Document background
The Long Term Supplier Agreement is essential for businesses operating in Hong Kong that require a structured framework for ongoing supply relationships. It is particularly suited for arrangements where regular supply of goods or services is contemplated over an extended period, typically one year or more. This document type draws on Hong Kong's common law heritage while incorporating local statutory requirements and commercial practices. It includes comprehensive provisions for supply obligations, quality standards, pricing mechanisms, and risk allocation, supported by detailed schedules for operational matters. The agreement is designed to provide both certainty and flexibility, allowing parties to establish stable supply chains while accommodating changes in commercial terms over time. It's commonly used in various industries from manufacturing to services, and can be adapted for different scales of operation, from SME suppliers to multinational corporations.
