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International Sales Agreement

International Sales Agreement Template for India

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Key Requirements PROMPT example:

International Sales Agreement

"I need an International Sales Agreement for my Mumbai-based textile manufacturing company to export cotton fabrics to a German retailer, with quarterly minimum purchase commitments and payment via confirmed Letter of Credit."

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Document background
The International Sales Agreement is essential for businesses engaged in cross-border trade with Indian entities. It is primarily used when an Indian company sells goods to foreign buyers, requiring careful consideration of both Indian legal requirements and international trade practices. The document addresses crucial elements including product specifications, pricing, payment terms (often involving Letters of Credit), delivery terms (using Incoterms), quality standards, and compliance with Indian foreign exchange regulations. The agreement must comply with Indian contract law while incorporating international best practices, making it suitable for various commercial sectors. It typically includes detailed provisions for dispute resolution, often specifying arbitration in India, and ensures compliance with key Indian legislation such as the Indian Contract Act, 1872, and FEMA, 1999.
Suggested Sections

1. Parties: Identification and details of the seller and buyer, including registered addresses and company registration numbers

2. Background: Context of the agreement, including brief description of the parties' businesses and purpose of the agreement

3. Definitions: Definitions of key terms used throughout the agreement, including technical terms, trade terms, and abbreviations

4. Scope of Agreement: Description of products/goods being sold and general framework of the sales arrangement

5. Price and Payment Terms: Pricing details, currency, payment methods, payment schedule, and banking details

6. Delivery and Shipping Terms: Incoterms, delivery schedule, shipping arrangements, and transfer of risk

7. Quality and Inspection: Product specifications, quality standards, inspection procedures, and acceptance criteria

8. Warranties and Representations: Warranties regarding product quality, compliance with laws, and general business representations

9. Title and Risk: Transfer of ownership, retention of title provisions, and risk allocation

10. Compliance and Documentation: Export/import compliance, required documentation, and regulatory requirements

11. Term and Termination: Duration of agreement, renewal terms, and termination rights

12. Dispute Resolution: Governing law, jurisdiction, arbitration provisions, and dispute resolution procedures

13. General Provisions: Standard boilerplate clauses including force majeure, notices, and amendments

Optional Sections

1. Minimum Purchase Commitments: Used when buyer agrees to purchase minimum quantities over specified periods

2. Exclusivity: Include when either party is granted exclusive rights in certain territories or for certain products

3. Insurance: Detailed insurance requirements, recommended for high-value goods or high-risk territories

4. Intellectual Property: Include when products involve patents, trademarks, or other IP rights

5. Confidentiality: Detailed confidentiality provisions if sensitive information is shared

6. Training and Support: Include when seller provides product training or technical support

7. Change Control: Used for complex products where specifications may need future modification

8. Environmental Compliance: Include for products with environmental impact or regulatory requirements

9. Anti-Corruption Compliance: Recommended for high-risk jurisdictions or government-related sales

Suggested Schedules

1. Product Specifications: Detailed technical specifications of products

2. Pricing Schedule: Detailed pricing, including any volume discounts or price adjustment mechanisms

3. Delivery Schedule: Specific delivery timeframes and locations

4. Quality Standards: Detailed quality requirements and testing procedures

5. Required Documentation: List of required shipping, customs, and compliance documents

6. Service Level Agreement: Performance metrics and standards if applicable

7. Approved Subcontractors: List of approved manufacturers or shipping providers if applicable

8. Form of Purchase Order: Standard form for ordering under the agreement

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Agreement
Affiliate
Applicable Law
Business Day
Buyer
Confidential Information
Contract Price
Delivery Date
Delivery Point
Effective Date
Force Majeure Event
Goods
Incoterms
Intellectual Property Rights
Letter of Credit
Material Adverse Effect
Order
Payment Terms
Product Specifications
Purchase Order
Quality Standards
RBI
Related Party
Seller
Shipping Documents
Specifications
Subcontractor
Term
Territory
Trade Documents
Warranties
Working Day
Bill of Lading
Certificate of Origin
Commercial Invoice
Compliance Requirements
Contract Year
Customs Duties
DGFT
Export License
FEMA
GST
Import License
Inspection Certificate
Insurance Certificate
Minimum Order Quantity
Packing List
Port of Delivery
Port of Origin
Quality Certificate
Shipping Terms
Technical Documentation
Unit Price
Clauses
Definitions
Interpretation
Sale and Purchase
Product Specifications
Price and Payment
Delivery
Title and Risk
Quality Assurance
Inspection and Testing
Warranties
Representations
Packaging and Labeling
Shipping Terms
Documentation Requirements
Export/Import Compliance
Foreign Exchange Compliance
Customs Clearance
Insurance
Force Majeure
Confidentiality
Intellectual Property
Indemnification
Limitation of Liability
Term and Duration
Termination
Consequences of Termination
Assignment
Subcontracting
Notices
Governing Law
Dispute Resolution
Arbitration
Anti-Corruption
Sanctions Compliance
Environmental Compliance
Change Control
Entire Agreement
Amendments
Severability
Waiver
Third Party Rights
Counterparts
Language
Relationship of Parties
Exclusivity
Competition
Order Processing
Minimum Purchase Commitments
Price Adjustment
Currency and Exchange Rate
Bank Guarantees
Letter of Credit
Product Returns
Recall Procedures
Relevant Industries

Manufacturing

Automotive

Electronics

Textiles

Pharmaceuticals

Chemical

Agriculture

Consumer Goods

Industrial Equipment

Information Technology

Food and Beverage

Raw Materials

Precious Metals

Machinery

Relevant Teams

Legal

Commercial

Sales

Export

Finance

Compliance

Supply Chain

Operations

Quality Assurance

Procurement

Business Development

Risk Management

International Trade

Documentation

Relevant Roles

Chief Executive Officer

Commercial Director

Export Manager

International Sales Manager

Legal Counsel

Contract Manager

Procurement Manager

Supply Chain Manager

Finance Director

Compliance Officer

Sales Director

Business Development Manager

Operations Manager

Trade Finance Manager

Quality Assurance Manager

Industries
Indian Contract Act, 1872: Fundamental law governing contract formation, validity, and enforcement in India, including essential elements of a valid contract, breach, and remedies
Sale of Goods Act, 1930: Regulates the sale of goods, including conditions and warranties, transfer of property, delivery obligations, and rights of unpaid sellers
Foreign Exchange Management Act (FEMA), 1999: Governs foreign exchange transactions, cross-border payments, and currency regulations in international trade
Arbitration and Conciliation Act, 1996: Provides framework for international commercial arbitration and enforcement of foreign arbitral awards in India
Integrated Goods and Services Tax (IGST) Act, 2017: Covers taxation aspects of international transactions including exports and imports under GST regime
Foreign Trade (Development and Regulation) Act, 1992: Regulates foreign trade policy, import-export regulations, and licensing requirements
UN Convention on Contracts for International Sale of Goods (CISG): Though India is not a signatory, awareness is important as it's widely used in international trade and may be relevant when dealing with CISG member countries
Customs Act, 1962: Regulates import and export of goods, customs duties, and border control procedures
Information Technology Act, 2000: Relevant for electronic contracts and digital signatures in international trade
Bureau of Indian Standards Act, 2016: Establishes standards for goods and may be relevant for quality specifications in international sales
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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