Consignment Sales Agreement Template for Switzerland

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Key Requirements PROMPT example:

Consignment Sales Agreement

"I need a Consignment Sales Agreement under Swiss law for my luxury watch business, where we'll be consigning timepieces worth over CHF 500,000 to high-end retailers across Europe, with special emphasis on security requirements and commission structures based on sales thresholds."

Document background
The Consignment Sales Agreement is a crucial document for businesses operating in Switzerland that wish to establish a commercial arrangement where products are sold through a third party without transferring ownership until the final sale. This agreement type is particularly valuable for suppliers looking to expand their market presence while maintaining control over their inventory, and for retailers seeking to offer products without the financial burden of inventory purchase. The document comprehensively addresses all aspects of the consignment relationship, including storage, handling, pricing, commission structures, and risk allocation, while ensuring compliance with Swiss legal requirements. It's especially relevant in sectors where product value, seasonality, or market testing are important considerations. The agreement must conform to Swiss law, particularly the Swiss Code of Obligations, and includes provisions for VAT handling and commercial registry compliance.
Suggested Sections

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

2. Background: Context of the agreement, nature of the parties' businesses, and general purpose of the consignment arrangement

3. Definitions: Definitions of key terms used throughout the agreement

4. Appointment and Scope: Terms of appointment of the Consignee and scope of the consignment arrangement

5. Delivery and Storage: Terms regarding delivery, storage, and handling of consigned goods

6. Title and Risk: Provisions clarifying that title remains with Consignor until sale, and allocation of risk

7. Pricing and Commission: Structure of pricing, commission rates, and payment terms

8. Sales Procedures: Required procedures for selling consigned goods and handling customer transactions

9. Accounting and Reporting: Requirements for accounting, inventory management, and regular reporting

10. Returns and Unsold Goods: Procedures for handling returns and disposition of unsold goods

11. Insurance: Insurance requirements for consigned goods

12. Term and Termination: Duration of agreement and termination provisions

13. Governing Law and Jurisdiction: Specification of Swiss law as governing law and jurisdiction for disputes

Optional Sections

1. Marketing and Promotion: Requirements for marketing and promoting the consigned goods, used when specific promotional activities are expected

2. Exclusivity: Terms regarding territorial or customer exclusivity, included when exclusive rights are granted

3. Minimum Performance Requirements: Sales targets or other performance metrics, included when specific performance levels are required

4. Data Protection: Provisions regarding handling of customer data, required when personal data processing is involved

5. Intellectual Property: IP rights and usage terms, included when branded goods or proprietary materials are involved

6. Force Majeure: Provisions for unforeseen circumstances, recommended for longer-term arrangements

7. Anti-Corruption: Compliance with anti-corruption laws, important for international arrangements

8. Bank Guarantee: Terms for bank guarantee or other security, used when additional financial security is required

Suggested Schedules

1. Schedule 1 - Consigned Goods: Detailed list of consigned goods with descriptions and specifications

2. Schedule 2 - Commission Structure: Detailed breakdown of commission rates and calculation methods

3. Schedule 3 - Operating Procedures: Detailed procedures for handling, storing, and selling consigned goods

4. Schedule 4 - Reporting Templates: Templates for required regular reports and accounting statements

5. Schedule 5 - Storage Requirements: Specific requirements for storage and handling of consigned goods

6. Appendix A - Insurance Requirements: Detailed insurance requirements and minimum coverage levels

7. Appendix B - Quality Standards: Quality standards and inspection procedures for consigned goods

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 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

Retail

Luxury Goods

Fashion and Apparel

Art and Antiques

Electronics

Automotive Parts

Industrial Equipment

Sporting Goods

Jewelry

Home Furnishings

Agricultural Products

Consumer Goods

Publishing

Relevant Teams

Legal

Commercial

Finance

Operations

Supply Chain

Retail Operations

Compliance

Procurement

Business Development

Logistics

Inventory Management

Sales

Risk Management

Relevant Roles

Commercial Director

Sales Manager

Retail Operations Manager

Supply Chain Manager

Legal Counsel

Finance Director

Inventory Manager

Business Development Manager

Procurement Manager

Compliance Officer

Contract Administrator

Chief Financial Officer

Chief Operating Officer

Retail Store Manager

Logistics Manager

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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