Contract

CONTRACT

Lesson 9

A contract forms the basis of a transaction between the Buyers and the Sellers and a great care is exercised when the Contract is being prepared. As a rule the Contract contains a number of clauses such as: Subject of the Contract Price Terms of payment Delivery Inspection and Test Guarantee Packing and Marking Arbitration Transport Insurance, and other conditions Here are clauses of a Contract

sed by a Ukrainian trading organization (the Buyers) and a British Company (the Sellers): SUBJECT OF THE CONTRA CT: The Seller undertakes to sell and the Buyer to buy on the basis of delivery FOB London, Manchester or Hull (at the Buyers option) the complete equipment, technology and technical document action of the plant PRICE AND TOTAL VALUE OF THE CONRACT The total value of the Contract including the cost of the complete equipment for the plants as well as technical documentation, knowledge and experience (know-how) and services is... (dollars). TERMS OF PAYMENT

The total amount of S... stated in Clause II shall be paid in American dollars by the Bank for Foreign Economic Affairs of Ukraine, Kiev, in accordance with the following terms; 10% advance payment of the total Contract Value shall be paid

within 30 days of the effective date of the Contract. 80% of the total Contract value shall be paid in 50 days. The Guarantee amount of 5% shall be paid within 30 days of receipt by the Bank of the Acceptance Protocol confirming the acceptance of the plant for commercial operation...

TIME OF DELIVERY The delivery of the equipment under the present Contract shall begin in 8 months and shall be completed in 26 months from the date of signing the Preliminary Project Acceptance Protocol. INSPECTION AND TEST:

Inspections and/or test of the equipment shall be carried out at the Seller's and his sub-contractors "works at the expense of the Seller in the presence of the Buyers inspectors.

The Seller is to notify the Buyer about the readiness of the equipment for inspection and/or test not later than days before the proposed time of the inspection and/or test.

Final tests and acceptance of the equipment for putting it into operation are to be made in Ukraine.

GUARANTEE

The seller guarantees that the supplied equipment and technological process as well as the automation and mechanisation of the process of production are in conformity with the latest technical achievements. The Seller guarantees that the equipment supplied is manufactured in full conformity with the description given in the technical documentation of the Final Project and technical specifications and conditions of the present Contract INSURANCE

The buyer will insure at his expense all the equipment for its full value against all usual marine risks from the moment the goods are put on board at the port of loading.

ДОГОВІР

Урок 9

Контракт є основою угоди між Покупцями та Продавцями, і під час підготовки Контракту додається велика увага. Як правило, Договір містить ряд пунктів, таких як: Предмет Договору Ціна Умови оплати Доставка Огляд і випробування Гарантія Упаковка та Маркування Арбітраж Страхування транспорту та інші умови Ось пункти Договору

подані українською торговельною організацією (Покупці) та британською компанією (Продавці): ПРЕДМЕТ ДОГОВОРУ: Продавець зобов’язується продати, а Покупець – купити на основі доставки FOB Лондон, Манчестер або Халл (у Покупців). варіант) повне обладнання, технологія та технічний документ дії заводу ЦІНА ТА ЗАГАЛЬНА ВАРТІСТЬ КОНРАКТУ Загальна вартість Контракту, включаючи вартість комплектного обладнання для заводів, а також технічну документацію, знання та досвід (ноу-хау ) і послуг становить... (дол.). УМОВИ ПЛАТЕЖУ