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For Sale On Contract Template for England and Wales

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Key Requirements PROMPT example:

For Sale On Contract

"I need a For Sale On Contract agreement for selling manufacturing equipment worth £500,000 to a business buyer, with monthly installments over 36 months and retention of title until final payment is made in March 2025."

Document background
The For Sale On Contract agreement is designed for transactions where immediate full payment isn't feasible or desired. Common in England and Wales, it provides a structured framework for installment-based purchases while protecting both parties' interests. This contract type is particularly useful for high-value items, establishing clear payment terms, ownership conditions, and default procedures. It combines elements of sale and security agreements, ensuring compliance with UK consumer protection laws and commercial regulations. The document typically includes detailed payment schedules, warranty terms, and conditions for transfer of title.
Suggested Sections

1. Parties: Identification and details of the contracting parties

2. Background: Context and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Sale and Purchase: Core terms of the sale including price and payment terms

5. Delivery and Transfer of Title: Terms regarding delivery and passing of ownership

6. Warranties and Representations: Promises made by parties regarding the subject matter

7. Termination: Circumstances and process for ending the agreement

8. Governing Law: Jurisdiction and applicable law

Optional Sections

1. Intellectual Property Rights: Include when IP forms part of the sale - applicable when selling goods with associated IP rights

2. Confidentiality: Provisions protecting sensitive information - applicable when commercially sensitive information is involved

3. Force Majeure: Provisions for unforeseen circumstances - recommended for longer-term contracts or high-value transactions

4. Assignment: Rights to transfer the contract to others - include when transfer rights need to be restricted

Suggested Schedules

1. Schedule 1 - Description of Goods: Detailed specification of items being sold

2. Schedule 2 - Payment Schedule: Payment terms and installment details if applicable

3. Schedule 3 - Delivery Schedule: Timing and logistics of delivery if complex

4. Appendix A - Technical Specifications: Detailed technical information about goods

5. Appendix B - Warranties: Detailed warranty terms and conditions

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions






























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Relevant Industries
Relevant Teams
Relevant Roles
Industries

Sale of Goods Act 1979: Primary legislation governing contracts for the sale of goods, defining rights and obligations of buyers and sellers, and covering conditions and warranties

Law of Property Act 1925: Fundamental property law legislation that must be considered if the contract involves real property, covering formalities for contracts relating to land

Consumer Rights Act 2015: Essential legislation when one party is a consumer, providing statutory rights and remedies, and covering unfair contract terms

Unfair Contract Terms Act 1977: Regulates exclusion clauses and limits the ability to exclude liability in contracts

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract to which they are not a direct party

Misrepresentation Act 1967: Provides statutory remedies for various types of misrepresentation in contract formation

Electronic Communications Act 2000: Relevant legislation if the contract is to be executed electronically, governing electronic signatures and communications

Data Protection Act 2018 and GDPR: Data protection legislation that must be considered if the contract involves processing of personal data

Common Law Principles: Fundamental contract law principles developed through case law, covering offer, acceptance, consideration, and intention to create legal relations

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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