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The agreement on preferential terms of deliveries of the special equipment and special means for equipment of law enforcement agencies and special services of state members of the Collective Security Treaty Organization

of October 6, 2007

The state members of the Collective Security Treaty Organization which are referred to as further with the Parties

confirming the commitment to the purposes and the principles of the Agreement on collective security of May 15, 1992 and to the international treaties and documents accepted in its framework,

aiming at building-up of the allied relations in the field of counteraction to transnational challenges and safety hazards,

being guided by intention to create for this purpose preferential terms for comprehensive equipment by the special equipment and special means of law enforcement agencies and special services of the Parties,

agreed as follows:

Article 1

For the purposes of this agreement mentioned below terms mean:

law enforcement agencies - set of state bodies which main (special) function is protection of law and order, the rights and freedoms of citizens, fight against crime, other offenses, ensuring protection of public order and safety of the state;

special services - state bodies which according to the national legal system of the Parties are intended to perform intelligence, counterintelligence activities and also to perform special functions for the purpose of ensuring national security of the state;

the special equipment - means of communication, information security, technical means of information and telecommunication systems, means of radio control, the specialized geographically distributed automated systems, standard local networks of computer facilities, survival facilities, individual protection equipment, including armored protections, means of the operational, criminalistic and search equipment, technical means, systems of protection, observation and control, operational and office transport, technical means of safety of traffic, and also other technical means and their component parts accepted on supply of law enforcement agencies and special services of the Parties and which are not carried by the legislation of the Parties to military products;

special means - different products, specially developed and intended for application by law enforcement agencies for the purpose of rendering non-lethal reversible impact on object in case of reflection attacks, crime execution suppression, rendering resistance, search, detention, delivery of detainees, escape suppression from custody, release of the hostages taken buildings, rooms, constructions, vehicles and sites, suppression of mass riots, stop of vehicles, taken advantage of law enforcement agencies and special services of the Parties and not carried by the legislation of the Parties to military products;

deliveries on favorable terms - deliveries of the special equipment and special means at the prices created in the state on the basis of the prices of the special equipment and the special means which are purchased by law enforcement agencies and special services for own needs.

In case of deliveries of the special equipment and special means from availability of law enforcement agencies and special services of the Parties the prices are calculated on the basis of residual cost of the special equipment and special means taking into account costs on their storage, servicing, transportation and other expenses connected with supply activity.

Article 2

Deliveries of the special equipment and special means are on favorable terms performed for the benefit of equipment of law enforcement agencies and special services of the Parties according to regulatory legal acts of the Parties on the basis of agreements (contracts) signed between their state bodies and/or legal entities who according to the national legal system of the Parties are granted the right to implementation of foreign trade activity concerning the special equipment and special means.

Article 3

In case of supply activity of the special equipment and special means on favorable terms according to this agreement state bodies and/or the organizations of the Parties which according to the national legal system of the Parties are granted the right to implementation of foreign trade activity concerning the special equipment and special means use the conditions established in the international practice and forms of payments in freely convertible currency.

Article 4

Calculations for the delivered special equipment and special means are performed taking into account the advance payment (advance payment) necessary for production of the above-stated products.

For the purpose of providing preferential procedure for forming of export prices agreements (contracts) do not join condition about provision of the bank guarantee on return of advance payments.

Article 5

When transporting the special equipment and special means delivered on favorable terms for the purpose of implementation of this agreement, the Parties apply conditions of transportation and/or transit, including the rates for their transportation and/or transit by any kind of transport established for similar transportations of the special equipment and special means and provided for own law enforcement agencies and special services.

The party through which territory it is transported by transit of the special equipment and the special means delivered on favorable terms according to this agreement in first-priority procedure grants the right of transit of the special equipment and the special means delivered according to this agreement based on request of delivering party or the receiving party.

At the same time in case of exceeding of the admissible weight and dimensional parameters of the vehicle set to the territories of the state of one of the Parties it is transported according to requirements of the legislation of the Party on which territory the transportation route lies.

Article 6

The parties do not sell and do not transfer the special equipment and special means delivered within this agreement on favorable terms from law enforcement agencies and special services to foreign states, physical persons and legal entities or the international organizations without prior written consent of delivering party.

The party which broke provisions of this Article or in case of secession from the organization of the Agreement on collective security in three-months time pays to the Party which delivered the special equipment and special means, difference in freely convertible currency between the price of the delivered special equipment and special means and the price which developed by deliveries of similar products to the world market less discount for every year of its operation (further - compensation).

Calculation of discount for every year of operation of the special equipment and special means is performed by the company software producer to approval of the state customer (regarding products which are purchased by it) proceeding from aggregate term of service of the delivered special equipment and special means.

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