Module Supply Agreement Template for Indonesia

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Key Requirements PROMPT example:

Module Supply Agreement

"I need a Module Supply Agreement governed by Indonesian law for supplying automotive electronic modules to Toyota Indonesia, with minimum purchase commitments of 10,000 units per quarter starting March 2025, including quality standards for automotive grade components and provision for local warehousing."

Document background
The Module Supply Agreement is essential for businesses engaged in the manufacture, supply, or purchase of modular components in Indonesia. This document is typically used when establishing a formal, ongoing supply relationship for standardized or custom modules, particularly in manufacturing, technology, or industrial sectors. It addresses critical aspects such as technical specifications, quality standards, delivery terms, and commercial conditions, while ensuring compliance with Indonesian regulations including Law No. 7 of 2014 on Trade and relevant manufacturing standards. The agreement is particularly important for international trade relationships, incorporating necessary provisions for cross-border transactions while meeting local legal requirements. It serves as a comprehensive framework for managing supply chain relationships, risk allocation, and operational requirements, making it vital for businesses operating in Indonesia's manufacturing and industrial sectors.
Suggested Sections

1. Parties: Identification of supplier and purchaser with complete legal details

2. Background: Context of the agreement and commercial relationship between parties

3. Definitions and Interpretation: Definitions of key terms and interpretation rules

4. Supply Obligations: Core obligations of supplier including quantity, timing, and delivery terms

5. Ordering Process: Procedures for placing and accepting orders

6. Price and Payment: Pricing structure, payment terms, invoicing, and currency provisions

7. Delivery and Risk: Delivery terms, transfer of risk, and Incoterms specifications

8. Quality and Specifications: Quality standards, technical specifications, and compliance requirements

9. Inspection and Testing: Rights and procedures for product inspection and quality testing

10. Warranties: Product warranties and quality guarantees

11. Intellectual Property: IP rights, licenses, and protections

12. Compliance with Laws: Regulatory compliance obligations including Indonesian law requirements

13. Liability and Indemnity: Limitation of liability and indemnification provisions

14. Term and Termination: Duration, renewal, and termination rights

15. Force Majeure: Events excusing performance and consequences

16. Confidentiality: Protection of confidential information

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

18. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

Optional Sections

1. Minimum Purchase Commitments: Used when purchaser commits to minimum volumes or values

2. Forecasting: Include when parties need a formal demand planning process

3. Exclusivity: Used when supplier or purchasing arrangements are exclusive

4. Storage and Warehousing: Include when specific storage requirements apply

5. Insurance: Detailed insurance requirements beyond standard coverage

6. Business Continuity: Include for critical supply relationships

7. Environmental Compliance: Used when specific environmental standards apply

8. Change Control: Include when formal process needed for specification changes

9. Training and Support: Used when supplier provides additional services

10. Import/Export Requirements: Include for international supply arrangements

Suggested Schedules

1. Schedule 1 - Product Specifications: Detailed technical specifications of modules

2. Schedule 2 - Pricing Schedule: Detailed pricing, including any volume discounts or adjustments

3. Schedule 3 - Quality Standards: Specific quality requirements and testing procedures

4. Schedule 4 - Service Levels: Performance metrics and service level requirements

5. Schedule 5 - Order Form Template: Standard form for placing orders

6. Schedule 6 - Delivery Locations: List of approved delivery points and requirements

7. Schedule 7 - Contact Details: Key contact persons and communication protocols

8. Appendix A - Technical Drawings: Detailed technical drawings and specifications

9. Appendix B - Compliance Certificates: Required regulatory and quality certifications

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

Relevant legal definitions
Clauses
Relevant Industries

Manufacturing

Electronics

Automotive

Industrial Equipment

Renewable Energy

Telecommunications

Construction

Technology

Aerospace

Medical Devices

Relevant Teams

Legal

Procurement

Supply Chain

Operations

Quality Assurance

Manufacturing

Technical

Commercial

Compliance

Finance

Engineering

Project Management

Relevant Roles

Procurement Manager

Supply Chain Director

Commercial Director

Legal Counsel

Contract Manager

Operations Manager

Quality Assurance Manager

Manufacturing Director

Chief Operations Officer

Purchasing Manager

Technical Director

Business Development Manager

Compliance Officer

Project Manager

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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