The Sand Supply Contract Agreement is a specialized commercial contract used in the Philippines when establishing a formal relationship between sand suppliers and purchasers. This document is essential for construction projects, infrastructure development, and manufacturing operations requiring regular sand supply. It must comply with the Philippine Mining Act of 1995, environmental regulations, and local government requirements. The agreement typically includes detailed specifications for sand quality, quantity commitments, delivery schedules, pricing structures, and payment terms. It also addresses crucial aspects such as regulatory permits, environmental compliance, and local community considerations. This type of agreement is particularly important given the Philippines' strict regulations on mineral resource extraction and environmental protection.
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1. Parties: Identifies and provides full details of the supplier and purchaser, including registration numbers and addresses
2. Background: Contextual information explaining the purpose of the agreement and the parties' intentions
3. Definitions: Defines key terms used throughout the agreement for clarity and consistency
4. Supply Terms: Details the basic terms of supply, including quantity, quality specifications, and delivery arrangements
5. Price and Payment: Specifies the price per unit, payment terms, invoicing process, and any price adjustment mechanisms
6. Delivery and Collection: Outlines delivery schedules, locations, transportation responsibilities, and acceptance procedures
7. Quality Requirements: Specifies detailed quality standards, testing procedures, and rejection rights
8. Term and Termination: States the duration of the agreement and circumstances under which it can be terminated
9. Regulatory Compliance: Addresses compliance with mining permits, environmental regulations, and other applicable laws
10. Warranties and Representations: States the parties' warranties regarding authority, quality, and regulatory compliance
11. Liability and Indemnification: Outlines the parties' responsibilities for damages and indemnification obligations
12. Force Majeure: Addresses circumstances beyond parties' control that may affect performance
13. Dispute Resolution: Specifies procedures for resolving disputes, including jurisdiction and governing law
14. General Provisions: Includes standard boilerplate clauses such as notices, amendments, and assignment
1. Environmental Management: Detailed environmental protection measures, used when extraction is part of the scope
2. Insurance Requirements: Specific insurance obligations, included for high-value or high-risk supplies
3. Performance Security: Requirements for performance bonds or guarantees, used for large-volume contracts
4. Exclusivity: Provisions for exclusive supply arrangements, included when parties agree to exclusive dealing
5. Storage and Stockpiling: Requirements for storage facilities and stockpile management, relevant for large-volume supplies
6. Community Relations: Obligations regarding local community engagement, included when extraction affects local communities
7. Intellectual Property: Protection of proprietary methods or technologies, if applicable to the supply process
1. Schedule A - Product Specifications: Detailed specifications of sand quality, grain size, composition requirements
2. Schedule B - Pricing Schedule: Detailed pricing structure, including any volume discounts or adjustments
3. Schedule C - Delivery Schedule: Specific delivery times, locations, and quantities
4. Schedule D - Testing Procedures: Detailed procedures for quality testing and acceptance
5. Schedule E - Permits and Licenses: Copies of relevant regulatory permits and licenses
6. Schedule F - Site Access Procedures: Procedures for accessing extraction or delivery sites
7. Appendix 1 - Environmental Compliance Certificates: Copies of environmental permits and certificates
8. Appendix 2 - Insurance Certificates: Copies of required insurance policies
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