Document background
The Agreement Between Customer And Supplier serves as a fundamental commercial document in Saudi Arabia, essential for establishing clear, legally-compliant business relationships between parties engaged in the supply of goods or services. This document is typically used when parties need to formalize their trading relationship, whether for one-time significant transactions or ongoing supply arrangements. It incorporates crucial elements required under Saudi law, including compliance with Sharia principles, local commercial regulations, and VAT requirements. The agreement provides comprehensive coverage of commercial terms, operational procedures, and risk allocation, while ensuring adherence to Saudi Arabian commercial law and regulatory requirements. It's particularly important as it needs to be drafted in Arabic (or with Arabic as the prevailing version) to be enforceable in Saudi courts, and must consider local business practices and cultural nuances.
