The Direct Sales Agreement is essential for businesses engaged in direct selling activities in Hong Kong, providing a legally robust framework for business-to-business sales transactions. This document is particularly relevant when a supplier wishes to sell products directly to buyers without intermediaries, requiring clear terms for ordering, delivery, payment, and quality assurance. The agreement must comply with Hong Kong's legal requirements, including the Sale of Goods Ordinance, Trade Descriptions Ordinance, and other relevant commercial laws. It is commonly used in various industries where direct procurement is preferred, helping to establish clear commercial terms while protecting both parties' interests under Hong Kong jurisdiction.
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1. Parties: Identification of the seller and buyer with full legal names and registered addresses
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Agreement: Details of the products/services to be sold and general terms of sale
5. Ordering Process: Procedures for placing and accepting orders
6. Price and Payment Terms: Pricing structure, payment methods, and payment schedule
7. Delivery and Risk: Terms of delivery, transfer of risk, and shipping arrangements
8. Title and Property: Transfer of ownership and retention of title provisions
9. Warranties and Representations: Product warranties and representations by both parties
10. Quality and Compliance: Quality standards, product specifications, and compliance requirements
11. Termination: Circumstances and procedures for termination of the agreement
12. Confidentiality: Protection of confidential information and trade secrets
13. Liability and Indemnification: Limitation of liability and indemnification obligations
14. Force Majeure: Provisions for unforeseen circumstances and force majeure events
15. Governing Law and Jurisdiction: Application of Hong Kong law and jurisdiction for disputes
16. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Exclusivity: Terms of exclusive dealing arrangements, if applicable
2. Minimum Purchase Requirements: Minimum order quantities or purchase commitments, if required
3. Marketing and Promotion: Requirements for marketing and promoting the products
4. Training and Support: Terms for product training and technical support
5. Insurance: Specific insurance requirements for either party
6. Intellectual Property: IP rights and licensing terms if relevant to the products
7. Data Protection: Specific provisions for handling customer data and compliance with privacy laws
8. Return and Refund Policy: Detailed procedures for product returns and refunds
9. Territory Restrictions: Geographic limitations on sales activities
10. Performance Metrics: Specific performance requirements and measurement criteria
1. Schedule 1 - Product Specifications: Detailed technical specifications of products
2. Schedule 2 - Price List: Comprehensive price list and discount structure
3. Schedule 3 - Delivery Terms: Detailed delivery requirements and procedures
4. Schedule 4 - Quality Standards: Specific quality requirements and testing procedures
5. Schedule 5 - Service Level Agreement: Performance standards and response times
6. Schedule 6 - Return Procedures: Detailed procedures for handling returns and complaints
7. Appendix A - Order Form Template: Standard form for placing orders
8. Appendix B - Warranty Certificate: Standard warranty terms and conditions
9. Appendix C - Compliance Certificates: Required regulatory and quality certifications
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