Document background
The Sole Supply Agreement is a specialized commercial contract used when a business wishes to establish an exclusive supply relationship with another party in Australia. This document is particularly relevant when a purchaser commits to sourcing specific products or services exclusively from a single supplier, or when a supplier agrees to provide goods or services exclusively to one purchaser within a defined territory. The agreement encompasses critical commercial terms including pricing structures, quality requirements, minimum purchase or supply commitments, and delivery obligations. It must be carefully drafted to comply with Australian competition law, particularly the Competition and Consumer Act 2010, to ensure the exclusive arrangement doesn't breach anti-competitive provisions. The document typically includes detailed schedules for products, pricing, and service levels, making it suitable for long-term supply relationships where certainty and clarity of obligations are essential.
