Document background
The Preferred Supplier Agreement is designed for use in the Saudi Arabian market where organizations seek to establish and maintain strategic supply relationships with key vendors. This document is particularly relevant when a company wishes to secure preferential terms, guaranteed supply, and potentially exclusive arrangements with reliable suppliers. The agreement encompasses essential elements required under Saudi law and Sharia principles, including detailed commercial terms, performance metrics, and compliance requirements. It is commonly used in situations requiring regular procurement of goods or services, where the customer wants to streamline the procurement process while maintaining quality and cost advantages. The document typically includes comprehensive provisions for pricing, ordering procedures, quality standards, and dispute resolution mechanisms, all tailored to comply with Saudi Arabian legal requirements.
