Document background
The International Contract of Sale is a fundamental document used for cross-border commercial transactions where at least one party is based in Pakistan. This agreement is essential when Pakistani companies engage in international trade, whether importing goods from foreign suppliers or exporting to international buyers. The document must comply with Pakistani law, including the Contract Act 1872 and Sale of Goods Act 1930, while incorporating international trade practices and INCOTERMS. It typically includes detailed provisions on product specifications, quality standards, payment mechanisms (such as Letters of Credit), shipping terms, risk transfer, regulatory compliance, and dispute resolution. The contract is particularly important for ensuring clarity in cross-border transactions and providing legal protection for both parties while navigating the complexities of international trade regulations and Pakistani legal requirements.
