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Commercial Supplier Agreement Template for India

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Key Requirements PROMPT example:

Commercial Supplier Agreement

"I need a Commercial Supplier Agreement under Indian law for a software development company providing IT services, with specific focus on data protection, intellectual property rights, and service level agreements, to be effective from March 2025."

Document background
The Commercial Supplier Agreement serves as the primary contractual framework for establishing and managing supplier relationships in the Indian business context. This document is essential when organizations need to formalize their supply arrangements for goods or services, ensuring compliance with Indian commercial law while protecting both parties' interests. It includes comprehensive provisions covering ordering processes, delivery terms, quality requirements, payment conditions, and dispute resolution mechanisms. The agreement is structured to comply with Indian legislation, including the Indian Contract Act, 1872, and related commercial laws, while incorporating international best practices in supply chain management. This template is particularly valuable for businesses establishing long-term supply relationships that require detailed terms and conditions, clear performance metrics, and robust risk management provisions.
Suggested Sections

1. Parties: Identifies and provides full legal details of the supplier and customer entities

2. Background: Sets out the context of the agreement and brief description of the business relationship

3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes interpretation rules

4. Scope of Supply: Details the goods and/or services to be provided by the supplier

5. Term and Renewal: Specifies the duration of the agreement and any renewal provisions

6. Ordering Process: Outlines the procedure for placing and accepting orders

7. Delivery and Acceptance: Specifies delivery terms, timelines, and acceptance criteria

8. Price and Payment: Details the pricing structure, payment terms, and invoicing process

9. Quality Requirements: Sets out quality standards and specifications for the goods/services

10. Warranties and Representations: Lists warranties provided by both parties regarding their capacity and the goods/services

11. Liability and Indemnification: Defines the liability limitations and indemnification obligations

12. Confidentiality: Establishes obligations regarding confidential information

13. Intellectual Property Rights: Addresses ownership and usage rights of intellectual property

14. Termination: Specifies circumstances and process for contract termination

15. Force Majeure: Addresses unforeseeable circumstances preventing contract performance

16. Governing Law and Jurisdiction: Specifies applicable law and jurisdiction for dispute resolution

17. General Provisions: Contains standard boilerplate clauses including notices, assignment, and entire agreement

Optional Sections

1. Insurance: Required when specific insurance coverage needs to be maintained by either party

2. Data Protection: Necessary when personal data processing is involved in the supply relationship

3. Compliance with Laws: Detailed section needed when specific regulatory compliance is crucial

4. Environmental Requirements: Important for supplies involving environmental considerations or hazardous materials

5. Business Continuity: Required for critical supplies where service continuation is essential

6. Security Requirements: Necessary when supplier requires access to customer systems or facilities

7. Anti-Corruption and Ethics: Important for high-value contracts or when dealing with government entities

8. Change Control: Required for long-term agreements where changes to specifications may be needed

9. Service Levels: Necessary when specific performance metrics need to be maintained

10. Parent Company Guarantee: Required when additional financial security is needed from supplier's parent company

Suggested Schedules

1. Schedule 1 - Goods and Services Specification: Detailed technical specifications of goods/services to be supplied

2. Schedule 2 - Pricing Schedule: Detailed breakdown of prices, rates, and any volume discounts

3. Schedule 3 - Service Levels and KPIs: Specific performance metrics and measurement criteria

4. Schedule 4 - Form of Purchase Order: Template for placing orders under the agreement

5. Schedule 5 - Delivery Locations: List of approved delivery locations and specific requirements

6. Schedule 6 - Contact Details: Key contact persons and escalation matrix for both parties

7. Schedule 7 - Quality Standards: Detailed quality requirements and testing procedures

8. Schedule 8 - Form of Change Order: Template for documenting agreed changes to specifications

9. Appendix A - Insurance Requirements: Detailed insurance coverage requirements and minimum limits

10. Appendix B - Compliance Requirements: Specific regulatory or industry compliance requirements

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

Technology

Retail

Automotive

Pharmaceuticals

Consumer Goods

Industrial Equipment

Electronics

Telecommunications

Food and Beverage

Logistics

Healthcare

Construction

Energy

Chemical

Relevant Teams

Procurement

Legal

Finance

Operations

Supply Chain

Commercial

Quality Assurance

Risk Management

Compliance

Vendor Management

Contract Administration

Relevant Roles

Procurement Manager

Supply Chain Director

Legal Counsel

Commercial Director

Chief Financial Officer

Operations Manager

Quality Assurance Manager

Contract Manager

Vendor Manager

Risk Manager

Compliance Officer

Finance Director

Head of Operations

Category Manager

Chief Operating 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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