Basic Sales Contract Template for Hong Kong

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Key Requirements PROMPT example:

Basic Sales Contract

"I need a Basic Sales Contract under Hong Kong law for the sale of electronic components from my manufacturing company to a local distributor, with monthly deliveries starting from March 2025 and including quality testing requirements."

Document background
The Basic Sales Contract serves as a fundamental legal instrument for documenting commercial transactions in Hong Kong. It is designed for use in situations where parties need a clear and legally compliant framework for the sale and purchase of goods. The document incorporates requirements from Hong Kong's Sale of Goods Ordinance and related commercial laws, making it suitable for both business-to-business and business-to-consumer transactions. This Basic Sales Contract is particularly valuable for companies engaged in regular trading activities within Hong Kong's jurisdiction, providing essential protections for both sellers and buyers while maintaining flexibility to accommodate various types of goods and commercial terms. The contract includes provisions for key aspects such as price, delivery, quality standards, and risk transfer, while remaining adaptable to specific transaction requirements.
Suggested Sections

1. Parties: Identifies and provides full details of the seller and buyer, including registration numbers for companies

2. Background: Sets out the context of the sale and basic intentions of the parties

3. Definitions: Defines key terms used throughout the agreement

4. Sale and Purchase: Core terms of the sale including description of goods and purchase price

5. Delivery: Terms relating to delivery including timing, location, and risk transfer

6. Price and Payment: Detailed payment terms, method of payment, and currency

7. Quality and Description: Specifications of the goods and quality standards to be met

8. Warranties: Warranties given by seller regarding the goods and general warranties from both parties

9. Title and Risk: When and how title passes to the buyer and allocation of risk

10. Term and Termination: Duration of the agreement and circumstances for termination

11. Governing Law and Jurisdiction: Confirms Hong Kong law governs and jurisdiction for disputes

12. Execution: Signature blocks and execution formalities

Optional Sections

1. Intellectual Property: Required when the goods involve any IP rights or licenses

2. Inspection and Testing: Include when buyer requires right to inspect goods before acceptance

3. Insurance: Include when specific insurance requirements are needed for high-value goods

4. Confidentiality: Include when sensitive information will be exchanged

5. Force Majeure: Include when specific protection against unforeseen events is required

6. Export/Import Controls: Required for international sales or restricted goods

7. Return and Refund Policy: Include for retail or consumer sales

8. Data Protection: Include when personal data will be processed as part of the sale

Suggested Schedules

1. Schedule 1 - Specification of Goods: Detailed technical specifications and descriptions of the goods

2. Schedule 2 - Pricing Schedule: Detailed pricing information, especially for multiple items or variable pricing

3. Schedule 3 - Delivery Schedule: Detailed delivery timeline and locations, especially for multiple deliveries

4. Schedule 4 - Quality Standards: Specific quality requirements, standards, and testing procedures

5. Appendix A - Form of Acceptance Certificate: Standard form for accepting delivery of goods

6. Appendix B - Return Form: Standard form for returning goods (if applicable)

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 Industries

Retail

Manufacturing

Wholesale Trade

Import/Export

Consumer Goods

Electronics

Textiles

Food and Beverage

Industrial Equipment

Small and Medium Enterprises

E-commerce

General Trading

Relevant Teams

Legal

Procurement

Sales

Commercial

Operations

Finance

Compliance

Supply Chain

Business Development

Contract Administration

Relevant Roles

Procurement Manager

Sales Manager

Commercial Director

Legal Counsel

Contract Administrator

Business Development Manager

Operations Manager

Supply Chain Manager

Chief Financial Officer

Company Director

Compliance Officer

General Manager

Purchasing Officer

Sales Executive

Trade Finance 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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