Simple Purchase Agreement Template

Created November 9, 2026 · Updated November 9, 2026

PURCHASE AGREEMENT

This Purchase Agreement (the "Agreement") is made and takes effect on [Effective Date] (the "Effective Date").

It is between [Buyer's Full Legal Name], a [type of legal entity] organized under the laws of [jurisdiction of organization], with its main place of business at [Buyer's Address] and registration number [Buyer's Registration Number] (the "Buyer"), and [Seller's Full Legal Name], a [type of legal entity] organized under the laws of [jurisdiction of organization], with its main place of business at [Seller's Address] and registration number [Seller's Registration Number] (the "Seller"). In this Agreement, the Buyer and the Seller are each a "party" and together the "parties."

Background: The Seller is in the business of making and/or supplying [general description of the type of goods]. The Buyer wants to buy certain goods from the Seller for use in its business. The Seller wants to sell those goods to the Buyer. The parties are both acting for business purposes and agree to the terms set out below.

  1. Key Terms Used in This Agreement

    1. "Agreement" means this Purchase Agreement, including any written changes the parties sign under the General Terms section.

    2. "Goods" means the products described in The Goods section, together with all parts, accessories, packaging, manuals, certificates and other documents that come with them or that are needed to use them.

    3. "Delivery Location" means [full address of the delivery location] or any other address in [region or territory] that the Buyer gives the Seller in writing at least [number] Business Days before the Delivery Date.

    4. "Delivery Date" means [specific date], or any later date the Buyer agrees to in writing.

    5. "Price" means the total amount payable for the Goods as set out in the Price section.

    6. "Defect" means any failure of the Goods to meet the requirements of this Agreement. This includes any fault in materials, workmanship or design, any damage, any shortfall in quantity, and any failure to match the agreed description, specifications or samples.

    7. "Inspection Period" means the period of 30 days that starts on the day the Goods are delivered to the Delivery Location.

    8. "Business Day" means any day other than a Saturday, Sunday or public holiday in the place where the Buyer has its main place of business.

  2. The Goods

    1. The Seller will sell, and the Buyer will buy, the following Goods: [detailed description of the Goods, including model, make, grade or type].

    2. The quantity of the Goods is [quantity and unit of measure]. The Goods must meet these specifications: [technical specifications, standards, dimensions, performance requirements or reference to approved samples].

    3. All Goods must be new, unused, of good quality, and made with proper materials and skilled workmanship, unless the Buyer agrees otherwise in writing.

    4. The Seller will pack, label and mark the Goods so that they are protected from damage during transport and storage. The packaging and labeling must meet these requirements: [packaging and labeling requirements]. Each shipment must include a packing list showing the Agreement reference, a description of the Goods and the quantity.

    5. The Seller will supply, at no extra cost, all documents needed to use, install, maintain or lawfully resell the Goods, including [list of required documents, such as user manuals, certificates of origin, test reports or safety data sheets].

    6. The Seller must make sure the Goods, and the way they are made, packed, labeled and delivered, comply with all laws and regulations that apply to them.

    7. The Seller may not change the Goods, their materials, their design, their place of manufacture or any of its key suppliers without the Buyer's prior written consent.

  3. Delivery

    1. The Seller will deliver the Goods to the Delivery Location on the Delivery Date during the Buyer's normal receiving hours of [receiving hours]. The Seller is responsible for and will pay all costs of delivery, including transport, freight, insurance, loading, unloading at the Delivery Location, export and import formalities, customs duties and handling charges.

    2. The Seller will give the Buyer at least [number] Business Days' written notice of the planned delivery, including the carrier's details and expected time of arrival.

    3. The Seller may not deliver the Goods early, in installments or in part without the Buyer's prior written consent. If the Seller delivers more Goods than ordered, the Buyer may either keep the extra Goods without paying for them or return them at the Seller's cost and risk.

    4. Timely delivery is essential to this Agreement. If the Seller becomes aware that a delivery may be late, it must tell the Buyer in writing right away and explain the reason and the expected new date. Giving this notice does not excuse the delay.

    5. If the Goods are delivered late, the Seller will pay the Buyer a late delivery charge of [percentage]% of the Price for each day of delay, up to a maximum of [percentage]% of the Price. The parties agree that this is a fair estimate of the Buyer's loss and not a penalty. The Buyer may deduct this charge from the Price. This does not limit the Buyer's other rights under this Agreement.

    6. Delivery is complete when the Goods have been unloaded at the Delivery Location and the Buyer's authorized representative has signed the delivery note. Signing the delivery note only confirms that the Goods have arrived. It does not mean the Buyer accepts the Goods or waives any of its rights.

  4. Price

    1. The Price for the Goods is [amount] [currency], made up of [number] units at a unit price of [unit price] [currency].

    2. The Price is fixed for the life of this Agreement. The Seller may not increase it for any reason, including changes in the cost of materials, labor, energy, transport or exchange rates.

    3. The Price covers everything the Seller must do and supply under this Agreement. This includes the Goods, packaging, labeling, documents, delivery, insurance until delivery, customs duties, and any license or royalty fees. The Buyer will not pay any other charge unless it agrees to that charge in writing in advance.

    4. The Price does not include sales tax, value added tax or similar taxes on the sale of the Goods. If any such tax applies, the Seller will show it separately on a valid invoice and the Buyer will pay it together with the Price. The Seller is responsible for all other taxes, including taxes on its income, property and employees.

    5. If the Seller offers lower prices for the same or substantially similar goods in similar quantities to any other customer while this Agreement is in effect, the Seller will offer the same lower price to the Buyer for any Goods not yet paid for.

  5. Payment

    1. The Buyer will pay the full Price only after the Goods have been delivered and inspected. Payment is due within [number] days after the later of the following: the end of the Inspection Period (or the date the Buyer accepts the Goods in writing, if earlier), and the date the Buyer receives a correct invoice.

    2. The Seller may issue its invoice only after delivery. The invoice must show the Agreement reference, a description and the quantity of the Goods, the Price, any tax shown separately, and the Seller's bank details. The Buyer may return any incorrect or incomplete invoice, and the payment period will start again once the Buyer receives a correct invoice.

    3. The Buyer will pay by bank transfer to the account named on the invoice: [Seller's bank name, account name and account number]. Each party will pay its own bank charges.

    4. If the Buyer rejects any Goods, it does not have to pay for them until they have been replaced or repaired and accepted. If the Buyer disputes any part of an invoice in good faith, it may hold back the disputed amount and pay the rest. The parties will then work to resolve the dispute under the Governing Law and Dispute Resolution section.

    5. The Buyer may deduct from any amount it owes the Seller any amount the Seller owes the Buyer under this Agreement.

    6. If the Buyer does not pay an undisputed amount on time, the Seller must give the Buyer written notice. If the Buyer still does not pay within [number] days after receiving that notice, the Seller may charge interest on the late amount at [rate]% per year from the end of that notice period until payment is made.

    7. Making a payment does not mean the Buyer accepts the Goods. It also does not waive any of the Buyer's rights relating to Defects.

  6. Inspection and Rejection of Goods

    1. The Buyer may inspect and test the Goods at any time during the Inspection Period. The Buyer may use any reasonable method it chooses, including opening packaging, installing the Goods, or testing samples to destruction. If samples are destroyed in testing, those samples will be at the Seller's cost if the tested Goods turn out to have a Defect.

    2. If the Buyer finds a Defect during the Inspection Period, it may reject all or part of the Goods by written notice to the Seller. The notice should briefly describe the Defect. If testing a sample shows a Defect, the Buyer may reject the whole batch the sample came from.

    3. For any rejected Goods, the Buyer may choose one or more of the following: require the Seller to replace the Goods, require the Seller to repair the Goods, keep the Goods at a fair reduced price agreed by the parties, or refuse the Goods and receive a full refund of any amount paid for them. The Seller must replace or repair the Goods within [number] days after the Buyer's notice.

    4. The Seller must collect rejected Goods from the Delivery Location within [number] Business Days after the Buyer's notice. The Seller bears all costs of collection, return transport, repair, replacement and redelivery. If the Seller does not collect the Goods in time, the Buyer may return them to the Seller at the Seller's cost, or store them at the Seller's cost and risk.

    5. The Seller will pay back the Buyer's reasonable costs of inspecting, testing, handling and storing Goods that turn out to have a Defect.

    6. The Goods are treated as accepted on the earlier of the date the Buyer accepts them in writing and the end of the Inspection Period without a rejection notice. Replacement or repaired Goods are subject to a new Inspection Period starting on the day they are delivered.

    7. Inspecting, testing, accepting or using the Goods does not affect the Seller's warranty under the Seller's Warranty section or the Buyer's other rights. This is especially true for Defects that a reasonable inspection would not have revealed.

  7. Ownership and Risk of Loss

    1. Ownership of the Goods passes to the Buyer when delivery is complete under the Delivery section, whether or not the Buyer has paid for them yet.

    2. The Seller promises that, when ownership passes, the Seller will have full right to sell the Goods. It also promises that the Goods will be free of any lien, security interest, claim or other right of any third party.

    3. The Seller will not keep any ownership interest or security interest in the Goods after delivery.

    4. Risk of loss of or damage to the Goods stays with the Seller until delivery is complete. Risk then passes to the Buyer.

    5. Risk of loss of or damage to rejected Goods passes back to the Seller as soon as the Buyer sends a rejection notice. It stays with the Seller until replacement or repaired Goods are delivered.

    6. The Seller will insure the Goods for at least their full replacement value against all usual risks of loss and damage until risk passes to the Buyer.

  8. Seller's Warranty

    1. The Seller warrants the Goods for [number] months from the date they are accepted under the Inspection and Rejection of Goods section (the "Warranty Period").

    2. During the Warranty Period, the Seller warrants that the Goods will be free from Defects. It also warrants that the Goods will be fit for their usual purpose and for any specific purpose the Buyer has told the Seller about before the Effective Date, namely [specific purpose, if any].

    3. The Seller also warrants that the Goods, and the Buyer's use and resale of them, will not infringe any patent, trademark, copyright, design right or other intellectual property right of any third party.

    4. If the Buyer notifies the Seller of a Defect during the Warranty Period, the Seller must repair or replace the affected Goods within [number] days after the notice, at the Buyer's choice and at the Seller's cost. This includes all parts, labor, transport, removal and reinstallation. If the Seller cannot or does not do so on time, the Buyer may have the Defect fixed by someone else and recover the reasonable cost from the Seller, or return the Goods for a full refund.

    5. Any repaired or replacement Goods will have a new Warranty Period starting from the date they are accepted.

    6. The Seller will pass on to the Buyer the benefit of any manufacturer's or supplier's warranty that is better than the warranty in this section.

    7. The warranties in this section are in addition to, and do not limit, any other warranties or rights the Buyer has under this Agreement or under the law.

  9. Liability and Indemnity

    1. The Seller will protect, defend and compensate the Buyer, its affiliates, and their directors, officers, employees and agents against all claims, losses, damages, costs and expenses, including reasonable legal fees, that arise from any of the following: a Defect in the Goods; any breach of this Agreement by the Seller; any death, personal injury or property damage caused by the Goods or by the Seller or its carriers; any claim that the Goods infringe a third party's intellectual property rights; or any breach of law by the Seller.

    2. The Buyer will tell the Seller promptly about any third-party claim covered by this section. The Seller will handle the defense of that claim at its own cost using lawyers reasonably acceptable to the Buyer. The Buyer may take part in the defense with its own lawyers at its own cost. The Seller may not settle any claim in a way that admits fault by the Buyer or places any obligation on the Buyer without the Buyer's written consent.

    3. If the Goods are, or are likely to become, the subject of an intellectual property claim, the Seller must, at its own cost and at the Buyer's choice, either get the right for the Buyer to keep using the Goods or change or replace them so that they no longer infringe and still meet this Agreement.

    4. Neither party is liable to the other for loss of profits or other indirect or consequential losses. However, this limit does not apply to the Seller's obligations under the first and third paragraphs of this section, or to any liability that cannot be limited by law.

    5. The Buyer's total liability under this Agreement will not be more than the Price.

    6. During this Agreement and for at least [number] years after it ends, the Seller will maintain general liability and product liability insurance with reputable insurers. The coverage must be at least [amount] [currency] per claim. The Seller will give the Buyer proof of this insurance on request.

    7. Nothing in this Agreement limits or excludes any party's liability for fraud, intentional wrongdoing, gross negligence, or death or personal injury caused by negligence.

  10. Ending This Agreement

    1. This Agreement will continue until both parties have fully performed their obligations, unless it is ended earlier under this section. However, the Seller's warranty and indemnity obligations will continue after that.

    2. The Buyer may end this Agreement at any time before the Goods are shipped by giving the Seller written notice. In that case, the Buyer's only obligation is to pay back the Seller's reasonable, documented costs that it has already incurred and cannot avoid. That amount will not be more than [percentage]% of the Price.

    3. Either party may end this Agreement by written notice if the other party seriously breaches it and does not fix the breach within [number] days after receiving written notice describing it.

    4. The Buyer may end this Agreement right away by written notice if the Goods are not delivered within [number] days after the Delivery Date, or if replacement or repaired Goods are rejected a second time.

    5. Either party may end this Agreement right away by written notice if the other party becomes insolvent, makes an arrangement with its creditors, has a receiver or administrator appointed, enters liquidation, or stops carrying on business.

    6. If this Agreement ends for any reason other than the Buyer ending it before shipment for its own convenience, the Seller must, within [number] days, refund any amount the Buyer has paid for Goods that have not been delivered and accepted. The Seller must also collect, at its own cost, any Goods the Buyer chooses to return.

    7. Ending this Agreement does not affect any rights or obligations that arose before it ended. Any terms that by their nature should continue after it ends will continue. These include the Seller's Warranty, Liability and Indemnity, Governing Law and Dispute Resolution, and General Terms sections.

  11. Governing Law and Dispute Resolution

    1. This Agreement is governed by the laws of [governing jurisdiction], without regard to its rules on conflict of laws.

    2. If a dispute arises out of or relating to this Agreement, either party may give the other written notice of the dispute. Senior representatives of both parties will meet, in person or online, within [number] Business Days after that notice and try in good faith to resolve it.

    3. If the dispute is not resolved within [number] days after the notice, either party may bring the dispute before the courts of [city and jurisdiction]. Each party agrees that those courts have exclusive jurisdiction.

    4. Nothing in this section prevents the Buyer from seeking urgent court orders, such as an injunction or an order for delivery of the Goods, in any court with jurisdiction.

    5. While a dispute is being resolved, both parties will keep performing their obligations under this Agreement that are not affected by the dispute.

  12. General Terms

    1. This Agreement is the entire agreement between the parties about its subject matter. It replaces all earlier discussions, proposals and agreements about that subject matter. Any terms printed on the Seller's quotations, acknowledgments, delivery notes or invoices do not apply, even if the Buyer signs or accepts those documents.

    2. This Agreement may be changed only by a written document signed by authorized representatives of both parties.

    3. Notices under this Agreement must be in writing and sent by hand, by courier or by email to the addresses below, or to any new address a party gives by notice. Buyer notices: [Buyer's contact name, address and email]. Seller notices: [Seller's contact name, address and email]. A notice takes effect when received. An email is treated as received on the next Business Day after it is sent, unless the sender receives an error message.

    4. The Seller may not transfer this Agreement or any of its rights or obligations, or subcontract any of its obligations, without the Buyer's prior written consent. The Buyer may transfer this Agreement to any of its affiliates or to a buyer of the relevant part of its business by giving written notice to the Seller.

    5. Neither party is liable for a delay or failure to perform caused by events beyond its reasonable control, such as natural disasters, war, epidemics or government action, but only if it promptly notifies the other party and takes reasonable steps to limit the effect. The Seller cannot rely on labor disputes involving its own staff, or on the failure of its own suppliers, unless that failure is itself caused by such an event. If such an event delays delivery by more than [number] days, the Buyer may end this Agreement by written notice without any liability.

    6. The Seller will keep confidential all information about the Buyer's business that it receives in connection with this Agreement, and will use it only to perform this Agreement.

    7. The parties are independent contractors. Nothing in this Agreement creates a partnership, joint venture, agency or employment relationship between them.

    8. If any part of this Agreement is found to be invalid or unenforceable, the rest of it will remain in effect. The invalid part will be treated as changed to the minimum extent needed to make it valid. If a party does not enforce, or delays enforcing, any right, that does not waive the right.

    9. This Agreement may be signed in counterparts and by electronic signature. Each signed counterpart is an original, and all of them together form one agreement.

The parties have signed this Agreement on the dates shown below, to take effect on the Effective Date.

BUYER

[Buyer's Full Legal Name]

Signature: ______________________________

Name: [Name of Authorized Signatory]

Title: [Title of Authorized Signatory]

Date: [Date]

SELLER

[Seller's Full Legal Name]

Signature: ______________________________

Name: [Name of Authorized Signatory]

Title: [Title of Authorized Signatory]

Date: [Date]