An Addendum To Agreement Of Sale is utilized when parties need to modify, clarify, or supplement terms in an existing sale agreement without creating an entirely new contract. This document type is particularly important in the Saudi Arabian context, where changes to commercial agreements must comply with both civil law requirements and Sharia principles. It's commonly used when circumstances require adjustments to price, delivery terms, specifications, or other contractual obligations. The addendum must be drafted in compliance with Saudi commercial laws and may require Arabic translation for official purposes. It's essential for maintaining clear documentary evidence of agreed changes while ensuring continuity with the original agreement. This document type is frequently used in both domestic Saudi transactions and international commercial dealings involving Saudi entities.
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1. Parties: Identification of all parties to the original agreement and the addendum
2. Background: Reference to the original Agreement of Sale, its date, and purpose for the addendum
3. Definitions: Key terms used in the addendum, including reference to definitions in the original agreement
4. Amendment Details: Specific modifications being made to the original agreement, clearly stating both original and new terms
5. Effect on Original Agreement: Statement confirming all other terms of the original agreement remain in full force and effect
6. Governing Law and Jurisdiction: Confirmation of Saudi law governance and Sharia compliance
7. Execution: Signature blocks and execution requirements compliant with Saudi law
1. Consideration: Required if the amendment involves any new or modified financial terms
2. Regulatory Compliance: Include when amendments relate to regulated industries or require specific regulatory approvals
3. Third Party Consents: Include when amendments require approval from additional parties not part of the original agreement
4. Representations and Warranties: Include when amendments involve new commitments or changes to existing warranties
5. Effective Date: Include when amendment effective date differs from execution date
6. Language: Include when document is bilingual Arabic/English to specify controlling language
1. Schedule of Amendments: Detailed list of specific clauses being modified, showing original and new text
2. Updated Price Schedule: If amendment involves price changes, detailed breakdown of new pricing
3. Regulatory Approvals: Copies of any required regulatory approvals or permits related to the amendment
4. Consent Documents: Copies of third-party consents or approvals if required
5. Revised Technical Specifications: If amendment involves changes to technical aspects of the sale items
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