordinary
diligence to protect and preserve the ___ properties, provided further, that the
laborers did not commit contributory negligence.

3. The CONTRACTOR shall be held liable for any loss or damage that ___ may incur due
to delay, non-attainment of desired outputs, or non performance of laborers that
may arise due to whatever reason, including but not limited to, labor strike, work
stoppage, or any labor dispute between the CONTRACTOR and his laborers.

4. The CONTRACTOR shall pay for damages and expenses incurred by ___ for the
CONTRACTOR’S non observance of proper warehousing practices pursuant to Item
II.B.5 of this contract.

5. The CONTRACTOR shall pay the difference in rates should ___ opt to engage the
services of other persons or entities, pursuant to item VII.B.1 of this contract.

V. SPECIAL PROVISIONS

A. TRUCKING SERVICES

1. The use of ___ owned trucks shall be prioritized. Should ___ trucks be
available, the ___ may suspend the utilization of the private trucks under the
contract.

2. It is understood that there is no employer-employee relationship between

the ___ and the employees of the CONTRACTOR. Hence, the ___ shall not be
liable for any claims of the CONTRACTOR’S employees under the ECC, SSS,
PhilHealth, Minimum Wage Law, and other related laws. ___ shall likewise
not be held responsible for any claims of third persons arising from vehicular
accidents and/or negligence of CONTRACTOR’S employees or for any
contraband goods that may be found inside the CONTRACTOR’S trucks.

3. The provision of non - TH units by the CONTRACTOR shall not bind the ___ for
any liability arising from the use therefrom (e.g. Imposition of fines and
penalties) from the LTO and/or LTFRB or any enforcement agency.
 4. The contents of all documents issued in relation to this contract shall be
conclusive and shall be made the bases in determining the CONTRACTOR’S
accountability.

B. HANDLING SERVICES

1. The ___ reserves the right to terminate this contract anytime and engage the
services of other persons or entities if, in its judgment, the CONTRACTOR is
not capable of performing the work in accordance with the demands of
requirements of the ___, or for failure of the CONTRACTOR in three (3)
instances to provide the required number of laborers as contained in this
contract, provided, that the ___ shall first notify the CONTRACTOR in writing
at least five (5) days before contracting the services of other persons. In this
event, the CONTRACTOR shall pay the difference in rates prescribed in this
contract and the rate of the third party.

2. The CONTRACTOR is considered an independent contractor. Hence, it is

understood that there is no employer-employee relationship existing
between the ___ and the employees of the CONTRACTOR. Further, the ___
shall not be liable for any claims of the CONTRACTOR’S employees with the
Department of Labor and Employment (DOLE) or under the ECC, SSS,
PhilHealth, Minimum Wage Law, and other related laws.

3. Any outstanding obligation or payable of the CONTRACTOR due the ___ shall
be automatically deducted from his collectibles from the ___.

C. Payment of trucking and handling services under this contract shall be subject to
the usual accounting and auditing rules and procedures.

D. In case of litigation arising from the breach of any of the provisions of this
contract, the CONTRACTOR agrees to pay an amount of not less than Fifty
thousand pesos (php 50,000) as liquidated damages, plus cost of suit.
VI. VENUE

1. Any action that may arise under this Contract shall be filed in a court of competent
jurisdiction in Cebu City.

VII. EFFECTIVITY AND DURATION

This Contract becomes effective on the date of signing by the parties and shall
remain in full force and effect until December 31, 2013.

IN WITNESS WHEREOF, the parties have hereunto affixed their signatures in this
Trucking and Handling Services Contract this __________day of _____________ at Cebu City,
Philippines.

NORTHERN NEGROS CONSTRUCTION DEV’T _ABC ASDF_QWERTY COMPANY_

____________________________ _______________________ JOCELYN S.

JOSEDELACRUZ ATTY. EFREN J. JUANDELACRUZ
Proprietress Regional Director
Signed in the presence of:

____________________________ ___________________________
NESTOR T. ALCAREZ MARIA ANTONIA BARANDOG

Republic of the Philippines )

City of Cebu ) S.S.
 ACKNOWLEDGMENT

BEFORE ME, a Notary Public for and in ______________, personally appeared the
following:

NAME CTC NO. PLACE OF ISSUE DATE OF ISSUE

1. EFREN J. JUANDELACRUZ 00565794 Cebu City January 9, 2013
2. JOCELYN S. JOSEDELACRUZ

Known to me and to me known to be the same persons who executed this Trucking and
Handling Services Contract consisting of nine (9) pages including this page where the
acknowledgment is written and they acknowledged before me that the same is their free and
voluntary act and deed as well as the entities they represent.

WITNESS MY HAND AND SEAL this ________day of __________, 2013.

____________________________________
NOTARY PUBLIC

Doc. No.______
Page No. _____
Book No. _____
Series of 2013