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Memorandum of Understanding (MoU) – Kay Pee Transformers Pvt. Ltd.

Last Updated: January 1, 2026

What This MoU Covers

This Memorandum of Understanding (MoU) creates a clear agreement between Kay Pee Transformers Pvt. Ltd. (Supplier) and you (Customer) for transformer manufacturing India projects. First, it defines all terms for transformer india orders from our Kim, Surat factory. Next, it explains the complete process from quote to delivery. As a result, both parties understand rights, responsibilities, and expectations completely.

This MoU applies to all transformers, services, and contracts through kaypeetransformers.com

1. Definitions and Key Terms

Important Words Explained Simply

Agreement: This complete MoU document covering all transformer manufacturer India terms.
Customer: You or your company ordering any type of transformer or services.
Products: All Kay Pee transformers manufactured:

✅ Distribution transformers (10kVA-5000kVA, IS 2026, IS 1180)
✅ Power transformers (1MVA-25MVA)
✅ LT transformers (1kVA-1000kVA)
✅ Control transformers (100VA-10kVA)
✅ Auto transformers (1kVA-1000kVA)
✅ IDT – Inverter duty transformers(Solar, 100kVA-5000kVA)

Services: Non-manufacturing work:

✅ Transformer repair and AMC
✅ Oil testing & filtration services
✅ Rental of Distribution and Power transformers if available in stock
✅ Technical consulting
✅ GA drawings preparation

Supplier: Kay Pee Transformers Pvt. Ltd., Kim, Surat, Gujarat.
Order: Your formal acceptance of our transformer quote after GA drawings approval.
Proposal: Our detailed written offer is valid as per quotation.
Works: Manufacturing following our 9-step process at Kim factory.

2. Quote and Proposal Rules

How Quotes Work:

  1. We send detailed proposal with all the technical specifications
  2. Valid as per quotation or discussion from issue date
  3. Accept entire proposal OR request written changes
  4. Place formal Order within validity period
  5. We confirm acceptance by email – production starts

Important Rules:

✅ Full acceptance required (no partial orders)
✅ Written changes only (no verbal agreements)
✅ We reserve right to refuse any Order
✅ Proposal expires after days of mentioned on quotation

3. Products and Services Specifications

Exactly What You Get

All products match Schedule 1 of your approved proposal:

✅ Distribution transformers (10kVA-5000kVA, IS 2026, IS 1180)
✅ Power transformers (1MVA-25MVA)
✅ LT transformers (1kVA-1000kVA)
✅ Control transformers (100VA-10kVA)
✅ Auto transformers (1kVA-1000kVA)
✅ IDT – Inverter duty transformers(Solar, 100kVA-5000kVA)
✅ Any Customised transformers

Change Process:

  1. Written request within 7 days of Order
  2. Revised proposal with extra charges
  3. Your written approval required
  4. Production updated accordingly

4. Pricing and Payment Terms

GST-Inclusive Transparent Pricing

Payment Structure:

✅ All prices exclude GST
✅ 50% advance with Order confirmation
✅ 50% balance before dispatch

Price Adjustment Triggers:

✅ GST rate changes after Order date
✅ Customer-requested specification changes

Late Payment Penalties:

✅ RBI reference rate + 8% annual interest
✅ Legal recovery costs added
✅ Title remains with Kay Pee until full payment

5. Delivery and Risk Transfer

Realistic Timelines

Delivery Follows 9-Step Process:

Gujarat Local: 3-5 working weeks
India-wide: 5-6 working weeks
Export: 6 – 8 weeks (FOB port) 

Risk Transfer Rules:

✅ Risk passes on delivery to your site
✅ Inspect within 7 days for defects
✅ Notify in writing immediately
✅ No liability for transit delays & damage

6. Inspection Requirements

Customer Must Verify

Upon Delivery Check:

✅ Physical damage to tank/radiators
✅ Nameplate matches GA drawings
✅ Tap Switch operate smoothly
✅ Oil level correct (if filled)
✅ Accessories complete

7-Day Notification Period: Defects must be reported in writing.

7. Supplier Obligations

What Kay Pee Guarantees

Manufacturing Standards:

✅ Skilled workmanship throughout
✅ Health & safety compliance
✅ Public liability insurance coverage
✅ BIS IS 1180/IS 2026 standards (certified products)
✅ Proper waste disposal

Quality Commitment:

✅ Efficiency verified as per Quotation
✅ All testing per Indian standards
✅ GA drawings match final product
✅ 12-month warranty provided

8. Customer Obligations

Your Responsibilities

Before Production:

✅ Approve GA drawings within 5 days
✅ Provide accurate site details
✅ Confirm specifications in writing

During Delivery:

✅ Provide site access (15ft minimum)
✅ Arrange unloading equipment
✅ Proper foundation per per drawings
✅ Certified electrician present

9. Warranty and Guarantees

12-Month Factory Protection

Coverage Includes:

✅ Manufacturing defects only
✅ Poor Workmanship
✅ Tap switch malfunctions
✅ only repair/replacement at factory

Exclusions:

❌ Overload/misuse
❌ Improper installation
❌ External damage
❌ Normal wear and tear

10. Cancellation Rights

Cooling-Off Period

✅ 7 days from Order confirmation
✅ Full refund (no production started)
✅ Written cancellation required
✅ After production: No refunds

11. Termination Conditions

When Agreement Ends

Either party can terminate if:

✅ Serious breach 
✅ Payment default
✅ Bankruptcy/insolvency
✅ Force majeure exceeds 60 days

12. Force Majeure Protection

Excused Performance Includes

✅ Gujarat monsoons
✅ Raw material supply shortages
✅ Factory power failures
✅ Government restrictions
✅ 60-day grace period applies

13. Dispute Resolution Process

Step-by-Step Resolution

  1. Contact General Manager (15 days)
  2. Written negotiation (7 days)
  3. Surat arbitration if unresolved
  4. Continue services during process

14. Governing Law

Indian Law with exclusive Surat court jurisdiction.

15. Contact Information

General Manager
Kay Pee Transformers Pvt. Ltd.
Block No. : 89, Survey No. : 113/2,
Opposite navapara patiya village,
Mota Borsara (Kim), Taluka : Mangrol,
Dist. : Surat, Gujarat 394110

Phone: +91 8487078119
Email: info@kaypeetransformers.com
Website: https://kaypeetransformers.com/memorandum-of-understanding/

Office Hours: Mon-Sat 9 AM – 6 PM IST
Response Time: Within 48 hours for all privacy requests

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