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Sale of Goods Agreement

Last revision Last revision 23-03-2024
Formats FormatsWord and PDF
Size Size6 to 9 pages
5 - 1 vote
Fill out the template

Last revisionLast revision: 23-03-2024

FormatsAvailable formats: Word and PDF

SizeSize: 6 to 9 pages

Rating: 5 - 1 vote

Fill out the template

The Sale of Goods Agreement (Agreement) is a legal document used to specify the terms and conditions entered into between the Seller and the Buyer of the Goods. This Agreement can be used by either the Seller or Buyer to Buy or Sell any type of movable goods like furniture, electronics, building materials, etc.

For the purpose of selling any type of vehicle, we have a specific agreement named the Vehicle Sale Agreement on our website. Under that Agreement, specific conditions and details related to the vehicle can be included.

This Agreement cannot be used for the sale of immovable properties like buildings, lands, etc.

The Sale of Goods Agreement is different from that of the Supply Contract. Under the Supply Contract, both the supplier and buyer agree to purchase certain goods for a specific period for a fixed price and this may be an exclusive business relationship between the supplier and seller. Unlike the Sale of Goods Agreement is different from that of the Services Agreement. Under the Service Agreement, both the service provider and client agree to avail certain services from the service provider including construction services, consultancy services, BPO services, etc.

How to use this document?

This Agreement can be used by the Seller intending to sell the Goods or the Buyer intending to purchase the Goods. This Agreement includes the following important clauses:

  • Consideration/Price: which includes the total price, advance amount, etc.
  • Risk of loss of goods: the details of how and when the risk of loss of goods will be transferred to the Buyer.
  • Delivery: including the details about delivery such as the date of delivery, time of delivery, place of delivery and cost of delivery.
  • Liability: under this, the maximum liability of the Seller under this Agreement will be included.

To be a valid contract both the Seller and Buyer have to sign all copies of the agreement. The parties to the agreement should be legally eligible persons or entities to sign the contract. A contract with the following persons is not valid: a minor (below the age of 18 years), a person with unsound mind or intoxication. The state having jurisdiction over this agreement can be the state where the seller or buyer resides, or where the sale happens.

Along with the Witnesses have to duly sign this agreement and execute on a valid stamp paper as applicable in the concerned state of execution of this Agreement.

Applicable law

The Sale of Goods Agreement is covered under the Sale of Goods Act, 1930 and the Indian Contract Act, 1872.

If the Goods are sold to an individual person for a non-commercial purpose (other than for self-employment) the Consumer Protection Act, 2019 will also be applicable.

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