The Small Business Purchase Agreement serves as a standardized template for commercial transactions between small businesses and their customers in Hong Kong. It is specifically designed to comply with Hong Kong's commercial law framework, including the Sale of Goods Ordinance (Cap. 26) and related legislation. This document is particularly useful for regular business purchases where parties need a clear, legally compliant agreement that protects both sides' interests while avoiding unnecessary complexity. It can be adapted for various types of goods and services, incorporating essential elements such as payment terms, delivery conditions, warranties, and risk allocation, while remaining accessible for small business operators who may not have extensive legal resources.
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1. Parties: Identification and details of the seller and buyer, including business registration numbers and addresses
2. Background: Brief context of the transaction and relationship between the parties
3. Definitions: Definitions of key terms used throughout the agreement
4. Sale and Purchase: Core terms of the transaction including description of goods and quantity
5. Price and Payment: Purchase price, payment terms, method of payment, and payment schedule if applicable
6. Delivery: Delivery terms, timing, location, and shipping arrangements
7. Title and Risk: When ownership and risk in the goods passes from seller to buyer
8. Warranties and Representations: Standard warranties about the goods and each party's capacity to enter into the agreement
9. Inspection and Acceptance: Terms for inspecting goods and procedures for accepting or rejecting deliveries
10. Termination: Circumstances under which the agreement can be terminated and the consequences
11. General Provisions: Standard boilerplate clauses including governing law, notices, and entire agreement
1. Intellectual Property: Include when the goods involve IP rights or licensed materials
2. Confidentiality: Include when sensitive business information will be shared
3. Insurance: Include when specific insurance requirements are needed for high-value or high-risk goods
4. Return Policy: Include for goods that may need return or replacement procedures
5. Quality Control: Include when specific quality standards or testing procedures are required
6. Force Majeure: Include when parties want specific provisions for unforeseen circumstances
7. Installation and Training: Include when goods require installation or user training
1. Schedule 1 - Goods Specification: Detailed description of goods including quantities, specifications, and technical requirements
2. Schedule 2 - Pricing Schedule: Detailed breakdown of prices, including any volume discounts or special pricing arrangements
3. Schedule 3 - Delivery Schedule: Specific delivery dates, locations, and any special delivery requirements
4. Schedule 4 - Warranty Terms: Detailed warranty terms and conditions, including warranty period and claim procedures
5. Appendix A - Quality Standards: Applicable quality standards, testing procedures, and acceptance criteria
6. Appendix B - Return Procedures: Detailed procedures for returns, replacements, and associated costs
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