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Framework Purchase Agreement Template for Singapore

A Framework Purchase Agreement under Singapore law establishes the terms and conditions for recurring purchases of goods between parties over a specified period. It sets out the mechanism for placing orders, pricing structures, delivery terms, and quality standards while complying with Singapore's Sale of Goods Act and related commercial legislation. The agreement provides flexibility for multiple transactions without renegotiating terms for each purchase.

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What is a Framework Purchase Agreement?

Framework Purchase Agreements are essential for businesses requiring regular procurement of goods under a standardized structure. This contract type, governed by Singapore law, establishes master terms for future purchases, reducing transaction costs and negotiation time. It typically includes pricing mechanisms, ordering procedures, delivery terms, and quality standards, while ensuring compliance with Singapore's commercial laws, particularly the Sale of Goods Act and Contract Act. The Framework Purchase Agreement is particularly valuable for businesses seeking to maintain consistent supply arrangements while retaining flexibility in order quantities and timing.

What sections should be included in a Framework Purchase Agreement?

1. Parties: Identification and details of contracting parties

2. Background: Context and purpose of the framework agreement

3. Definitions: Key terms used tHRoughout the agreement

4. Scope of Agreement: Framework terms for future purchases

5. Ordering Process: Procedure for placing and accepting orders

6. Pricing and Payment: Price determination, payment terms, invoicing

7. Delivery Terms: Delivery obligations, timeframes, and requirements

8. Quality and Inspection: Quality standards, acceptance criteria, and inspection rights

9. Warranties and Representations: Standard and specific warranties for goods and services

10. Term and Termination: Duration and termination provisions

11. Liability and Indemnification: Allocation of risks and liability between parties

12. Confidentiality: Protection of confidential information

13. Force Majeure: Provisions for unforeseen circumstances

14. Governing Law and Jurisdiction: Choice of law and dispute resolution mechanisms

What sections are optional to include in a Framework Purchase Agreement?

1. Minimum Purchase Commitments: Used when buyer commits to minimum volumes or order values

2. Exclusivity Provisions: Exclusive purchasing obligations and restrictions

3. Service Levels: Performance metrics and standards for delivery and service

4. Insurance Requirements: Specific insurance coverage requirements

5. Compliance with Laws: Specific regulatory compliance requirements

6. Data Protection: PDPA compliance and data handling requirements

What schedules should be included in a Framework Purchase Agreement?

1. Product Schedule: Detailed list of products covered under the agreement

2. Price List: Detailed pricing information and pricing mechanisms

3. Order Form Template: Standard form for placing orders under the framework

4. Service Level Agreement: Detailed performance requirements and metrics

5. Technical Specifications: Product specifications and technical requirements

6. Key Performance Indicators: Performance measurement criteria and reporting requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Singapore

Document Type

Framework Agreement

Cost

Free to use

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