Document background
The Consignment Vendor Contract is essential for businesses operating under a consignment model in Canada, where goods are placed with a seller but ownership is retained by the supplier until sale. This document is particularly relevant when manufacturers, artists, or suppliers want to place their products with retailers or distributors without a direct sale. The contract addresses key aspects required under Canadian law, including security interests under the PPSA, GST/HST implications, and provincial consumer protection requirements. It outlines commission structures, payment terms, handling procedures, and risk allocation, while ensuring compliance with both federal and provincial regulations. This type of agreement is commonly used in retail, art galleries, boutiques, and specialty stores, providing a framework for successful consignment relationships while protecting both parties' interests.
