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Product Supply Agreement Template for Germany

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Key Requirements PROMPT example:

Product Supply Agreement

"I need a Product Supply Agreement under German law for supplying automotive parts to a major car manufacturer, including strict quality control measures and compliance with industry safety standards, with the agreement planned to commence in March 2025."

Document background
This Product Supply Agreement template is designed for use in commercial relationships governed by German law where one party agrees to supply products to another on an ongoing basis. It incorporates key requirements from German commercial legislation, including the BGB and HGB, and addresses essential aspects such as product specifications, ordering procedures, quality standards, and liability provisions. The document is particularly suitable for businesses establishing long-term supply relationships in Germany or with German entities, requiring compliance with German product safety regulations, packaging laws, and commercial practices. It can be customized based on specific industry requirements while maintaining compliance with mandatory German legal provisions.
Suggested Sections

1. Parties: Identification and details of the supplier and buyer, including full legal names, registration details, and addresses

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions and Interpretation: Definitions of key terms and interpretation rules, including German law-specific terminology

4. Supply Obligations: Core obligations of the supplier, including product specifications, quantities, and delivery terms

5. Ordering Process: Procedures for placing and accepting orders, including lead times and order modifications

6. Delivery and Risk: Delivery terms, Incoterms, transfer of risk, and delivery documentation requirements

7. Price and Payment: Product pricing, payment terms, invoicing procedures, and price adjustment mechanisms

8. Quality Requirements: Product quality standards, testing procedures, and quality assurance obligations

9. Warranties: Product warranties, quality guarantees, and warranty claim procedures

10. Non-Conforming Products: Procedures for handling defective or non-conforming products and remedies

11. Liability and Indemnification: Liability provisions, limitations, and indemnification obligations compliant with German law

12. Term and Termination: Duration of agreement, renewal provisions, and termination rights

13. Force Majeure: Events constituting force majeure and consequences

14. Confidentiality: Protection of confidential information and trade secrets

15. Governing Law and Jurisdiction: Confirmation of German law governance and jurisdiction for disputes

16. General Provisions: Standard boilerplate clauses including severability, entire agreement, and amendments

Optional Sections

1. Minimum Purchase Obligations: Used when buyer commits to minimum purchase quantities or values

2. Exclusivity: Include when either party has exclusive rights or obligations

3. Intellectual Property Rights: Required when IP rights are relevant to the products or relationship

4. Compliance with Laws: Detailed compliance obligations for regulated products or industries

5. Insurance: Specific insurance requirements beyond standard coverage

6. Product Development: Include when parties collaborate on product development or modifications

7. Forecast Requirements: Used when buyer must provide regular forecasts

8. Storage and Warehousing: Include for consignment stock or specific storage requirements

9. Change Management: Procedures for handling product or specification changes

10. Exit Management: Include for complex supply relationships requiring detailed termination procedures

Suggested Schedules

1. Product Specifications: Detailed technical specifications and requirements for each product

2. Pricing Schedule: Detailed pricing information, including any volume discounts or special pricing terms

3. Quality Standards: Specific quality requirements, testing procedures, and acceptance criteria

4. Service Levels: Delivery timeframes, performance metrics, and related penalties/bonuses

5. Ordering Procedures: Detailed procedures for order placement, modification, and cancellation

6. Key Contacts: Contact details for key personnel from both parties

7. Packaging Specifications: Detailed packaging and labeling requirements

8. Compliance Certificates: Required certifications, permits, and compliance documentation

9. Form of Purchase Order: Standard form of purchase order to be used

10. Form of Quality Report: Template for quality reporting and documentation

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































Clauses









































Relevant Industries

Manufacturing

Automotive

Electronics

Consumer Goods

Industrial Equipment

Chemical

Pharmaceutical

Food and Beverage

Retail

Technology

Medical Devices

Textiles

Construction Materials

Agriculture

Energy

Relevant Teams

Legal

Procurement

Supply Chain

Operations

Quality Assurance

Commercial

Sales

Compliance

Finance

Logistics

Risk Management

Business Development

Relevant Roles

Procurement Manager

Supply Chain Director

Commercial Director

Legal Counsel

Contract Manager

Operations Manager

Quality Assurance Manager

Purchasing Director

Sales Director

Business Development Manager

Supply Chain Analyst

Vendor Manager

Category Manager

Chief Operating Officer

General Counsel

Compliance Officer

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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