Consignment Stock Agreement South Africa

1. Sale after consignment. From time to time, the recipient will place orders for the products to the sender. The shipper may, at its sole discretion, accept such orders and send these products to the sender on shipment, subject to and in accordance with the terms of this Agreement. The recipient accepts delivery and payment according to the products required for all products he has ordered, but nothing in the agreement is considered to be required to satisfy one or all of the recipient`s orders for the products. The sender retains ownership of all items shipped until the item is sold. My Desert Rose heresafter acknowledges that it only takes possession of parcels on the basis of shipments and that it acquires no interest in the ownership or safety of these parcels. The agreement also sets a deadline for products shipped. If, in the event that all products are not sold on a given date, all unsold products will be returned to the shipper with all delivery costs at the recipient`s expense.

At the beginning, the contract must be concluded by both parties. A well-developed agreement will prevent/minimize confusion, misunderstandings and errors and clearly express the expectations and responsibilities of each party. Once the contract is signed, each party can focus on its own specialty: the distributor sells and the manufacturer creates. This promotes the success of the division of labour without interference from both parties or, in the long run, a profitable agreement. Here are some tips on how to make a good simple consignment agreement: Like all other companies, the show will have its own benefits and pitfalls. At the beginning of the project, the sender and recipient should formalize their relationship with a supply contract. This would minimize the risks inherent in business transactions and maximize benefits for both parties. In principle, you use a transport contract form if your company sells products and wants someone to sell such products on your behalf.