A Letter Of Intent Procurement is a crucial preliminary document in Philippine procurement processes, used to formally express a party's intention to proceed with a procurement transaction before finalizing a detailed contract. It is particularly relevant in both public and private sector procurement, though public sector use must strictly comply with Republic Act 9184 (Government Procurement Reform Act) and its implementing rules. The document serves as a bridge between initial negotiations and final contract execution, typically issued after bid evaluation but before final award. It contains essential terms such as price, quantity, delivery schedules, and compliance requirements, while also establishing the framework for subsequent detailed negotiations. This document type is especially important in the Philippine context where formal documentation of procurement intentions is required for transparency and audit purposes.
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1. Letter Header: Complete business details of the sender including company name, address, and contact information
2. Date and Reference Number: Current date and any relevant reference numbers for tracking purposes
3. Recipient Details: Full name, title, and address of the recipient/procurement entity
4. Subject Line: Clear indication that this is a Letter of Intent for specific procurement
5. Opening Statement: Formal introduction and reference to any previous communications or bid process
6. Expression of Intent: Clear statement of intention to proceed with the procurement and brief description of goods/services
7. Key Terms: Essential terms including proposed price, quantity, and delivery timeline
8. Compliance Statement: Declaration of compliance with RA 9184 and relevant procurement regulations
9. Validity Period: Duration for which the Letter of Intent remains valid
10. Next Steps: Proposed timeline and process for moving forward
11. Closing Statement: Professional closing with contact details for further communication
12. Signature Block: Space for authorized signatory with full name and title
1. Conditions Precedent: Any specific conditions that must be met before proceeding with the procurement
2. Performance Security: Details of any required performance security or bonds, if applicable
3. Confidentiality Statement: Statement regarding confidentiality of terms and information, if required
4. Local Content Commitment: Statement regarding compliance with any local content requirements
5. Anti-Corruption Declaration: Specific anti-corruption commitments, particularly for high-value procurement
6. Force Majeure Provisions: Basic provisions for unforeseen circumstances, if relevant to the procurement context
1. Technical Specifications: Detailed specifications of goods or services to be procured
2. Price Schedule: Detailed breakdown of prices and payment terms
3. Delivery Schedule: Detailed timeline for delivery or implementation
4. Required Certifications: Copies of relevant business permits, licenses, and certifications
5. Supporting Documents: Any relevant bid documents, proposals, or technical submissions referenced in the LOI
6. Proof of Authority: Documentation showing the authority of the signatory to issue the LOI
Relevant legal definitions
Clauses
Relevant Industries
Government and Public Sector
Construction and Infrastructure
Information Technology
Healthcare and Medical Supplies
Education
Manufacturing
Transportation and Logistics
Energy and Utilities
Defense and Security
Agriculture and Food Supply
Professional Services
Relevant Teams
Procurement
Legal
Supply Chain
Finance
Operations
Compliance
Risk Management
Contract Administration
Project Management
Vendor Management
Relevant Roles
Procurement Manager
Contract Administrator
Legal Counsel
Supply Chain Manager
Purchasing Officer
Bid and Tender Specialist
Compliance Officer
Government Procurement Officer
Chief Financial Officer
Project Manager
Operations Director
Vendor Relations Manager
Risk Management Officer
Technical Evaluation Officer
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