The Equipment Supply Agreement is a crucial document used when establishing a formal relationship between equipment suppliers and purchasers in Indonesia. It is particularly relevant for businesses engaged in industrial, manufacturing, or infrastructure projects where significant equipment procurement is involved. The agreement must comply with Indonesian law, including the Civil Code (Kitab Undang-undang Hukum Perdata), Trade Law, and Consumer Protection Law. It typically includes detailed specifications of the equipment, delivery terms, acceptance procedures, warranty provisions, and after-sales support requirements. The document should be drafted in Indonesian language (with possible bilingual versions) and must address local regulatory requirements, including technical standards and safety regulations. This type of agreement is essential for protecting both parties' interests and ensuring clear understanding of responsibilities, especially in complex equipment supply transactions.
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1. Parties: Identification of the supplier and purchaser, including their legal status and registered addresses
2. Background: Context of the agreement, including the supplier's business, purchaser's requirements, and supplier's capability to provide the equipment
3. Definitions and Interpretation: Definitions of key terms and interpretation rules, including reference to Indonesian law terms
4. Supply of Equipment: Core obligations regarding the supply of equipment, including quantity, basic specifications, and compliance with Indonesian standards
5. Price and Payment: Equipment pricing, payment terms, invoicing requirements, and applicable taxes
6. Delivery and Acceptance: Delivery terms, timing, inspection procedures, and acceptance testing requirements
7. Title and Risk: Transfer of ownership and risk in the equipment, including insurance requirements
8. Warranties and Defects: Warranty terms, defect remedy procedures, and compliance with Indonesian consumer protection laws
9. Intellectual Property: IP rights in relation to the equipment, including licenses and infringement protection
10. Limitation of Liability: Limitations and exclusions of liability compliant with Indonesian law
11. Term and Termination: Duration of agreement and circumstances for termination
12. Force Majeure: Events constituting force majeure and consequences
13. Confidentiality: Protection of confidential information and trade secrets
14. Dispute Resolution: Dispute resolution procedures, including Indonesian court jurisdiction or arbitration
15. General Provisions: Standard boilerplate clauses including notices, amendments, and language requirements
1. Installation Services: Include when supplier is responsible for installation of equipment
2. Training: Include when supplier must provide training on equipment operation
3. Maintenance Services: Include when ongoing maintenance is part of the supply arrangement
4. Spare Parts: Include when specific provisions for spare parts supply are required
5. Performance Guarantees: Include when specific performance metrics are guaranteed
6. Export/Import Compliance: Include for international supply arrangements
7. Environmental Compliance: Include for equipment with environmental impact considerations
8. Security Requirements: Include for equipment requiring specific security measures
9. Change Control: Include when equipment specifications may need future modification
1. Equipment Specifications: Detailed technical specifications of the equipment
2. Pricing Schedule: Detailed pricing information, including any volume discounts or price adjustment mechanisms
3. Delivery Schedule: Detailed delivery timelines and locations
4. Acceptance Test Procedures: Detailed procedures for testing and accepting the equipment
5. Warranty Terms: Detailed warranty terms and support procedures
6. Service Level Agreement: Performance standards and response times for support services
7. Form of Purchase Order: Standard form for ordering equipment under the agreement
8. Maintenance Procedures: Detailed maintenance requirements and schedules
9. Contact Details: Key contacts for both parties for various aspects of the agreement
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