General Terms - Outdoor ads in Hungary

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GENERAL TERMS AND CONDITIONS OF Index Communication Ltd.
(Effective: as of 1 January 2014)
1. General Terms and Conditions
The General Terms and Conditions lay down the framework of the business activities of Index
Communication Ltd., and constitute the basis and part of the agreement between Index Communication Ltd.
and the natural person or legal entity or company that is not a legal person (hereinafter: the Customer)
assigning Index Communication Ltd. to perform advertising activities. The “General Terms and Conditions”
shall apply to all kinds of advertising objects - billboards, citylight, individual advertising surfaces (hereinafter:
Means of Advertising) provided to the Customer by Index Communication Ltd. By the assignment the
Customer shall acknowledge and accept that – unless partly or entirely otherwise provided by the Contract
concluded between the Parties – the provisions of these General Terms and Conditions constitute part of the
Contract to be concluded between Index Communication Ltd. and the Customer, after the Customer has
been informed about the contents of the General Terms and Conditions.
2. Request for Proposal, Offer, Reservation and Order
2.1.
Upon the Request for Proposal by the Customer, Index Communication Ltd. shall reply thereto within two
working days in writing or by e-mail, if all data required for reservation and the order are provided to Index
Communication Ltd. by the Customer. Index Communication Ltd. shall maintain its proposal for 5 working
days, after that it expressly excludes the proposal’s validity.
If the Customer is a new client, then it shall provide to Index Communication Ltd. all identification data
required for the Contract (name/company name, address/seat, tax number and company registration
number, and other public data requested by Index Communication Ltd.). If there had already been a
contractual relationship in place between the Parties, then any potentially changed data shall be provided by
the Customer. Should the Customer proceed on behalf of another person, then it shall provide identification
of its principal via the above data.
After the provision of the proposal, the Customer may make a reservation or an order by way of registered
mail, fax or e-mail. Any reservations/orders provided by registered mail, fax and e-mail shall only be valid
subject to the confirmation thereof (in the case of an e-mail, the confirmation of the e-mail having been read
shall not serve as a basis for a valid reservation/order).
Index Communication Ltd. shall confirm the reservation/order in writing (by fax, registered mail or e-mail),
within 2 working days calculated as of the receipt thereof. Based on the order, a contract shall only be
concluded subject to confirmation.
Only assignments/orders submitted by registered mail, sent by e-mail in the form of a PDF attachment, or by
fax, and duly signed shall be valid. Any modification of the assignments/orders shall also be made in writing.
In the event if there is an agency framework contract concluded between the Parties, then based on that the
individual orders may be made by confirmed e-mail.
By the order the Customer shall abide by the provisions of these “General Terms and Conditions” (including
the financial provisions), subject to the condition that the Customer has been informed about the contents
thereof and has expressly accepted those.
2.2
Validity periods pertaining to Index Communication Ltd.:
Validity of proposal/list of spaces calculated as of the date of the initial request for proposal/list of spaces
working days 2 hours
The order deadline of the campaigns shall be due within the validity deadline of the proposal specified under
the above table. Should the written order not be received within the period indicated, then the validity of the
proposal by Index Communication Ltd. shall be automatically terminated and the reservation be cancelled.
Index Communication Ltd. shall provide an offer to the Request for Proposal no later than within 2 working
days. The validity of the proposal shall not be affected by any potential requests for modification occurring in
the meantime.
The deadline of annual panel reservations to be specified shall be the first working day of the month
preceding the initial month of the panel list. After that, Index Communication Ltd. shall be entitled to partly or
entirely release any reservations not specified.
In the case of annual panel reservations the client has the opportunity to postpone the start of the campaign
twice. In the event of additional requests for postponement, Index Communication Ltd. shall be entitled to
cancel the panel reservation in part or entirely.
3. Management of Campaigns
3.1.
Index Communication Ltd. shall undertake to perform the placement of the posters in accordance with
professional standards, to the best of its knowledge, and by the deadline. The Customer shall receive from
Index Communication Ltd. all data necessary and considered standard in the profession from the board list
pertaining to the advertising campaign. The board list shall be accepted by the Customer in writing. After the
acceptance of the board list by the Customer, Index Communication Ltd. shall not be held liable in any way
regarding the technical quality, placement, visibility, etc. of the boards, and the Customer shall not be entitled
to enforce any claims in reference thereto. The Customer shall be entitled to claim damages if there is
default performance arising out of wilful or serious negligence on behalf of Index Communication Ltd. Claims
for compensation and potential complaints may solely be asserted during the advertising period. Force
Majeure events (with special regard to natural disasters, extraordinary weather impacts, etc.) shall exempt
Index Communication Ltd. from all kinds of liability, however, in that case the Customer shall, at its
discretion, be entitled to claim proportionate compensation (time proportionate fee repayment, new means of
advertising to be made available, etc.). Index Communication Ltd. excludes the enforcement of successive
damages and consequential damages.
3.2.
The posters required for the advertisement (including spare posters), and the creative materials and lay-out
required for production shall be provided to Index Communication Ltd. by the Customer. Index
Communication Ltd. shall undertake no responsibility for any not perfect poster placements arising due to a
potential lack of posters or improper poster quality delivered (paper, ink, cutting faults). 3
3.3.
Index Communication Ltd. shall place the posters within 3 calendar days calculated as of the first day of the
campaign period contained in the order, with the exception of individual advertising surfaces, where the
relevant deadlines shall be included in the Contract. Should the campaign not be ordered 3 working days
prior to the start of the campaign, and/or should the poster(s) of the campaign concerned not be received in
stores by the deadline specified under Section 3.4, then Index Communication Ltd. will not be able to
guarantee the placement thereof in due time, and shall be entitled to charge extra technical costs (please
refer to Section 3.4). The postering of the posters shall only be performed by the employees and/or
subcontractors of Index Communication Ltd. Upon request by the Customer, the photos proving the
placement of the posters shall be provided by Index Communication Ltd. on the 5th working day following
the postering period. Index Communication Ltd. shall assume a guarantee of one month for the posters
placed. In the event of a campaign period exceeding one month, repostering shall be required, for which the
posters shall be provided by the Customer.
3.4.
The number of posters and additional posters (at least 20% of the posters to be placed, customs cleared if
required, and in the case of major quantities placed on pallets) agreed upon shall be delivered to the
warehouse of Index Communication Ltd. (2040 Budaörs, Ébner György köz 4.) at least 3 working days prior
to the start of the campaign, and the Customer shall order the placement of the posters no later than by that
date. Index Communication Ltd. shall undertake no liability for the consequences of any delayed delivery, at
the same time Index Communication Ltd.shall be entitled to invoice additional technical costs, i.e. the fee of
the ordered postering of the posters as per locations. In that case the performance of the assignment shall
be 5 working days calculated as of the receipt of the posters. The delayed postering shall not entail an
extension of the expiry date.
3.5.
The costs of extra services (pasting of strips, postering of posters outside the usual postering scope, return
of unused posters, etc.) shall be borne by the Customer. Index Communication Ltd. shall not be responsible
regarding any posters remaining (not used) after the completion of the assignment in the absence of a
special written agreement pertaining thereto.
3.6.
Index Communication Ltd. shall perform the covering of the posters of the campaign ordered by the
Customer following the end of the campaign period, if so requested by the Customer from Index
Communication Ltd.in writing upon the ordering of the indicated poster campaign. The requested covering
shall be performed within 3 working days calculated as of the end of the first postering period following the
last day of the campaign. If the Customer does not indicate a request for the covering of the posters, then
later Index Communication Ltd. shall only perform that subject to the payment of the additional costs of
postering.
3.7.
For the purpose of an accurate implementation of the assignment there is need for a postering draft, and for
that the Customer shall submit the lay-out of the poster to Index Communication Ltd. 3 working days prior to
the start of the campaign, by e-mail or via FTP server. In the absence thereof, Index Communication Ltd.
shall not undertake the postering of the campaign. If the posters do not comply with the standard, and/or if
they are different from those specified in the order, then additional costs of adhesive and paper shall be
calculated with. (Standard quality: wood-free poster paper of a minimum weight of 110 g/m2 in the case of
billboards, and of a weight of 130 gr/m2 in the case of citylight.). The description as to the production
parameters and rules for posters is available at the website.
3.8.
Upon the request by institutions dealing with the analysis of advertising costs spent on classic media, Index
Communication Ltd. shall be entitled to provide information on the number of pieces, size and type of posters
placed for the Customer, exclusively for the purpose of a survey aimed at advertising expenditures, except if
a contrary statement is made in writing by 4 the Customer upon ordering. In other cases the written consent
by the Customer shall be required for the issue of information.
4. Liability Issues
4.1.
The liability of Index Communication Ltd. shall not extend to the uninterrupted operation during the agreed
period of the objects supplied with advertisement as per the assignment. Temporary restrictions or
disturbances of any kind and arising due to any reason shall not affect the entirety of the advertising
assignment, just the advertising object concerned. This shall be settled by the Contracting Parties by
common agreement, by repair performed, new advertising surface offered or proportionate fee reduction
provided by Index Communication Ltd. If, for any reason, Index Communication Ltd. is unable to provide the
confirmed spaces, then it shall provide proper poster spaces elsewhere to the Customer.
4.2.
The Customer may indicate its complaints regarding the quality of poster placement (damaged or smashed
poster, placement to other than the surface ordered) in writing (by e-mail or fax), by attachment of a photo
made of the error to Index Communication Ltd., who shall remedy the error revealed within 2 working days,
and shall send a photo in proof of the remediation to the Customer within 3 working days following the repair
(2 working days).
The Parties shall acknowledge the time of the posting of the notification (until 16.00 hours on working days,
and then from 9.00 hours of the following working day) as the time of receipt.
4.3.
Index Communication Ltd. performs its activities with regard to the restrictions provided under Act XLVIII of
2008 on the Basic Requirements and Certain Restrictions of Commercial Advertising Activities and certain
other legislative provisions. Should Index Communication Ltd., based on an express instruction of the
Customer, violate any legislative prohibition and therefore be subjected to final penalty, then the advertiser
and the Customer shall assume the fine, and shall pay all damages and costs incurred by Index
Communication Ltd. in relation thereto.
Index Communication Ltd. shall not be obliged to submit an appeal or any other legal remedy against the
administrative/judicial decision establishing the fine. The absence of a remedy shall not constitute grounds
for the Customer to fail to comply with its obligation specified above towards Index Communication Ltd.
4.4.
According to Act XLVIII of 2008 on the Basic Requirements and Certain Restrictions of Commercial
Advertising Activities, No advertisement may be disseminated relating to alcoholic beverages in institutions
of public education and in health care institutions, or on any outdoor advertising media situated within a
straight-line distance of two hundred-meter radius from the entrance thereof. Should Index Communication
Ltd. violate this prohibition, and should the Customer be subjected to a final penalty due to that, then Index
Communication Ltd. shall assume the Customer’s fine.
4.5.
Index Communication Ltd. shall accept and shall abide by the rules of the Code of Hungarian Advertising
Ethics, and the decisions of the ad hoc committee of the Self-Regulatory Advertising Board of or the Ethics
Committee of the Hungarian Advertising Association. 5
4.6.
The Customer shall be liable for the contents and the format of the posters (size, quality, colour fastness),
and for the observation of stipulations by the authorities. Index Communication Ltd. shall undertake no
responsibility whatsoever for any damage to the posters due to a reason(s) not attributable to Index
Communication Ltd. Index Communication Ltd. shall reserve the right to withdraw from the assignment if
upon the acceptance thereof the format and the contents of the poster had been unknown it, and, at
JCDecaux’s discretion, the format and the contents are presumably in breach of those specified under Act
XLVIII of 2008 on the Basic Requirements and Certain Restrictions of Commercial Advertising Activities or
the Code of Hungarian Advertising Ethics. In such case the Customer shall pay the rental fee of the poster
spaces reserved for the posters not known to Index Communication Ltd. previously. If the Customer submits
the lay-out of the poster to Index Communication Ltd. at least two weeks prior to the start of postering, then
the contractor shall undertake to obtain proper opinion regarding potential problems arising by the date of
placement of the posters.
4.7.
In the event of banning of posters by the authorities the Customer shall pay the full advertising fee and any
additional costs pertaining to the removal or re-pasting of the banned posters. In the case of a breach of Act
XLVIII of 2008 on the Basic Requirements and Certain Restrictions of Commercial Advertising Activities by
the contents of the advertisement, the Customer shall assume all fines and other costs of Index
Communication Ltd. If the breach of law is presumed by the authorities, then the Customer shall provide all
information to Index Communication Ltd. by which it can properly present its answer to the charge before the
competent authority or court.
Should the advertising space already reserved by the Customer not be available for future use pursuant to a
decision by the authorities, then, subject to notification of the Customer, Index Communication Ltd. shall be
entitled to place the Customer’s advertisement on another advertising space of similar quality, and to provide
performance on that advertising space. Index Communication Ltd. shall not be held liable for damages for
that reason.
4.8.
Index Communication Ltd. only provides specified means of advertising to the Customers, and only for a
predetermined period of time. With regard to the fact that according to Act XLVIII of 2008 on the Basic
Requirements and Certain Restrictions of Commercial Advertising Activities, All outdoor advertising media
shall explicitly indicate the corporate name, name and seat and residential address of the publisher of
advertising (Article 5 (4)), Index Communication Ltd. shall only participate in campaigns where this legislative
obligation, and the recommendations of the Hungarian Public Area Media Association pertaining to the
display of specification are fully complied with.
4.9
Index Communication Ltd. shall accept no claims for damages whatsoever for services not rendered or
rendered in an erroneous manner due to Force Majeure. All Acts of God events that fall outside the scope of
interest of Index Communication Ltd. shall be deemed as Force Majeure events, which Index
Communication Ltd. has no direct or indirect influence on. This shall specifically include, but not be limited to
rainy weather conditions that render the placement of advertisements impossible or that cause any damage
to the advertisements already placed.
4.10
With the exception of the cases specified under Article 342 of the Hungarian Civil Code (Ptk.), Index
Communication Ltd. shall limit any liability for damages caused by it by breach of contract at an extent
equalling double the amount of the advertising fee attributable to the part of performance affected by the
breach of contract.
5. Financial Issues
5.1.
The invoice contains the tariffs valid at the date of the confirmation of the assignment. Index Communication
Ltd. shall reserve the right to tariff changes (e.g. due to change of lighting or of the spot of the means of
advertising) also during the year, but it shall inform the Customer thereof no later than 2 months prior to the
change in tariffs. In the event of an annual contract, the Customer shall be informed about the new category,
and the Customer shall, at its discretion, either accept the new price, or may select a surface of a price
category identical with the former one. Index Communication Ltd. shall be entitled to submit its invoice on the
5th day of the advertising period, and the Customer shall pay the invoice within 8 calendar days, unless
otherwise provided by the Contract or the order.
Performance shall be deemed to be acknowledged if the Customer fails to submit to Index Communication
Ltd. their written complaint regarding the challenged performance within a limitation period of 3 (three) days
calculated as of the last day of the advertising period (campaign period). Complaints regarding performance
may not be submitted by the Customer in excess of the limitation period, due to the impossibility of providing
evidence.
Upon special request by the Customer, Index Communication Ltd. shall send a verification by photos about
the postering of the advertisements concerned, and shall also provide a special written certificate of
performance, which however shall not affect the deadline for the submission of complaints.
In the event of a delay in payment Index Communication Ltd. shall be entitled to charge an interest of the
extent specified under Article 301/A of the Hungarian Civil Code (Ptk.).
5.2.
In the case of a cancellation of a written order, Index Communication Ltd. shall be entitled to invoice a
cancellation fee. In the event of a withdrawal, the extent of the cancellation fees shall be as follows:
Date of cancellation of the assignment Cancellation fee
before the first day of the advertising period of the advertising fee of cancelled surfaces
The cancellation fees contained in the table shall apply to the entirety of the campaign period ordered.
5.3
The cancellation shall be communicated in writing (by registered mail, e-mail or fax). The effect thereof shall
be the time of receipt. The Parties shall acknowledge the time of fax dispatch (until 17.00 hours on working
days, and then from 9.00 hours of the following working day) as the time of receipt. In the case of e-mails,
the time of receipt shall be the time of confirmation of the e-mail having been read.
5.4
Should the Customer be in default as to payment in excess of 30 days, regarding an amount of min. HUF
500,000.-, then Index Communication Ltd. shall be entitled (but not obliged) to declare that the Customer
shall be subjected to only being entitled to make payments in advance regarding their future orders under
the framework contract, irrespective of a different payment deadline contained and specified in the
framework contract. In addition thereto, 7
Index Communication Ltd. shall reserve the right to stipulate payment under the contract in advance in
respect of certain partners, subject to the liquidity status of the client.
5.5
Should the Customer be in default as to payment in excess of 30 days, regarding an amount of min. HUF
500,000.-, then Index Communication Ltd. shall be entitled (but not obliged) to suspend the performance of
their ongoing projects towards the Customer until the payment by the Customer of all of the amounts owed
and due by them, irrespective of whether the performance obligation and the default in payment exist on the
basis of the same contract or not. In the event of payment of the invoice following suspension, Index
Communication Ltd. shall perform their obligation upon the following regular date of placement/postering,
provided that the invoice has been paid at least 3 (three) working days prior to that date. Should the
advertising spaces affected by the suspension not be available due to the suspension, then the Customer
shall select other spaces from among those still available. Index Communication Ltd. shall not be held liable
for any damage arising out of the suspension.
6. Address and Telephone Number of Inspection Body
The specifications and contact details of the inspection bodies are included in Annex No. 1.
7. Access to the General Terms and Conditions
The up-to-date version of the General terms and Conditions shall be made available by Index
Communication Ltd. for access by everyone at its seat/customer service, and Index Communication Ltd.shall
make a copy thereof or certain parts thereof specified by the Customer. Index Communication Ltd. shall
publish the up-to-date version of the General terms and Conditions at its internet web site for the purpose of
access by everyone.
8. Amendment of Contract; Rights of the Customer in the Case of a Contract Amendment
The General Terms and Conditions may only be amended subject to the provisions specified in this Section.
Index Communication Ltd. shall only be entitled to amend the General Terms and Conditions one-sidedly in
the following cases:
it is justified by a change of law or an official decision; or
it is justified by a change in the circumstances of Index Communication Ltd.
Index Communication Ltd. shall inform the Customer of any change of the General Terms and Conditions at
least 30 days prior to the entry into effect thereof, including the information on the conditions of termination
due to the Customer. In that case the Customer shall be entitled to terminate the Contract with immediate
effect, in writing, subject to due justification, within a limitation period of 15 days following the receipt of the
notification sent on the subject of the amendment, provided that their legitimate economic interests are
violated by said amendment to such an extent that the maintenance of the Contract shall no longer be of
interest to the Customer.
In the event of a failure to make a statement, the amendments shall be deemed to have been accepted.
This section shall not apply to tariff amendments. In the event of tariff amendments, those specified under
Section 5.1 of these General Terms and Conditions shall apply. 8
9. Settlement of Disputes
The Customer shall also be entitled to assert its claims before a court. In the case of legal disputes, the
Parties shall abide by the exclusive jurisdiction of the Budapest District II and District III Courts as to cases
referred to the competence of the District Courts, whereas in respect of matters referred to the competence
of the General Courts of Justice, no exclusivity provision shall be stipulated by the Parties.
10. Miscellaneous provisions
Should one or more provisions of these General Terms and Conditions be invalid, that shall not affect the
validity of the other provisions.
With regard to issues not regulated hereunder, the Hungarian Civil Code (Ptk.) and the prevailing Hungarian
legislation shall apply.
Budapest, 1 January 2014.
Index Communication Ltd.
Ferenc Tárczy
Chief Executive Officer
The Customer declares that it has been informed of the content of these General Terms and
Conditions prior to contract conclusion, and those specified therein shall be fully accepted by the
Customer, who shall enter into the Contract in awareness thereof:
Annex No. 1
Contact details of inspection bodies:
Budapest Metropolitan Court as Court of Registry:
1051 Budapest, Nádor u.28.
Tel: +36/1 354 4800
Hungarian Authority for Consumer Protection
1052 Budapest, Városház tér 7.
1364 Budapest Pf.:144
Tel.:+36/1 328 0185
Central-Hungarian Regional Directorate of the National Tax and Customs Administration
1132 Budapest, Váci út 48/C-D
1438 Budapest, Pf.: 511
Tel.: +36/1 412 5400
Budapest Capital District II Local Government
1024 Budapest, Mechwart liget 1.
1277 Budapest 23.,Pf. 21.
Tel.: +36/1 346 5400
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