The Material Supply Agreement is a crucial commercial contract used when establishing a formal relationship between suppliers and purchasers of materials in Austria. This document is essential for businesses requiring regular supply of raw materials, components, or other physical goods, and is structured to comply with Austrian legal requirements, particularly the UGB (Commercial Code) and ABGB (Civil Code). It is commonly used in manufacturing, construction, and industrial sectors where consistent material supply is critical to operations. The agreement typically covers all aspects of the supply relationship, including ordering processes, quality standards, delivery terms, warranties, and risk allocation. It's particularly important for businesses seeking to establish long-term supply relationships with clear terms and conditions, pricing structures, and quality requirements.
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1. Parties: Identification and details of the supplier and purchaser, including registration numbers and addresses
2. Background: Context of the agreement and brief description of the parties' business relationship
3. Definitions and Interpretation: Definitions of key terms used throughout the agreement and rules of interpretation
4. Supply Obligations: Core obligations of the supplier regarding material quality, quantity, and delivery terms
5. Ordering Process: Procedures for placing and accepting orders, including lead times and minimum order quantities
6. Price and Payment Terms: Pricing structure, payment terms, invoicing procedures, and any price adjustment mechanisms
7. Delivery and Risk: Delivery terms, transfer of risk, packaging requirements, and inspection procedures
8. Quality Requirements: Quality standards, specifications, and quality control procedures
9. Warranties: Supplier warranties regarding material quality, compliance with specifications, and fitness for purpose
10. Liability and Indemnification: Allocation of risks, limitation of liability, and indemnification obligations
11. Term and Termination: Duration of the agreement, renewal provisions, and termination rights
12. Force Majeure: Events constituting force majeure and consequences
13. Confidentiality: Protection of confidential information and trade secrets
14. Governing Law and Jurisdiction: Choice of Austrian law and jurisdiction for dispute resolution
15. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Forecast and Planning: Include when regular supply requires advance planning and forecasting
2. Consignment Stock: Include when materials will be held on consignment at the purchaser's premises
3. Intellectual Property Rights: Include when the supply involves patented materials or proprietary technology
4. Compliance with Laws: Include detailed compliance section when dealing with regulated materials or industries
5. Insurance Requirements: Include when specific insurance coverage is required due to material value or risk
6. Environmental Compliance: Include for materials with environmental impact or specific disposal requirements
7. Security of Supply: Include when material is critical to purchaser's operations requiring backup supply arrangements
8. Change Control: Include when material specifications may need controlled modification during the term
9. Customs and Export Control: Include for international supply arrangements
10. Anti-Corruption and Ethics: Include when required by corporate policies or industry standards
1. Schedule 1 - Material Specifications: Detailed technical specifications of materials to be supplied
2. Schedule 2 - Pricing Schedule: Detailed pricing information, including volume discounts and price review mechanisms
3. Schedule 3 - Quality Standards and Testing Procedures: Detailed quality requirements and testing protocols
4. Schedule 4 - Delivery Locations and Requirements: List of delivery points and specific delivery requirements
5. Schedule 5 - Key Performance Indicators: Performance metrics and measurement criteria
6. Schedule 6 - Form of Purchase Order: Standard form for placing orders under the agreement
7. Schedule 7 - Technical Support Services: Details of any technical support provided with the materials
8. Schedule 8 - Safety Data Sheets: Safety information and handling requirements for materials
9. Appendix A - Contact Details: Key contacts for both parties for various aspects of the agreement
10. Appendix B - Emergency Procedures: Procedures for handling emergency situations or supply disruptions
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