Another common situation occurs when a customer chooses their new supplier, checks the plant and feels lucky to continue production. This document is available in two versions – English and Chinese. The delivery contract is intended to be used when a supplier agrees to sell products or materials to a buyer at predetermined prices with minimum/maximum annual quantities,… 9. Exemption from competition: since an OEM relationship necessarily involves a substantial transfer of intellectual property and confidential information, the buyer must ensure not only that additional products are not manufactured by the supplier, but also by its companies and directors and management. (Note that the effect of the inopitability of not adequately guaranteeing such conditions can lead not only to the sale of the product in China, but especially to the same markets as the buyer and at a significantly lower cost.) Unforeseen circumstances – force majeure – can disrupt the treaty, especially in a cross-border contract such as this, so that if one of these events occurs – war, fire, flood, etc. – the treaty is suspended and if the force majeure persists beyond a certain period, the contract can be terminated. Not only is unauthorized subcontracting such as this one one of the main culprits of production delays, but it also opens you up to quality issues, IP theft or even public relations issues (if it turns out that a subcontractor is unethical for some reason)! Do you want the presentation of the contract we used? get your copy of the factory contract that scares them here (not sure if it`s a good thing or a bad thing, I`ll let you decide!) What do you think of the contract? We also often see problems that could be avoided by entering into a manufacturing contract in advance when a customer is dissatisfied with its current Chinese producer and wishes to relocate production to a new supplier`s plant. Ideally, this would be agreed before providing any of your product information to the supplier, especially if you have a very unique product on hand. Roland: I`m glad we started, that sometimes we had to take care of the gladiator. But they get up and keep fighting, and they get better. Basically, we fought and fought with the factory and all the suppliers.
Internal and external. But that`s what makes us stronger and basically we tried to do it much more deeply when it says to contact the order and attachments that could be for the sales contract, so the factories know everything they need to do. I think one of the best values we`re going to provide in today`s podcast is what you need to have before going to a factory. So our audience doesn`t need to pass, we just went through it, it`s true. These are the issues that allow one party to terminate the contract prematurely, namely the substantial breach or insolvency of the other party. The respective commitments of the parties are also defined: orders must be placed, the remaining funds must be paid and the licensee can purchase all shares held by the licensee at a price. 5. Raw materials/components: As part of the quality control process, the buyer should require the supplier to provide a list of suppliers, along with orders, over a pre-defined period to ensure that agreed materials/components are used. Anti-pollution Inspections In China: 4 Risks Factors By Renaud Anjoran If you assess the risk that anti-pollution inspections in China will close one of your suppliers, there are… If your product is fully developed and you only use a Chinese factory to put your products into production, the addition of this type of agreement may not be necessary.