This Commercial Purchase Agreement Template is designed for use in the United Arab Emirates business environment, providing a standardized framework for commercial transactions between businesses. The template is structured to comply with UAE Federal Law No. 5 of 1985 (Civil Code) and Federal Law No. 18 of 1993 (Commercial Code), while incorporating international best practices suitable for the UAE's position as a global trading hub. It is particularly useful for businesses engaged in regular procurement activities, whether in free zones or mainland UAE, and can be adapted for various industries and transaction sizes. The agreement includes essential provisions for price, payment, delivery, warranties, and dispute resolution, with specific consideration for UAE legal requirements such as Arabic language provisions and local commercial customs.
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1. Parties: Identification of buyer and seller with full legal names, addresses, and registration details
2. Background: Context of the agreement and general commercial relationship between the parties
3. Definitions: Key terms used throughout the agreement, including technical and commercial terminology
4. Scope of Supply: Detailed description of goods/products being purchased, including specifications and quantities
5. Price and Payment: Purchase price, payment terms, method of payment, and invoicing requirements
6. Delivery and Acceptance: Delivery terms, timeline, Incoterms, inspection procedures, and acceptance criteria
7. Title and Risk: Transfer of ownership and risk in the goods
8. Warranties and Quality: Product warranties, quality standards, and compliance with UAE regulations
9. Seller's Obligations: Key responsibilities of the seller including product support and documentation
10. Buyer's Obligations: Key responsibilities of the buyer including payment and cooperation
11. Term and Termination: Duration of agreement and circumstances for termination
12. Liability and Indemnification: Limitations of liability and indemnification obligations
13. Confidentiality: Protection of confidential information and trade secrets
14. Force Majeure: Events beyond parties' control and their consequences
15. Governing Law and Dispute Resolution: UAE law as governing law and dispute resolution mechanisms
16. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Import/Export Compliance: Include when goods require import/export licenses or compliance with international trade regulations
2. Insurance: Include when specific insurance requirements are needed for high-value or high-risk goods
3. Intellectual Property: Include when the purchase involves software, technology or branded products
4. Training and Support: Include when the purchase includes installation, training or ongoing technical support
5. Bank Guarantee: Include when advance payment or performance guarantees are required
6. Anti-Corruption: Include for high-value transactions or when dealing with government entities
7. Change Control: Include when the scope of supply may need modification during the contract term
8. Language: Include when specifying the prevailing language between Arabic and English versions
1. Schedule 1 - Product Specifications: Detailed technical specifications of the products
2. Schedule 2 - Pricing Schedule: Detailed breakdown of prices, including any volume discounts or price adjustment mechanisms
3. Schedule 3 - Delivery Schedule: Detailed delivery timeline and milestones
4. Schedule 4 - Quality Standards: Specific quality requirements and testing procedures
5. Schedule 5 - Service Level Agreement: Performance metrics for any associated services
6. Schedule 6 - Form of Bank Guarantee: Template for any required bank guarantees
7. Appendix A - Technical Documentation: Product manuals, technical drawings, or other supporting documentation
8. Appendix B - Compliance Certificates: Required regulatory or quality certifications
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