Agreement For Supply Of Goods On Credit for Australia

Agreement For Supply Of Goods On Credit Template for Australia

A comprehensive commercial agreement governed by Australian law that establishes the terms and conditions for the supply of goods on credit terms. The document incorporates provisions compliant with Australian Consumer Law, the Personal Property Securities Act, and relevant state-specific Sale of Goods Acts. It covers credit arrangements, payment terms, security interests, delivery conditions, warranties, and risk allocation. The agreement includes protections for the supplier while ensuring fair trading practices and includes mechanisms for credit assessment and ongoing credit management.

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What is a Agreement For Supply Of Goods On Credit?

The Agreement For Supply Of Goods On Credit is designed for commercial transactions in Australia where a supplier provides goods to a customer on credit terms rather than requiring immediate payment. This arrangement is common in business-to-business relationships where ongoing supply relationships exist. The document incorporates requirements under Australian commercial law, including the Personal Property Securities Act 2009 and relevant consumer protection legislation. It is particularly suitable for businesses seeking to establish regular supply arrangements while managing credit risk through formal terms, security interests, and credit assessments. The agreement typically includes credit limits, payment terms, interest rates, and may include personal guarantees or other security arrangements.

What sections should be included in a Agreement For Supply Of Goods On Credit?

1. Parties: Identifies and defines the supplier and customer, including their legal status and contact details

2. Background: Sets out the context of the agreement and the parties' intentions

3. Definitions and Interpretation: Defines key terms and establishes interpretation principles

4. Supply of Goods: Details the core agreement for supply, including ordering process and delivery terms

5. Credit Terms: Specifies credit limit, payment terms, interest rates, and credit assessment rights

6. Price and Payment: Details pricing structure, invoicing process, and payment obligations

7. Delivery and Risk: Covers delivery arrangements, transfer of risk, and acceptance procedures

8. Title and Security Interest: Addresses retention of title provisions and PPSA requirements

9. Warranties and Quality: States warranties regarding goods quality and compliance with specifications

10. Default and Termination: Sets out events of default, consequences, and termination rights

11. Dispute Resolution: Establishes process for resolving disputes

12. General Provisions: Includes standard boilerplate clauses like notices, governing law, and assignment

What sections are optional to include in a Agreement For Supply Of Goods On Credit?

1. Minimum Purchase Commitments: Used when the customer agrees to minimum purchase quantities or values

2. Consignment Stock Arrangements: Include when goods are supplied on consignment basis

3. Credit Insurance: Required when parties agree to specific credit insurance arrangements

4. Personal/Director Guarantees: Include when personal or director guarantees are required for credit

5. Intellectual Property: Include when supplied goods involve IP rights or branded products

6. Export/Import Requirements: Required for international supply arrangements

7. Force Majeure: Optional but recommended for long-term supply arrangements

What schedules should be included in a Agreement For Supply Of Goods On Credit?

1. Schedule 1 - Goods Specifications: Detailed specifications of goods to be supplied

2. Schedule 2 - Pricing Schedule: Detailed pricing information including any volume discounts

3. Schedule 3 - Credit Application Form: Standard form for credit assessment

4. Schedule 4 - Delivery Requirements: Specific delivery terms, locations, and procedures

5. Schedule 5 - Personal/Director Guarantee Deed: Form of guarantee if required

6. Appendix A - Order Form Template: Standard form for placing orders

7. Appendix B - Quality Standards: Detailed quality requirements and standards

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Australia

Publisher

Genie AI

Document Type

Service Agreement

Sector

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Manufacturing

Wholesale Trade

Retail

Construction

Mining

Agriculture

Industrial Equipment

Consumer Goods

Technology Hardware

Automotive

Food and Beverage

Medical Supplies

Building Materials

Chemical Products

Relevant Teams

Legal

Finance

Procurement

Sales

Credit Control

Risk Management

Commercial Operations

Supply Chain

Business Development

Accounts Receivable

Relevant Roles

Commercial Manager

Credit Manager

Finance Director

Procurement Manager

Supply Chain Manager

Chief Financial Officer

Sales Director

Contract Administrator

Risk Manager

Legal Counsel

Business Development Manager

Operations Manager

Credit Controller

Account Manager

Commercial Director

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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