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Equipment purchase terms

Version 0.1-draftBinding in Englishb6cd91fc6634edf4

Demo document. No lawyer has read this.

1. What this is

The cooperative is buying a named piece of equipment from you, outright, for
its own account. You are selling a machine to a buyer.

The cooperative is not an agent, a broker, or a finance provider for the farm
the machine is destined for. It buys as principal, it takes title, and it pays
you. Your customer is the cooperative and nobody else, and you have no claim of
any kind against the washing station or its farmers.

2. What the price has to include

Your quote states the ex-works price and, separately, every cost between your
door and the site: freight, insurance, duty, tax, clearance, inland transport,
installation and commissioning. The incoterm is named on the purchase order.

A price that omits landed cost is not a quote we can accept. Underestimating
that gap is the most common way an equipment programme fails, and it is not a
gap the farm will be asked to absorb.

No cost is added after the purchase order is issued without written agreement
first. A surprise invoice at the border is refused.

3. Payment

Payment is released against milestones stated on the purchase order, not in
advance of them. Nothing is paid before a named person at the cooperative
unlocks that spend, and that unlock is recorded.

4. Delivery and documents

You ship to the incoterm and route named on the order. The following travel
with the goods: commercial invoice, packing list, bill of lading or air waybill,
certificate of origin, and the HS code you are declaring under.

A shipment that cannot clear customs because a document is missing is your
delay, not ours.

5. Title and risk

Title and risk pass at the point the incoterm says they do, and not before.

6. Arrival, and what happens if it does not work

The machine is commissioned on site and tested under load before it is
accepted. If it arrives faulty, damaged, incomplete, or not the model ordered,
the cooperative pursues you.

It does not pursue the washing station, and the station's payment obligations
do not begin until the machine works. This is not negotiable and it is the
reason the station will sign at all.

7. Parts and service

Before the order is placed you state, in writing: where the nearest technician
who can service this machine is, how long they take to reach the site, which
spare parts are held in-country, and the lead time on the ones that are not.

These answers are part of how the order is awarded. A cheaper machine nobody
within a thousand kilometres can repair is more expensive than the alternative,
and will lose to it.

8. Installation and training

You install, commission, and train the station's operators to run and maintain
the machine. Training is in a language the operators actually speak. Manuals in
a language nobody on site reads do not count as training.

9. Warranty

Your warranty terms are stated on the quote and survive delivery. Warranty
claims are made by the cooperative, and honoured to the cooperative, wherever
the machine is standing.

10. Payments to officials

No payment, gift or favour is offered to any public official, customs officer,
or employee of any counterparty, by you or by anyone acting for you, in
connection with this order. This includes facilitation payments to move goods
through a border.

If someone asks you for one, tell the cooperative. Do not pay it. An order will
be delayed over this and that is the correct outcome.

11. Sanctions and export control

You confirm that neither you nor the goods are subject to sanctions or export
restrictions that would make this sale unlawful in your country, in the country
of delivery, or in the United States.

12. Disputes

Raise it in writing. Governing law and forum are stated on the purchase order.

This one is signed in person, by a counterparty who has no account here — a farmer at a weighing station, a clerk being registered, a vendor on an email thread. An operator reads it to them and records it under their own name.

Record a signature →
Translations still needed
  • Kinyarwanda, for Rwanda
  • Kirundi, for Burundi
  • Amharic, for Ethiopia
  • Kannada, for India
  • Spanish, for Colombia

Equipment purchase terms is the document a counterparty is bound by. Producing these needs a human translator working from the reviewed text, not a model.