Agreement for Sale of
Goods (F.O.B. Basis)
This Agreement is
made at ... this ... day of... between A B & Co. Ltd., a company registered
under the (Indian) Companies Act, 1956 and having its registered office at ...
hereinafter referred to as 'the Seller' of the One Part and M/s ... a foreign
company registered under the ... Companies Act and having Its registered office
at ... and its local agents' office at ... in India, hereinafter referred to as
'the Buyer' of the Other Part.
Seller agrees to sell and the Buyer agrees to buy... bales of Indian Cotton
(... variety) at the price of ... dollars per ton. The price will be on F.O.B.
basis - June-July shipment.
Buyer will nominate a ship within four weeks from the date hereof and shall
give intimation of the expected date of her arrival at the port of dispatch and
the Seller will ship the said goods in the nominated ship when she arrives at
the port of ...
goods will be transported by the Seller upto the wharf where the ship will be
anchored, at its own costs.
the goods are delivered to the master of the ship against the mate's receipt
and the Bill of Lading is issued by the master, or owner of the ship, the
delivery by the Seller to the Buyer will be complete and thereafter the goods
will be the risk of the Buyer.
will be the responsibility of the Buyer to pay the freight charges thereon,
marine insurance charges and other charges for transporting the goods from the
port of shipment to the port of destination and thereafter until the goods come
into the actual possession of the Buyer.
the loading of the goods in the ship, the Seller shall hand over to its banker
the necessary documents of title to the goods and which will be sent by Its
Bankers to their branch or nominated bank at the port of destination.
Buyer shall open a letter of credit with its Banker in favour of the Sellers
Bankers and on receipt of the documents of title by the Seller's foreign
Bankers, the Buyer's Bankers will credit the amount of the price in the
Sellers' name with the Seller's Bankers.
any Import licence is required to be obtained by the Buyer at the place of
destination the same will be obtained by the Buyer and the Buyer will be liable
to pay all custom duty, import duty and other charges for clearance of the
any export licence Is required to be obtained for exporting the goods from
India under the Indian Law, the same will be obtained by the Seller and all
export duties will also be paid by the Seller'
Buyer will be entitled to examine the goods by sample or otherwise at the port
of loading and if the goods are not of the agreed quality or quantity the Buyer
will have the option to reject the goods at the risk and costs of the Seller.
seller shall carryout all customs formalities necessary for the exportation of
seller shall bear all risk of laws of damage to the goods until such time as
they have passed the ships rail at name port of shipment and thereafter all the
risk of loss of or damage to the goods that is from the time they have passed
the ships rail will be of the buyer.
seller shall give to the buyer sufficient notice that the goods have been
delivered on the board of the ship.
seller shall pay the costs of checking quality measuring, weighing, counting
and operations necessary for the purposes of placing the goods at the disposal
of the buyer. The seller shall pack the goods properly and marked them
seller shall render to the buyer at the latter’s request risk and expenses and
every assistance in obtaining documents or equivalent cleeironic massage issued
or transmitted the country of ship man and/or of obligations which the buyer
may request for the exportation of the goods.
buyer shall pay all the costs relating to the goods from the time they have
passed ships rail at the port of shipment as will as all costs incurred because
of the ship named having failed to arrived in time or unable to take goods or
closes for cargo earlier then the stipulated time or if the buyer fails to give
sufficient notice to the seller of the ship, her arrival and loading place.
buyer shall take delivery of the goods when they are brought on board the ship
by the seller.
case the ship nominated by the Buyer fails to arrive at the port of despatch
within a reasonable time from the expected date of arrival or at all, the Buyer
shall nominate another ship and intimate the date of arrival of that ship to
the Seller. In such a case all the godown charges incurred by the Seller for
storing the goods either with a clearing agent or with the port authorities
from the date of arrival of the goods at the port till the date of putting the
goods on board. the ship will be payable by the Buyer. If the nominated vessel
does not land at the port of despatch but arrives at some other port in India
the Seller will if so required by the Buyer transport the goods to the other
port for shipment but in such a case the transport charges will be payable by
any dispute arises under this contract, between the parties, of whatsoever
nature, including any claim for damages the same will be referred to
arbitration under the Byelaws of the ... Cotton Association.
Sd/- Seller. Sd/-