Frame Contracts are essential commercial instruments used in New Zealand business relationships where parties anticipate multiple transactions or ongoing service provision over an extended period. This type of agreement is particularly valuable when the exact quantity, timing, or specific details of future requirements cannot be determined at the outset but parties wish to agree on standard terms, pricing mechanisms, and operational procedures. The Frame Contract establishes the foundational legal framework while allowing flexibility through call-off contracts or purchase orders for specific transactions. Common in both private and public sector procurement, these agreements help streamline business operations while ensuring compliance with New Zealand commercial law and reducing transaction costs associated with negotiating individual contracts for each transaction.
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1. Parties: Identification of the contracting parties, including full legal names, company registration numbers, and registered addresses
2. Background: Context of the agreement, relationship between parties, and purpose of the frame contract
3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement
4. Scope of Agreement: Overall scope of the frame contract and nature of future specific contracts
5. Term and Renewal: Duration of the frame contract and conditions for renewal
6. Contract Formation Process: Process for forming specific contracts under the frame agreement
7. Prices and Payment Terms: General pricing principles, payment terms, and price adjustment mechanisms
8. General Obligations: Core obligations of both parties under the frame contract
9. Quality and Performance Standards: Minimum quality requirements and performance standards
10. Intellectual Property Rights: Ownership and usage rights of intellectual property
11. Confidentiality: Protection and handling of confidential information
12. Liability and Indemnification: Allocation of risks and responsibilities between parties
13. Force Majeure: Handling of events beyond parties' reasonable control
14. Termination: Grounds and process for terminating the agreement
15. Governing Law and Jurisdiction: Application of New Zealand law and jurisdiction for disputes
16. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Service Levels: Include when specific performance metrics need to be maintained
2. Insurance Requirements: Include when specific insurance coverage is required from either party
3. Data Protection and Privacy: Include when personal data processing is involved
4. Compliance with Laws: Include when specific regulatory compliance needs to be addressed
5. Environmental Requirements: Include when environmental standards or sustainability requirements are relevant
6. Security Requirements: Include when information or physical security requirements are necessary
7. Business Continuity: Include when continuous service delivery is critical
8. Parent Company Guarantee: Include when additional financial security is required
9. Anti-Corruption and Ethics: Include when dealing with public sector or high-risk jurisdictions
10. Change Control Process: Include when formal process for changes to services/products is needed
1. Schedule 1 - Pricing Structure: Detailed pricing mechanisms, rates, and calculation methods
2. Schedule 2 - Products/Services Specification: Detailed technical specifications of products or services covered
3. Schedule 3 - Service Levels and KPIs: Detailed performance metrics and measurement methods
4. Schedule 4 - Ordering Process: Detailed procedures for placing and accepting orders
5. Schedule 5 - Contact Details: Key contact persons and communication protocols
6. Schedule 6 - Form of Call-off Contract: Template for specific contracts under the frame agreement
7. Schedule 7 - Change Request Form: Standard form for requesting and documenting changes
8. Appendix A - Technical Requirements: Detailed technical standards and requirements
9. Appendix B - Compliance Requirements: Specific regulatory or industry compliance requirements
10. Appendix C - Security Protocols: Detailed security procedures and requirements
Relevant legal definitions
Agreement
Affiliate
Appendix/Appendices
Applicable Law
Business Day
Call-off Contract
Charges
Commencement Date
Confidential Information
Contract Year
Data
Deliverables
Effective Date
Force Majeure Event
Good Industry Practice
Goods
Group
Initial Term
Intellectual Property Rights
Key Personnel
Material Breach
Order
Parent Company
Party/Parties
Personnel
Purchase Order
Related Company
Renewal Period
Representatives
Schedule
Services
Service Levels
Specifications
Subsidiary
Supplier
Term
Territory
Third Party
Working Day
Working Hours
Writing
Affiliate
Appendix/Appendices
Applicable Law
Business Day
Call-off Contract
Charges
Commencement Date
Confidential Information
Contract Year
Data
Deliverables
Effective Date
Force Majeure Event
Good Industry Practice
Goods
Group
Initial Term
Intellectual Property Rights
Key Personnel
Material Breach
Order
Parent Company
Party/Parties
Personnel
Purchase Order
Related Company
Renewal Period
Representatives
Schedule
Services
Service Levels
Specifications
Subsidiary
Supplier
Term
Territory
Third Party
Working Day
Working Hours
Writing
Clauses
Parties
Interpretation
Definitions
Term and Duration
Framework Arrangements
Ordering Process
Pricing and Payment
Delivery Terms
Performance Standards
Service Levels
Quality Assurance
Warranties
Intellectual Property
Confidentiality
Data Protection
Personnel
Subcontracting
Insurance
Liability
Indemnification
Force Majeure
Change Control
Dispute Resolution
Termination
Exit Management
Anti-Corruption
Competition Law
Assignment and Novation
Notices
Entire Agreement
Severability
Variation
Waiver
Relationship of Parties
Third Party Rights
Governing Law
Jurisdiction
Interpretation
Definitions
Term and Duration
Framework Arrangements
Ordering Process
Pricing and Payment
Delivery Terms
Performance Standards
Service Levels
Quality Assurance
Warranties
Intellectual Property
Confidentiality
Data Protection
Personnel
Subcontracting
Insurance
Liability
Indemnification
Force Majeure
Change Control
Dispute Resolution
Termination
Exit Management
Anti-Corruption
Competition Law
Assignment and Novation
Notices
Entire Agreement
Severability
Variation
Waiver
Relationship of Parties
Third Party Rights
Governing Law
Jurisdiction
Relevant Industries
Manufacturing
Information Technology
Professional Services
Construction
Logistics and Supply Chain
Healthcare
Telecommunications
Energy and Utilities
Financial Services
Retail
Education
Government and Public Sector
Infrastructure
Mining and Resources
Agriculture
Relevant Teams
Legal
Procurement
Commercial
Finance
Operations
Risk and Compliance
Supply Chain
Business Development
Contract Management
Strategic Sourcing
Relevant Roles
Procurement Manager
Commercial Director
Legal Counsel
Contract Manager
Supply Chain Manager
Business Development Manager
Operations Director
Chief Financial Officer
Risk Manager
Compliance Officer
Category Manager
Vendor Manager
Project Manager
Commercial Lawyer
Strategic Sourcing Manager
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