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Commercial end-user contracts2022-03-08T13:48:00+01:00

Enterprise & Business

Commercial end-user contracts

Commercial contracts may also relate to the sale of products and/or services. In this category you have direct sales and indirect sales agreements.

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Direct sales contracts

Direct sales contracts are agreements whereby products and/or services are sold directly to the other party or parties. This can be by means of a B2B sales agreement, a B2C sales agreement, a B2B purchase agreement or a B2C purchase agreement. Unlike indirect sales contracts, in the case of direct sales contracts, trade in products and/or services takes place without the intervention of a third party.

Is the agreement for the purchase or sale of certain products and/or services? In this case, it is important to know whether the conditions are intended for B2B or B2C.

Examples of sales and purchase contracts are

  • Purchase and Sales Agreement
  • General terms and conditions
  • Framework agreement
  • Heads of Agreement
  • Secrecy agreement
  • Exclusivity agreement etc.

In the regulations concerning contracts for B2B, more freedom of contract applies than, for example, B2C. This freedom of contract applies in particular to entrepreneurs who employ more than 50 employees and where there is an obligation to publish.

The General Terms and Conditions apply to any agreement you enter into for the sale or purchase of products/services, provided that the strict legal rules of applicability are complied with. This type of General Terms and Conditions are specific to the B2B market. It is efficient to bundle the General Terms and Conditions in a single document and your company will have to implement a strict procedure internally to ensure that the legal rules of applicability are complied with. If not, the General Terms and Conditions may not apply to the purchase/sale agreement.

A non-disclosure agreement is often used prior to negotiations in which parties wish to cooperate and in which sensitive information is shared. Examples include customer files, financial figures, technical information, etc. This information, if used by the other party, can be harmful to your business. This information must therefore remain secret and the parties make clear agreements on how to deal with this confidential information, often including penalty clauses. A declaration of confidentiality can be one-sided or two-sided, crucial is whether only one party shares sensitive information or both parties.

This is where two professional parties regularly do business together for a longer period of time, where many provisions remain the same and where a few provisions such as the purchase price, payment terms etc. are variable. It is then customary to draw up a framework agreement where the non-variable provisions are often added as annexes. This can save a lot of time and money.

A continuing performance contract is a contract between two or more parties under which they have mutually agreed to perform certain services. The services must be recurrent or successive or continuous. The law makes a distinction between named and unnamed continuing performance contracts. Named long-term contracts are contracts such as an employment contract and a tenancy agreement and are governed by statutory regulations concerning termination by notice, for example. There is no specific statutory provision for unnamed continuing employment contracts, such as distribution agreements.

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Legal questions, or even conflicts, are part of doing business. According to LVH, this is not something to fear, but something to take seriously. LVH’s goal is to help you in such a way that you can continue to concentrate on your business operations with peace of mind. LVH is a Rotterdam law firm with skilled, committed and decisive lawyers who, through their way of working, are able to build long-term relationships with their clients and, in a position as in-house lawyer, can and may support entrepreneurs with all possible legal issues. LVH is convinced that professionalism and job satisfaction go very well together, both in the relationship with customers and with each other in the office.

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Contacts
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Employees
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International Business

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