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A Sales Contract is a fundamental commercial document used to formalize transactions involving the sale and purchase of goods in Indonesia. This document is essential for businesses engaged in both domestic and international trade, providing a legally binding framework that complies with Indonesian law, particularly the Civil Code (KUHPerdata) and Law No. 7 of 2014 on Trade. The contract should be drafted in Indonesian language (with optional English translation for international transactions) and typically includes detailed specifications of goods, pricing structures, delivery terms, quality standards, and warranty provisions. It's particularly important for protecting both parties' interests by clearly defining rights, obligations, and remedies while ensuring compliance with local regulatory requirements and commercial practices.

1. Parties: Identification and details of the seller and buyer, including registration numbers and addresses

2. Background: Context of the sale and brief description of the transaction

3. Definitions: Definitions of key terms used throughout the agreement

4. Subject Matter of Sale: Detailed description of goods being sold, including specifications and quantity

5. Price and Payment Terms: Purchase price, payment schedule, method of payment, and currency

6. Delivery Terms: Delivery schedule, location, method, and transfer of risk

7. Quality and Inspection: Quality standards, inspection procedures, and acceptance criteria

8. Warranties and Representations: Warranties provided by seller regarding the goods and general representations by both parties

9. Title and Risk: Transfer of ownership and risk allocation

10. Termination: Circumstances under which the contract can be terminated and consequences

11. Force Majeure: Events excusing performance and procedures for handling such situations

12. Dispute Resolution: Process for resolving disputes, including jurisdiction and governing law

13. Notices: How formal communications between parties should be made

14. General Provisions: Standard boilerplate clauses including severability, entire agreement, and amendments