Sales Agreement Templates
Sales Agreement is a legal document that shows the sale contract between the buyer and the seller. It is the agreement for the exchange of goods, services or property, that specifies the terms and conditions of a transaction between the two parties. A Sales Agreement will include the legal obligation and rights of each party to the Sales Agreement and information regarding certain incidents that might come up in the future. This article will discuss the Sales Agreement guidelines.
Identification of the Parties
The first step of writing a Sales Agreement is to identify the parties involved, the buyer and the seller. The agreement will then specifically identify each party by names. Show the date, month and the year of the agreement. If the contract is between an individual and a company, then physical transactions involve a representative of the business then the sales representative of that particular company will assume the legal role of the seller for the purpose of the transaction records. The legal status of each individual involved in the transaction is outlined in writing along with any other relevant information such as the phone numbers and address of each party involved. It is advisable to relate names to legal identification documents (passport number, national identification card number, or driving license) because names can be similar.
Description of the Goods
This will show the type of good, quality and quantity. The goods should meet the buyer’s standards. If the sale is about land or property, this section of a Sales Agreement will show the size of the property location, its full address and the price.
In the case of a breach of contract, witnesses act as a core value in dispute settling. On instances where the Sales Agreement is of a huge value or rather sum of cash, it’s important to have as many witnesses as possible. Provision for signing by the same is also provided. In this section, it’s important to provide two signing fields for one specific witness as to avoid fake mark of signatures that will be of no use in dispute solving in an instance of contract breach.
Risk of Loss
The risk of loss is always on the seller’s side from the time of delivery to the carrier. The buyer shall pay the shipping costs according to the shipping instructions for the goods. The seller will be responsible for packaging and shipping of the goods and shall bear the damage or loss of the goods until they are delivered to the buyer.
This will show the price of the goods or property been sold, and also indicate the interests for the overdue invoices in case the buyer fails to clear the invoices on time.
This is the most crucial section of any Sales Agreement. It shows the time and date when the good will be delivered to the buyer.
The seller has a right to cancel the Sales Agreement if the buyer goes bankrupt or if the buyer fails to pay any shipment when due. The terms of cancellation or termination of an agreement are also mention with all probable conditions, and both parties need to agree on it.