Can I terminate a vendor agreement at any time?

It depends on the contract. We recommend agreeing a right of termination with a notice period (e.g. 30–90 days) and an immediate termination right for material breach.

How to handle a vendor price increase?

The contract should include a pricing clause — either a fixed price or an indexation mechanism (e.g. based on the CPI inflation index).

How to handle vendor failure with a substitute supply clause?

The contract should include a substitute performance clause — the buyer's right to purchase from another vendor at the original vendor's cost in case of delay or non-performance.

What are INCOTERMS and why include them?

INCOTERMS are international delivery terms defining who bears costs and risk during transport (e.g. EXW, FCA, DDP). For international deliveries they are essential to eliminate ambiguity.

Commercial

Vendor agreement

Vendor agreement for goods or services

SLA, payment terms and warranties — all in one document.

Start free Features

GDPR compliant · EU-hosted

Companies with a formal vendor agreement reduce dispute costs by 55 %

An SLA in the contract reduces the vendor's response time by 40 %

Clear exit clauses save an average of €8,000 when ending a relationship with a problematic vendor

For purchasing goods or a long-term supplier relationship. AI defines scope, SLA, payment terms, warranties and claims procedure.

Legal context

A purchase agreement for goods is governed by the Commercial Code (§§ 409–470 in Slovakia). A services agreement is an unnamed contract. SLA conditions are governed by freedom of contract.

Commercial Code §§ 409–470 (purchase agreement); § 269(2) (services agreement)

Legal basis & glossary

When to use a Vendor agreement

When selecting a new IT hardware or software vendor
For long-term supply of raw materials or components
When setting up regular deliveries from an agency or outsourcing partner
When purchasing from a foreign supplier

What you get

SLA and delivery terms
Warranties and claims
Payment terms
Exit mechanism

How it works

From idea to signature

SLA and delivery terms

Warranties and claims

Payment terms

FAQ

Frequently asked questions about Vendor agreement

Subject matter, price and payment terms, delivery terms, SLA (response times, availability), warranties, claims procedure, exit conditions and dispute resolution.