All Countries
Procurement
Preferred Supplier Agreement

Preferred Supplier Agreement Template for South Africa

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Preferred Supplier Agreement

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Preferred Supplier Agreement

"I need a Preferred Supplier Agreement for a manufacturing company in South Africa supplying automotive parts, with specific focus on B-BBEE compliance and quality control requirements, to be effective from March 2025."

Celebrated by
Collaborations with
Investors
Document background
The Preferred Supplier Agreement is a strategic commercial contract used to establish and govern long-term preferential supply relationships in the South African market. This agreement is typically implemented when a company wishes to secure favorable terms and conditions with a key supplier while ensuring compliance with South African legislative requirements, including the Competition Act, Consumer Protection Act, and B-BBEE legislation. The document provides a comprehensive framework covering commercial terms, operational procedures, quality standards, and risk allocation, while maintaining flexibility through schedules that can be updated as the relationship evolves. It is particularly valuable for organizations seeking to optimize their supply chain management while maintaining regulatory compliance and managing supplier relationships effectively.
Suggested Sections

1. Parties: Identification and details of the contracting parties

2. Background: Context of the agreement and relationship between the parties

3. Definitions and Interpretation: Defined terms and rules of interpretation

4. Appointment and Scope: Formal appointment of supplier and scope of supply relationship

5. Term and Renewal: Duration of agreement and renewal provisions

6. Ordering Process: Procedures for placing and accepting orders

7. Pricing and Payment Terms: Price structures, payment terms, and invoicing requirements

8. Delivery and Performance: Delivery terms, timelines, and performance standards

9. Quality Requirements: Quality standards, specifications, and quality control processes

10. Warranties and Representations: Warranties regarding products/services and general business operations

11. Compliance and B-BBEE: Regulatory compliance obligations and B-BBEE requirements

12. Intellectual Property: IP rights and protections

13. Confidentiality: Protection of confidential information

14. Limitation of Liability: Liability caps and exclusions

15. Termination: Termination rights and processes

16. General Terms: Standard boilerplate provisions

Optional Sections

1. Service Levels: Detailed service level requirements and KPIs - include for service-based agreements

2. Insurance: Specific insurance requirements - include for high-risk supplies or services

3. Data Protection: POPIA compliance provisions - include if personal information is processed

4. Environmental Requirements: Environmental standards and compliance - include for environmentally sensitive supplies

5. Security Requirements: Security protocols and requirements - include for sensitive operations or information

6. Business Continuity: Business continuity and disaster recovery - include for critical suppliers

7. Anti-Corruption: Anti-corruption and ethics provisions - include for international trade or high-risk sectors

8. Change Control: Process for implementing changes - include for complex or long-term relationships

Suggested Schedules

1. Schedule 1 - Products/Services: Detailed description of products or services to be supplied

2. Schedule 2 - Pricing Schedule: Detailed pricing structures, rates, and pricing review mechanisms

3. Schedule 3 - Service Levels: Detailed service level specifications and measurement criteria

4. Schedule 4 - Technical Specifications: Technical requirements and specifications for products/services

5. Schedule 5 - Key Personnel: Details of key personnel and their roles (if applicable)

6. Schedule 6 - Operational Procedures: Detailed operational procedures and requirements

7. Schedule 7 - Forms and Templates: Standard forms for orders, reports, and other operational documents

8. Schedule 8 - B-BBEE Requirements: Detailed B-BBEE requirements and compliance criteria

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
Acceptance Criteria
Affiliate
Agreement
Applicable Laws
B-BBEE
B-BBEE Act
Business Day
Commencement Date
Confidential Information
Contract Year
Customer
Customer Materials
Defect
Delivery Location
Dispute
Effective Date
Force Majeure Event
Good Industry Practice
Goods
Initial Term
Intellectual Property Rights
Key Personnel
Order
Parties
Personal Information
POPIA
Price
Products
Purchase Order
Quality Standards
Renewal Term
Services
Service Levels
Specifications
Supplier
Supplier Personnel
Supply Chain Code
Tax
Term
Territory
VAT
Clauses
Definitions and Interpretation
Duration and Renewal
Supply Obligations
Ordering Process
Delivery
Price and Payment
Invoicing
Quality Requirements
Service Levels
Performance Standards
Key Performance Indicators
Warranties
B-BBEE Compliance
Regulatory Compliance
Anti-Corruption
Intellectual Property
Confidentiality
Data Protection
Personnel
Subcontracting
Insurance
Liability
Indemnification
Force Majeure
Dispute Resolution
Termination
Change Control
Assignment
Notices
Governing Law
Jurisdiction
Entire Agreement
Severability
Variation
Waiver
Third Party Rights
Relationship of Parties
Counterparts
Relevant Industries

Manufacturing

Retail

Mining

Construction

Technology

Healthcare

Financial Services

Telecommunications

Energy

Automotive

Agriculture

Logistics

Professional Services

Relevant Teams

Procurement

Legal

Finance

Operations

Supply Chain

Risk and Compliance

Commercial

Vendor Management

Sourcing

Contract Management

Relevant Roles

Procurement Manager

Supply Chain Director

Commercial Manager

Legal Counsel

Contract Manager

Chief Financial Officer

Operations Director

Vendor Manager

Sourcing Specialist

Category Manager

Risk Manager

Compliance Officer

B-BBEE Manager

Supply Chain Analyst

Industries
Competition Act 89 of 1998: Regulates anti-competitive practices, prohibited practices, and abuse of dominant position in supply relationships
Consumer Protection Act 68 of 2008: Ensures fair, transparent, and honest dealing in supplier relationships and protects against unfair contract terms
Broad-Based Black Economic Empowerment Act 53 of 2003: Mandates consideration of B-BBEE status and compliance in supplier relationships and procurement processes
Electronic Communications and Transactions Act 25 of 2002: Governs electronic communications and digital signatures in business transactions
Protection of Personal Information Act 4 of 2013 (POPIA): Regulates the processing and storage of personal information exchanged between parties
Value Added Tax Act 89 of 1991: Governs VAT obligations and requirements in supply agreements
National Credit Act 34 of 2005: Relevant if the agreement includes credit terms or payment arrangements
Companies Act 71 of 2008: Provides framework for corporate governance and company relationships
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

Find the exact document you need

Multi Supplier Framework Agreement

A South African law-governed agreement establishing terms for procuring goods/services from multiple pre-approved suppliers over a defined period.

find out more

Non Disclosure Agreement For Suppliers

South African supplier NDA template ensuring protection of confidential information and compliance with local data protection laws.

find out more

Supplier Managed Inventory Agreement

South African law-governed agreement establishing terms for supplier-managed inventory arrangements, including operational procedures and performance requirements.

find out more

Manufacturer And Supplier Agreement

A South African law-governed agreement establishing terms and conditions between manufacturers and suppliers for product manufacturing and supply arrangements.

find out more

Wholesale Supplier Agreement

A South African law-governed agreement establishing terms and conditions between a supplier and wholesaler for the ongoing supply of products.

find out more

Supplier Development Agreement

A South African law-governed agreement establishing a structured supplier development relationship between a developer company and an emerging supplier, incorporating B-BBEE requirements and development program specifics.

find out more

Agreement Between Manufacturer And Seller

A South African law-governed agreement establishing terms and conditions between a manufacturer and seller for product supply and distribution.

find out more

Contract Between Manufacturer And Buyer

A South African law-governed agreement establishing terms and conditions between a manufacturer and buyer for the supply of manufactured goods.

find out more

Commercial Supplier Agreement

A South African law-governed agreement regulating the commercial relationship between supplier and customer for the provision of goods/services.

find out more

General Supply Agreement

South African law-governed agreement setting out terms and conditions for supply of goods/services, incorporating local regulatory requirements.

find out more

Supplier Relationship Agreement

A South African law-governed agreement establishing terms and conditions between a business and its supplier for the provision of goods or services.

find out more

Supplier Credit Agreement

A South African law-governed agreement establishing credit terms between supplier and purchaser for goods or services, compliant with the National Credit Act.

find out more

Vendors Agreement

A South African law-governed agreement establishing terms and conditions between a company and its vendor for the supply of goods or services.

find out more

Goods Supply Agreement

South African law-governed agreement establishing terms for the supply of goods between parties, including delivery, pricing, and quality requirements.

find out more

Agreement Between Supplier And Distributor

A South African law-governed agreement establishing terms between a supplier and distributor for product distribution, including commercial terms and regulatory compliance.

find out more

Retail Supplier Agreement

South African law-governed agreement establishing terms between suppliers and retailers for product supply, pricing, and operational requirements.

find out more

Preferred Vendor Agreement

A South African law-governed agreement establishing a preferred vendor relationship between a customer and supplier, setting out preferential supply terms and compliance requirements.

find out more

Product Supply Agreement Between Manufacturer And Buyer

A South African law-governed agreement establishing terms for product supply between manufacturer and buyer, including quality, pricing, and delivery requirements.

find out more

Contract For Supply Of Goods And Services

South African law-governed agreement for the supply of goods and services, incorporating local regulatory requirements and commercial terms.

find out more

Agreement Between Customer And Supplier

A South African law-governed agreement establishing terms and conditions between a supplier and customer for the supply of goods or services.

find out more

Master Vendor Agreement

A South African law-governed framework agreement establishing terms for ongoing supply of goods/services between a vendor and customer.

find out more

Vendor Quality Agreement

A South African law-governed agreement establishing quality management requirements and responsibilities between a company and its vendors, ensuring compliance with local regulations and quality standards.

find out more

Master Supplier Agreement

A South African law-governed framework agreement establishing terms and conditions for ongoing supplier relationships, including local regulatory compliance requirements.

find out more

Confidentiality Agreement For Vendors

South African vendor confidentiality agreement ensuring protection of sensitive information under POPIA and local laws.

find out more

Preferred Supplier Agreement

South African law-governed agreement establishing preferential terms for supply of goods/services between a customer and preferred supplier.

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: https://www.genieai.co/our-research
Oops! Something went wrong while submitting the form.

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

You have full control over your data and who gets to see it

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our Trust Centre for more details and real-time security updates.

Read our Privacy Policy.