1.1 In these Conditions, unless the context otherwise requires: “Company”: means NORTHLAND MEAT PROCESSORS LIMITED and its successors and assigns, together with its employees, agents and contractors. “pelt”: includes skin, hide and wool. “stock”: includes sheep, cattle, goats and other animals, the carcasses of the foregoing or any part thereof, meat of any description, all articles of food or other goods derived from such carcasses and pelts. "Supplier" and "Customer" terms are interchangeable with the exception of toll processing where the Customer is the owner of the stock and the Company is providing a service on behalf of the owner of the stock and the stock has not been sold to the Company.

2.1 Every sale to the Company of stock whether “in the paddock” or “on the hooks” shall be on the basis that there is included in the sale the meat and pelt of the animal. When the dressed carcass is cut, boned or otherwise processed, the fat, bones, offal and scraps removed shall be the property of the Company.

2.2 Where stock is sold “on the hook” the property and the risk shall not pass to the Company until after slaughter by the Company. At any time before slaughter the Company may require the supplier at the supplier’s risk and expense to take from the Company delivery of the stock at such place as the Company shall nominate free from any obligation of any kind on the part of the Company.

2.3 Where stock is sold “in the paddock” i.e. leg bought, property and risk passes to the Company when the contract is entered into between the Company and the supplier. Pending delivery to the Company, the supplier shall graze and manage the stock in a proper and husband-like manner.

3.1 Where the Company processes livestock on behalf of a customer (Toll Processing) the property and the risk shall remain with the customer throughout. At any time before slaughter the Company may require the customer at the customer’s risk and expense to take from the Company delivery of the stock at such place as the Company shall nominate free from any obligation of any kind on the part of the Company.

4.1 The Company does not insure stock or other goods of whatsoever nature or kind at any time against loss or damage from any cause whatsoever and stock and other goods of whatsoever nature or kind at all times are held at the risk of the owner, until risk passes to the Company in accordance with these Conditions.

5.1 It is the supplier's responsibility that stock must be received at the Company’s plants in the cleanest possible condition. The cost of additional work required to be undertaken by the Company in order to comply with any hygiene standards or Regulations shall be borne by the supplier.

5.2 It is the supplier's responsibility that no animal has passed it's first trimester of pregnancy, is not injured or sick and in the case of cattle is free of horns. The Company requires all suppliers to comply with all relevant animal welfare codes and legislation.

5.3 We do not accept bobby calves.

5.4 We do not undertake extraction of foetal blood.

6.1 The Company shall be entitled to charge its suppliers’ accounts with a Company product inspection charge and with all levies or other costs relating either directly or indirectly to the slaughter of stock, treatment or sale of meat or skins and by-products.

6.2 Where the Company has to clean animals and remove dags, a surcharge of $100 per animal will be borne by the supplier.

6.3 Where stock is supplied without ear tags or other forms of clearly visible identification, a surcharge of $100 per animal will be borne by the supplier.

7.1 The supplier must notify the Company at the time of sending stock to the Company’s plants of any security given to any person over any such stock under which the proceeds should be paid to such security holder.

8.1 The Company reserves the right to reject either alive or dead any stock which in the unfettered opinion of the Company is not up to any standard or requirement. Under no circumstances will the supplier be entitled to have condemned or rejected stock returned. When rejected after slaughter, the carcasses will be taken over by the Company at prices fixed by the Company from time to time.

9.1 The Company shall not be responsible or liable to the supplier or to any other person whatsoever in contract, tort or otherwise for any loss, decay, deterioration in value, damage to or destruction of stock or other goods of any kind whatsoever whether or not the same be attributable to the negligence or other fault of the Company and the Company’s liability shall not in any event whatsoever exceed the price paid by the Company to the supplier for the stock in respect of which a claim is made.

10.1 When stock is sold “on the hook” the Company will issue the supplier a copy of a buyer created tax invoice showing particulars of the grades and weights of the stock killed and showing all deductions and levies. Invoicing is based on the hook weight of the carcass and excludes the weight of the offal and the pelt.

10.2 When stock is “leg bought” the Company will issue the supplier a copy of a buyer created tax invoice showing only the number of head and price paid per head.

11.1 The Company shall be entitled to set off any monies owed to the Company by a supplier against any monies owing by the Company to that supplier.

12.1 For the purposes of this clause “exotic disease” means any animal disease not present in New Zealand that is highly contagious in nature and results in Ministry of Primary Industries (or any other public authority of competent jurisdiction) (“MPI”) imposing controls on livestock movements or controls on livestock slaughter or similar measures including without limitation, diseases which are listed by the OIE (the World Organisation for Animal Health) and including without limitation foot and mouth disease, BSE and anthrax.

12.2 Notwithstanding any other provision of these Conditions, if an outbreak of an exotic disease (or a suspected outbreak of an exotic disease) occurs in New Zealand, the provisions of this clause 12 will apply (regardless of the scale or location of the outbreak or suspected outbreak).

12.3 Except where the Company is required by law to allow the entry of stock (including at the direction of MPI) the Company will reject the delivery of all stock (regardless of whether the stock was sold “on the hooks” or “in the paddock”) and no stock (dead or alive) will be allowed to enter any site owned or occupied by the Company (including, but not limited to Company processing plants and adjoining land).

12.4 Except to the extent prohibited by law, the Company will cease processing and will return all stock located at Company sites to the supplier at the supplier’s cost.

12.5 Where stock is rejected or returned by the Company in accordance with clause 12.3 or 12.4, or where the Company is required by law (including the direction of MPI) to destroy stock or is prohibited by law (including the direction of MPI) from selling any stock (whether slaughtered or not), the Company will have no liability to the supplier to pay for the supply of the stock.

12.6 Where MPI directs the Company to hold stock currently located at Company sites, the Company will cease processing and will graze and manage such stock at the supplier’s cost in a proper manner until such time as the stock can be slaughtered, returned to the supplier or otherwise disposed of.

13.1 Cattle under movement control must be disclosed to the Company's representative before slaughter as the purchase price may be subject to discount.