Sourcing Policy

How Code Red approaches industrial part sourcing, supplier screening, condition disclosure, quote and delivery confirmation, documentation requests, and procurement controls.

Purpose of This Policy

This Sourcing Policy explains how Code Red Industrial Sourcing LLC approaches industrial part sourcing, supplier screening, condition disclosure, documentation requests, quote and delivery confirmation, and procurement controls.

The goal is straightforward: help business customers locate urgent, hard-to-find, obsolete, or otherwise time-sensitive industrial parts while reducing avoidable sourcing risk through disciplined verification practices.

Independent Sourcing Model

Code Red is an independent industrial sourcing company. Unless expressly stated in writing for a specific transaction, Code Red is not an authorized distributor, authorized reseller, agent, partner, or representative of any original equipment manufacturer or brand owner.

Brand names and manufacturer references are used to identify requested products and sourcing needs. They do not imply manufacturer affiliation or authorization.

Code Red holds no inventory and does not take physical possession of product in the ordinary course. Product ships from the supplier or a supplier-designated facility directly to the customer or the customer's designated recipient.

Source Prioritization

Supplier qualification before first order. Code Red's standard is to conduct a structured qualification review before releasing a first purchase order to a supplier. The review may cover business identity and legal entity, product categories and brand coverage, condition and testing practices, warranty and return terms, documentation availability, lead time and after-hours capability, drop-ship and blind-ship capability, packaging practices, and payment terms. A supplier that cannot or will not provide information reasonably required for the transaction may be declined, restricted, or limited to lower-risk transactions.

Supplier confidentiality and non-circumvention. Suppliers that fulfill Code Red orders — particularly orders shipping directly to a Code Red customer — are expected to execute a written mutual non-disclosure and non-circumvention agreement before the first order is released. Because a supplier preparing a direct shipment necessarily receives the delivery address and recipient contact required to ship, this written agreement, rather than carrier documentation, is the mechanism that protects the customer relationship and the supplier relationship. See Section 08.

What Code Red Tries to Confirm Before Quoting

• Exact catalog or part number provided by the customer or otherwise confirmed during the sourcing process.
• Manufacturer or brand identification when relevant.
• Quoted quantity and current availability status.
• Condition category, such as new factory-sealed, new surplus, refurbished, repaired, remanufactured, used, or another clearly disclosed condition.
• Known revision, series, firmware, voltage, or other commercially relevant variant information when the request requires it and the source can reasonably provide it.
• Configuration, option, suffix, or regional ordering codes embedded in the full part number, compared against the customer's stated requirement.
• Whether the requested item is a direct replacement or may require additional modification, accessories, software, or configuration in the existing system.
• Lead time, expected ship timing, and quote validity based on supplier confirmation at that time.
• Warranty or return terms represented by the source or available for that transaction.
• Shipping-relevant details required to prepare an accurate delivery plan, including piece count, weight, dimensions, packaging type, and any special handling or freight-classification requirements.

Where a part number, revision, or series is uncertain, Code Red may ask the customer for a photo of the installed unit's label or nameplate, or for any datasheets or drawings, to help confirm the correct item before quoting. Customer-provided photos and files are used as described in our Privacy Policy.

Intake by telephone or text message. Requests received by telephone or text message, including calls answered by an answering service acting on Code Red's behalf, are intake records used to open and prioritize a request. A call summary or message acknowledgment is not a quote, an availability confirmation, or a delivery commitment.

Proof Packages and Documentation Requests

For higher-risk, higher-value, obsolete, downtime-critical, or secondary-market requests, Code Red may request additional supplier evidence before release of procurement or before recommending a sourcing path.

Depending on the product and source, requested evidence may include product label photos, packaging photos, serial-number photos where available, dated possession photos, condition photos, test reports, inspection notes, repair documentation, warranty statements, source representations, or other commercially relevant records.

Documentation availability varies by supplier, product age, part type, and market conditions. Code Red will not represent that documentation exists unless it has been obtained or confirmed for that transaction.

Evidence is weighed, not just collected. Documentation alone does not prove authenticity. Generic certificates, datasheets, and stock photos are easily reproduced; the strongest evidence is the unit's own manufacturer nameplate and serial, cross-checked for internal consistency across the quote, the legal entity name, labels, serials, ship-from location, and payment details. Where authenticity is in question for a higher-value or non-authorized-source part, Code Red's preferred check is independent validation of the serial or date code with the manufacturer or an authorized distributor.

Pre-shipment photo documentation. For freight shipments, and for fragile or higher-value parcel shipments, Code Red's standard is to request or require photographs of the packaged shipment before carrier pickup where reasonably available and operationally practicable — including the applied label, packaging condition, and pallet, wrap, banding, or seals where applicable. These photographs support condition disclosure and may preserve evidence in the event of a later loss, damage, or shortage claim. A supplier that repeatedly fails to provide documentation required for the applicable transaction may be flagged for review or removed from Code Red's active supply bench.

Counterfeit and Misrepresentation Risk Controls

Code Red does not knowingly source or sell counterfeit, materially misrepresented, or intentionally deceptive products.

Risk controls may include supplier screening, listing review, consistency checks between quoted condition and photos, review of labels or serials when available, verification of a serial or date code with the manufacturer or authorized distributor where warranted for higher-risk parts, request for supporting records, rejection of suspicious listings, and escalation of questionable supply paths.

Higher-risk part categories. Counterfeit, relabeling, and condition-misrepresentation risk is not evenly distributed. Code Red applies heightened scrutiny to PLC CPUs and processors, communication and I/O modules, and VFDs and servo drives, and to any item that is obsolete, discontinued, unusually long lead time, or priced well below the rest of the market — conditions that create stronger incentives for gray-market activity.

Code Red applies risk-based controls informed by recognized industrial sourcing and counterfeit-risk practices rather than imposing the same level of review on every order. Depending on the risk, those controls may include traceability of quotes, invoices, serial information, and suppliers; independent verification of critical information with a manufacturer or authorized distributor where warranted; an internal supplier scorecard; and deeper scrutiny for high-value, urgent, obsolete, unusually priced, or unauthorized-source purchases.

Optional independent testing or inspection. For higher-value or higher-risk units, Code Red may offer an independent functional test, power-up check, inspection, or report as a separate quoted service. If included and approved, it may add per-unit cost and sourcing lead time. Testing or inspection is not a delivery-speed tier, carrier service, warranty, engineering approval, or guarantee of future performance. It does not by itself determine whether an order will be shipped directly, blind-shipped, or routed through another facility. Any product warranty remains the separate, passed-through warranty of the source as stated in the quote.

No sourcing process can eliminate all secondary-market risk. Code Red's policy is to reduce risk through reasonable diligence, clear disclosure, and disciplined supplier selection.

Product Condition Disclosure

Code Red will identify the quoted product condition in the written quote, invoice, order acknowledgment, or other transaction document where relevant.

Customers should not assume that a product is factory-new, manufacturer-direct, or authorized-channel stock unless the transaction documents expressly say so.

Condition disclosure is matched to the source type. New surplus or open-box stock may still carry a path to manufacturer support, while a refurbished or remanufactured unit is disclosed as such — including, where the source provides it, who performed the repair, what testing was done, and who is responsible for support after the sale.

If a customer requires only authorized-distributor supply, only factory-sealed units, specific traceability documents, minimum remaining warranty, or any other sourcing restriction, that requirement must be stated before quote approval.

Availability, Quote, and Delivery Boundaries

Industrial part availability can change quickly, especially for obsolete, low-stock, or emergency-sourcing items. Code Red may verify availability before issuing a quote, but the part is not reserved or procured until the order is accepted and funding is secured.

RFQ intake. Request priority, required-by date or time, destination, receiving requirements, and contact preference tell Code Red what the customer needs. They are not a customer-selected carrier service, confirmed ship date, guaranteed delivery date, or commitment that a part is available.

Delivery confirmation after sourcing. After a source is located, Code Red may obtain freight information and prepare one customer-facing delivery plan. The quote may state a carrier or service, sourcing lead time, estimated transit after carrier pickup, estimated delivery, shipping terms, and one customer delivery charge. Internal outbound freight cost and internal pricing calculations remain confidential.

Delivery revisions. If a customer requests a different delivery speed, destination, receiving requirement, or shipping term, Code Red treats it as a revision request. The current quote is not changed automatically. Code Red may preserve the prior version, create a new draft, reconfirm supplier and carrier details, and issue a replacement quote for approval. If procurement or shipment has already been released, a requested change may be unavailable or may cause additional cost or delay.

Quoted sourcing lead times, estimated carrier transit, availability, price, documentation, delivery charges, and warranty assumptions are subject to change if a supplier or carrier updates its position before procurement release.

A quote is not a guarantee of inventory control unless Code Red expressly confirms reservation, allocation, or completed procurement in writing.

Estimated delivery is not guaranteed unless Code Red expressly provides a written guarantee for that transaction. Carrier transit ordinarily begins only after the product is released to and accepted by the carrier. Same-day, hot-shot, overnight, expedited, appointment, and similar services remain subject to source, carrier, lane, cutoff, and destination availability.

Blind shipping — what it means and what it does not. Where blind shipping is requested, confirmed for a transaction, and supported by the applicable supplier and carrier, Code Red may be identified on shipping labels or freight documents in place of supplier or recipient company names to the extent operationally available. The supplier may also be instructed to remove branded packing slips, invoices, return labels, and promotional inserts where lawful and operationally practicable.

Carriers require accurate physical pickup and delivery addresses, and a recipient contact for delivery, in order to route the shipment, complete delivery, and obtain proof of delivery. Those addresses and the recipient contact therefore appear on carrier documentation and may be visible to the parties handling the shipment. A supplier preparing a direct shipment necessarily receives the delivery address and recipient contact.

Code Red does not represent or guarantee that any package, label, carrier record, tracking notification, delivery-exception communication, proof of delivery, return label, customs document, manufacturer marking, or legally required document will conceal a pickup or delivery address, the source, or Code Red's role. Blind shipping is confirmed per order and is available only where the applicable supplier and carrier support it; where it cannot be met for a specific shipment, Code Red will inform the customer and may propose alternative routing or decline the request.

Where confidentiality between a supplier and a recipient is material, that protection is addressed through the written non-disclosure and non-circumvention terms described in Section 3, not through carrier documentation. Customer instructions may not require Code Red, a supplier, or a carrier to make a false statement or omit legally required information.

Receiving and signature at delivery. Freight shipments require a person at the delivery location to receive the shipment and sign the delivery receipt or bill of lading. Because blind-shipping documents may identify Code Red as the receiving company, the customer must provide the name and contact information of a recipient authorized to receive and sign, and must ensure that person is available during the scheduled delivery window. The signed delivery receipt or proof of delivery is the primary evidence that a shipment was delivered, and a receipt signed without a written exception is generally treated as evidence that the shipment arrived complete and undamaged.

Shipment-protection decision. After a source and delivery plan are identified, Code Red may require shipment protection based on factors such as order value, scarcity or obsolescence, condition, fragility, replacement difficulty, and the shipping lane. This is an internal fulfillment decision, not a customer-selected RFQ option. When protection is included, its cost may be recovered through the stated delivery charge or overall quoted price; the provider, premium, coverage reference, and internal decision rules remain confidential.

Release gate. If Code Red requires shipment protection, coverage must be confirmed before the shipment is released. The customer may request a revised delivery plan before approval but may not direct Code Red to release a shipment without required protection. Only a documented Code Red owner waiver may authorize an exception. A declared value or carrier liability limit does not by itself establish cargo-insurance coverage.

Carrier service guarantees. Where a shipment is booked with a carrier service guarantee and the carrier misses the committed window, any resulting carrier refund or credit is governed by that carrier's service-guarantee terms, is generally limited to transportation charges only, does not include the value of the goods, and is subject to the carrier's filing deadline. A service-guarantee request is separate from a loss, damage, or shortage claim.

Funding Secured Procurement Gate

Code Red does not purchase from a supplier solely because a customer asks for a quote, verbally approves a quote, or submits a purchase order.

Before procurement is released, Code Red requires a funding path acceptable to Code Red. This may include full payment, a required deposit, approved third-party terms, accepted supplier-backed terms, or another written funding arrangement approved for the transaction.

A purchase order alone does not automatically secure a supplier order unless Code Red expressly approves that arrangement in writing.

Unless a transaction document states otherwise, the customer selects an available payment method during approval. Any applicable processing charge is shown before approval of that method and is not added to an earlier proposal merely as an internal estimate.

Customer Responsibilities

Customers are responsible for:

• Providing accurate part numbers, quantities, urgency, desired condition, technical constraints, and any procurement restrictions that matter to the buying decision.
• Providing, where available, a photo of the installed unit's label or nameplate when the part number, revision, or series is uncertain, to help confirm the correct item.
• Reviewing the quote carefully, including condition, source type, warranty description, lead time, documentation, freight assumptions, and any non-cancelable or non-returnable limitations.
• Reviewing the confirmed delivery plan and promptly requesting a revision before approval if a different carrier service, timing, destination, receiving requirement, or shipping term is needed.
• Providing accurate and authorized recipient, address, dock, liftgate, forklift, receiving-hours, appointment, and delivery-instruction information when requested.
• Designating a recipient authorized to receive and sign for the shipment, and ensuring that person is available during the scheduled delivery window.
• Confirming compatibility, installation requirements, revision or firmware requirements, and plant-specific safety or engineering approval before accepting the quote.
• Notifying Code Red before quote acceptance if authorized-channel only sourcing, factory-sealed only sourcing, or specific proof documents are mandatory.
• Treating any emailed change to payment or banking instructions as unverified until confirmed by phone with Code Red at its published number before remitting funds.
• Inspecting the shipment at delivery; counting the pieces against the label or bill of lading; noting visible damage or shortage specifically on the delivery receipt before signing; photographing the shipment, item, labels, and packaging; retaining all packaging and damaged goods; and notifying operations@coderedsourcing.com within twenty-four (24) hours of delivery.
• Notifying Code Red within one (1) business day if a guaranteed delivery window is missed, so that any carrier service-guarantee request can be submitted within the carrier's filing deadline.

Warranty, Returns, and RMA Position

Warranty and return rights depend on the specific transaction and will be governed by the quote, invoice, order acknowledgment, supplier warranty, manufacturer warranty where applicable, or another written transaction document.

Any warranty on a product is provided by the supplier or manufacturer, not by Code Red. Code Red does not issue its own warranty unless it expressly agrees to do so in writing for a specific transaction. Warranty duration, scope, and remedy vary by source, product, and condition — they may range from a short-term warranty to a multi-year warranty, or the item may be sold as final-sale with no warranty — and the terms that apply are those stated in that order's quote or invoice.

For a defective or dead-on-arrival unit, the source's process typically requires return under an RMA before a replacement, credit, or refund is issued; where an advance replacement is offered, it may be invoiced and credited only after the original unit is returned and evaluated.

Inspection on arrival; separate notice windows. Transit damage or shortage must be reported to Code Red within twenty-four (24) hours of delivery, with the delivery receipt, photographs, packaging, and damaged goods preserved. A dead-on-arrival unit, wrong item, or other product issue must be reported within the inspection period stated in the quote or order documents or, if none is stated, within five (5) business days, before installation, energizing, configuration, modification, or alteration. Reporting a problem does not guarantee approval of a carrier, insurance, supplier, warranty, replacement, credit, or refund claim.

Customer-error returns and restocking. Where a customer ordered the wrong model, voltage, configuration, or quantity, any exchange or return is available only while the unit remains new, unused, factory-sealed, and in its original packaging, and only where the transaction documents permit it. Unless the transaction documents state a different amount, a restocking or cancellation fee of thirty percent (30%) of the product value applies to customer-driven returns and cancellations that are not caused by a defect, shipping damage, or a Code Red or supplier error. The customer also remains responsible for return-freight costs. Restocking terms, cancellation windows, and return-freight responsibility may differ from source to source and will be disclosed in the transaction documents.

Return routing. Because Code Red holds no inventory and does not take physical possession of returns, authorized returns ship to the supplier or a supplier-designated inspection point under Code Red's written return instructions, using the same blind-shipping and packaging standards that apply to outbound shipments. No refund, credit, repair, or replacement decision is final before the receiving party has received and inspected the item.

Some industrial parts, especially obsolete, emergency, configured, special-order, repaired, installed, energized, or secondary-market items, may carry no warranty and may be non-cancelable and non-returnable where disclosed.

No return is approved unless Code Red issues written authorization and any required RMA instructions.

Liability Awareness in Sourcing Transactions

Code Red's sourcing role is commercial and procurement-focused. Code Red is not responsible for customer downtime, lost production, lost profits, business interruption, substitute procurement costs, or other indirect or consequential business losses related to a product sourcing transaction.

Any liability limitation, warranty limitation, or exclusive remedy applicable to a transaction will be governed by Code Red's Terms of Use and the specific quote, invoice, order acknowledgment, or other transaction document.

Customers should review all transaction documents before approval.

No Engineering or Safety Certification

Code Red's sourcing review is commercial and documentation-focused. It is not a substitute for engineering validation, electrical design review, machinery safety approval, plant maintenance judgment, system integrator review, or OEM technical certification.

Any functional test, inspection, or test report is likewise informational only, does not create or extend any warranty, and does not constitute engineering approval or certification of fitness, compatibility, safety, or compliance for the customer's application.

Customers remain responsible for determining whether a product is appropriate for their equipment, process, compliance environment, and risk tolerance.

Continuous Improvement

Code Red may update its supplier screening, documentation requests, and risk controls as the business grows, as market conditions change, and as new sourcing or counterfeit risks emerge.

The version posted on the website is the current public Sourcing Policy unless a transaction document provides more specific terms.