The Purchase Term Sheet is commonly used in Singapore commercial transactions as a preliminary step before entering into a full purchase agreement. It is particularly useful for transactions where parties need to agree on key commercial terms before investing time and resources in detailed documentation. The document typically includes essential information about pricing, payment structure, delivery terms, and basic obligations, while operating under Singapore's robust commercial law framework. A Purchase Term Sheet helps streamline negotiations and provides a clear roadmap for the transaction, though it usually contains both binding and non-binding provisions.
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1. Parties: Identification of buyer and seller with full legal names and addresses
2. Background: Context of the transaction and relationship between parties
3. Definitions: Key terms used throughout the term sheet
4. Purchase Price: Detailed breakdown of pricing, payment terms and schedule
5. Description of Goods: Detailed specification of goods to be purchased
6. Delivery Terms: Timing, location and method of delivery
7. Governing Law: Specification of Singapore law as governing law
1. Conditions Precedent: Conditions that must be met before the purchase becomes binding - used for complex transactions or when regulatory approval is needed
2. Due Diligence: Requirements for investigation of goods or seller - used for high-value purchases or complex goods
3. Warranties: Specific promises about the goods or transaction - used when quality assurance is critical
1. Product Specifications: Detailed technical specifications of goods
2. Pricing Schedule: Detailed breakdown of prices, especially for multiple items
3. Delivery Schedule: Detailed timeline for delivery if multiple shipments
4. Quality Standards: Specific quality requirements and testing procedures
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