Procurement Commercial Term Sheet
PROCUREMENT COMMERCIAL TERM SHEET
I. Introduction
This Procurement Commercial Term Sheet outlines the essential terms and conditions governing the commercial procurement agreement between [Your Company Name] ("Buyer") and [Supplier Name] ("Supplier"). This document serves as a preliminary agreement, setting the framework for the detailed contract negotiations. Both parties agree to abide by the terms specified herein until a formal contract is executed.
II. Parties Involved
A. Buyer Information
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Company Name: [Your Company Name]
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Contact Person: [Your Name]
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Department: [Your Department]
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Address: [Your Company Address]
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Phone Number: [Your Company Number]
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Email: [Your Email]
B. Supplier Information
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Company Name: [Supplier Name]
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Contact Person: [Supplier Contact Name]
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Address: [Supplier Address]
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Phone Number: [Supplier Phone Number]
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Email: [Supplier Email Address]
III. Scope of Procurement
The procurement agreement covers the following scope of products/services:
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Product/Service Description: Procurement of 1000 units of XYZ product.
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Quantity: 1000 units
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Delivery Schedule: Delivery to be completed within 30 days of contract execution.
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Specifications: XYZ products must meet industry standards and quality benchmarks.
IV. Terms and Conditions
A. Pricing and Payment Terms
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Unit Price: $100 per unit
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Total Contract Value: $100,000
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Payment Schedule: 50% advance payment upon signing, remaining 50% upon delivery acceptance.
B. Warranties and Guarantees
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Supplier's Warranties: 1-year warranty on product quality and functionality.
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Buyer's Remedies: Replacement or refund for defective units within the warranty period.
C. Intellectual Property Rights
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Ownership: All intellectual property rights related to customizations or enhancements to the product during procurement shall belong to [Your Company Name]
V. Confidentiality and Non-Disclosure
Both parties agree to maintain the confidentiality of all information shared during the procurement process and not disclose it to third parties without prior written consent.
VI. Governing Law and Dispute Resolution
Any disputes arising from this agreement shall be governed by the laws of [Jurisdiction] and resolved through [Arbitration/Mediation/Litigation] as per the agreed-upon dispute resolution mechanism.
VII. Signatures
This Procurement Commercial Term Sheet is executed by the authorized representatives of the parties on the date first written above.
[Your Name]
[Your Position]
[Your Company Name]
[Supplier Contact Name]
[Supplier Position]
[Supplier Name]
