What clauses should I pay attention to in a factory purchase contract?
8 essential clauses:
- Product specs (with drawings/samples)
- Pricing
- Payment terms (30% deposit, corporate only)
- Delivery (delay penalty 0.5%/day cap 5%)
- Quality standards (AQL 2.5/4.0)
- IP (mold ownership, NDA)
- Breach of contract
- Dispute resolution (CIETAC arbitration)