Do these agreements require notarization?

Generally no. Most commercial fuel purchase agreements are enforceable without notarization. Notarization or RON may be required where title transfer or state-specific practices demand it; verify with the state notary office or counsel.

Can an eSignature make the agreement valid?

Yes. Under the ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, electronic signatures are legally valid if intent, consent, attribution, and record retention are satisfied.

What happens if fuel is contaminated on delivery?

The agreement should set testing procedures, responsibility for testing costs, and corrective actions. Liability often depends on whether contamination arose before or after title transfer; include clear acceptance and remediation clauses.

How should tax and excise responsibilities be handled?

Allocate responsibility for sales, fuel excise, and environmental taxes in the agreement. Misallocated tax liability can result in assessments; consult tax counsel for state-specific rules.

Who should review the agreement before signing?

Operations should confirm logistics and specs, finance should confirm payment and credit terms, and legal should review indemnities, insurance, and dispute resolution clauses prior to execution.

How do I update the agreement later?

Use a written amendment signed by authorized representatives. Track amendments as separate exhibits or addenda and retain prior versions for audit and dispute resolution.

Electronic Signature
Templates
Miscellaneous
Fuel Purchase Agreement

Fuel Purchase Agreement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

FUEL PURCHASE AGREEMENT

This Fuel Purchase Agreement (the "Agreement") is entered into as of Date: by and between Seller Name: and Buyer Name: .

Recitals

WHEREAS, Seller is regularly engaged in the sale and distribution of refined fuel products and has the capacity to supply the fuel specified in this Agreement; and

WHEREAS, Buyer desires to purchase from Seller, and Seller desires to sell to Buyer, the quantities and types of fuel set forth herein under the terms and conditions of this Agreement.

WHEREAS, the parties intend for this Agreement to govern all purchases of the fuel described below during the Term specified herein.

1. Scope of Work

Seller shall supply and deliver fuel to Buyer in accordance with the specifications, quantities and delivery schedule set forth in this Agreement. The detailed scope of supply, delivery obligations and any special handling instructions are described below.

Detailed Scope of Work

2. Fuel Specifications and Quantity

Fuel Type: Grade/Specification:

Estimated Quantity: Tolerance:

3. Delivery and Transfer of Title

Delivery Point:

Delivery Schedule:

Title and risk of loss shall transfer from Seller to Buyer upon delivery at the Delivery Point following Seller's tender of the fuel and Buyer's acceptance in accordance with Section 4 (Acceptance and Testing). Seller shall comply with applicable law and provide required documentation for transport.

4. Price and Payment Terms

Price: Buyer shall pay Seller a price of per gallon, exclusive of applicable taxes and duties unless otherwise stated.

Invoice and Payment Schedule: Seller will issue invoices upon delivery. Payment shall be due within days from Buyer's receipt of a properly documented invoice. Payments shall be made in U.S. Dollars by wire transfer or other mutually agreed method.

Late Payment: Any undisputed amount not paid when due shall accrue interest at a rate of % per month (or the maximum lawful rate if lower) from the due date until paid.

Invoicing Instructions / Payment Details

5. Acceptance, Quantity and Measurement

Fuel shall be measured for quantity and tested for conformity to the specifications at the Delivery Point by mutually agreed measurement methods and laboratory tests. The parties agree that measurements and testing by an independent laboratory selected pursuant to this Agreement shall be final and binding absent manifest error.

Disputes regarding quantity or quality shall be handled per the procedures set forth in the Acceptance and Testing subsection of the scope of work; Buyer must provide written notice of any claim within business days of delivery.

6. Taxes, Duties and Regulatory Compliance

Unless otherwise agreed, Buyer shall be responsible for all taxes, fees, levies and duties (excluding Seller's income taxes) arising from the sale, transportation or delivery of the fuel. Each party shall comply with applicable environmental, transportation and safety laws and regulations.

7. Term and Termination

Term: This Agreement shall commence on Start Date: and shall continue until End Date: unless earlier terminated in accordance with this Section.

Termination for Cause: Either party may terminate this Agreement upon written notice if the other party materially breaches this Agreement and fails to cure such breach within days after receipt of written notice specifying the breach.

Termination for Convenience: Either party may terminate this Agreement for convenience upon providing days prior written notice to the other party. Termination shall not relieve Buyer of liability for payment for fuel delivered prior to the effective date of termination.

8. Confidentiality

Each party shall maintain in confidence all non-public information disclosed by the other party that is designated as confidential or that reasonably should be understood to be confidential ("Confidential Information"). Confidential Information shall not include information that: (a) is or becomes generally available to the public other than through a breach of this Agreement; (b) was in the receiving party's possession prior to receipt from the disclosing party; (c) is rightfully received from a third party without an obligation of confidentiality; or (d) is independently developed by the receiving party without use of the disclosing party's Confidential Information.

The receiving party may disclose Confidential Information to its employees, agents or contractors who need access for purposes of performing obligations under this Agreement, provided such persons are bound by confidentiality obligations no less protective than those herein. The obligations of confidentiality shall survive termination or expiration of this Agreement for a period of three (3) years.

9. Force Majeure

Neither party shall be liable for failure or delay in performance to the extent caused by circumstances beyond its reasonable control, including but not limited to acts of God, strikes, riots, war, government orders, shortages of fuel or transportation interruptions. The affected party shall provide prompt written notice and use commercially reasonable efforts to resume performance.

10. Indemnification

Each party shall indemnify, defend and hold harmless the other party and its officers, directors, employees and agents from and against any third-party claims, liabilities, losses, damages, costs and expenses (including reasonable attorneys' fees) arising out of the indemnifying party's negligence, willful misconduct or breach of this Agreement, subject to any limitations set forth in this Agreement.

11. Assignment

Neither party may assign its rights or delegate its obligations under this Agreement without the prior written consent of the other party, which consent shall not be unreasonably withheld; provided, however, that either party may assign this Agreement to an affiliate or to a successor in interest in connection with a merger, sale of substantially all assets, or similar transaction.

12. Governing Law; Dispute Resolution

Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to its conflict of law principles.

The parties shall attempt in good faith to resolve disputes promptly by negotiation between executives of the parties. If the dispute is not resolved by negotiation within thirty (30) days, the parties agree to submit the dispute to binding arbitration in accordance with the commercial arbitration rules mutually agreed by the parties, with the place of arbitration in the governing state unless otherwise agreed in writing.

13. Entire Agreement; Modification

This Agreement, including all exhibits, schedules and purchase orders expressly incorporated herein, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals and communications, whether oral or written. No amendment, modification or waiver of any provision shall be effective unless in writing and signed by authorized representatives of both parties.

14. Notices

All notices, requests, consents and other communications required or permitted under this Agreement shall be in writing and shall be delivered to the parties at the addresses set forth below or to such other address as either party may designate by notice to the other.

Seller Notice Address Buyer Notice Address

15. Miscellaneous

Severability: If any provision of this Agreement is held invalid or unenforceable, the remaining provisions shall remain in full force and effect. Waiver of any breach shall not constitute waiver of any subsequent breach.

Relationship of Parties: The parties are independent contractors. Nothing in this Agreement creates a partnership, joint venture, agency or employment relationship between the parties.

Seller Printed Name:

By:

Date:

Buyer Printed Name:

By:

Date:

What a Fuel Purchase Agreement Is and When It’s Used

A Fuel Purchase Agreement is a written contract that defines the sale and delivery of fuel between a buyer (fleet, distributor, or retailer) and a supplier. It sets pricing, quantity, delivery schedule, quality specifications, payment terms, risk of loss, and remedies for breach. These agreements support recurring purchases, bulk deliveries, cardlock or depot access arrangements, and spot purchases. They commonly include testing procedures, environmental and safety controls, invoicing and tax handling, and provisions that govern change orders or force majeure events.

Why a Clear Fuel Purchase Agreement Matters

A well-drafted Fuel Purchase Agreement reduces price disputes, ensures reliable deliveries, allocates risk for title and contamination, and defines payment mechanics and remedies. It also clarifies tax and environmental responsibilities and supports auditability for lenders, auditors, and regulators.

Who Typically Uses a Fuel Purchase Agreement

Fuel Purchase Agreements are used by fleets, fuel merchants, municipalities, and commercial buyers to standardize recurring purchases and protect both parties.

Large Fleets and Logistics Operators: Standardize pricing, set cardlock controls, and lock delivery schedules for multi-site operations.
Fuel Suppliers and Distributors: Manage credit risk, define product specs, and document liability for contamination or short delivery.
Municipal and Government Buyers: Ensure procurement compliance, insurance, and recordkeeping for audits and grant reporting.

The agreement’s structure may change by industry and transaction size; larger buyers often negotiate additional credit, delivery and testing protections.

Primary Signers and Their Roles

Supplier Representative

Authorized signatory (sales manager or contract officer) with authority to bind the fuel supplier, confirm delivery terms, and accept invoicing and indemnity provisions. Include job title and proof of signing authority in internal records.

Buyer Authorized Officer

Purchasing manager or finance officer authorized to accept pricing, approve payment terms, and commit buyer to delivery windows. Use corporate resolution or delegated authority documentation for validation when required.

Core Clauses to Include in a Professional Agreement

A complete Fuel Purchase Agreement groups commercial, operational, and legal terms so both parties understand obligations, pricing, and remedies. The following clauses form the agreement’s backbone.

Parties

Identify full legal names, business types (LLC, corp), and addresses for buyer and supplier; include tax ID or EIN for invoicing and 1099 purposes.

Product Details

Specify fuel type(s), grade, permissible additives, ASTM or other quality standards, and measurement method (gallons at standard temperature).

Price & Payment

Set fixed price, index-based formula, or rack-plus structure; state invoicing cadence, payment terms, late fees, and eligible credits or discounts.

Delivery & Title

Define delivery method (bulk, tank truck, cardlock), delivery window, acceptance testing, transfer of title, and demurrage or refusal procedures.

Liability & Insurance

Allocate risk for contamination, spills, and environmental cleanup; require minimum insurance limits and name the buyer as additional insured where appropriate.

Termination & Remedies

List termination triggers (default, insolvency, force majeure), cure periods, liquidated damages if appropriate, and dispute resolution method (arbitration or courts).

Required Information and Fields at a Glance

Buyer Name: Full legal entity

Supplier Name: Full legal entity

Effective Date: MM/DD/YYYY

Price Formula: Index or fixed price

Delivery Terms: Location and Incoterm

Payment Terms: Net days and late fees

Step-by-Step: Completing a Fuel Purchase Agreement

Follow these sequential steps to prepare, review, and execute the agreement with minimal revisions and clear audit trails.

01

Prepare Draft: Populate parties, product specs, pricing, and delivery terms.
02

Operational Review: Have operations verify delivery windows and testing methods.
03

Legal Review: Confirm indemnities, insurance, and dispute clauses with counsel.
04

Execute: Sign, date, and distribute executed copies to stakeholders.

How to Configure an Online Completion Workflow

Set up a digital workflow that routes the agreement to operational, legal, and finance approvers before final signature.

Field	Configuration
Approval Routing	Sequential: Ops → Legal → Finance
Authentication	Email link with optional SMS code
Conditional Fields	Enable price formula input when custom pricing selected
Final Delivery	Auto-send PDF and audit trail to parties

Where to Send the Completed Agreement

After execution, route the agreement to teams that need it for operations, invoicing, and regulatory compliance.

Procurement: Store original for vendor management and PO matching
Accounts Payable: Use for invoice approval and payment scheduling
Operations: Provide delivery schedules and contact details
Legal/Compliance: Archive for contract interpretation and audits

Sharing and eSubmission Options

Digital distribution options reduce turnaround and create auditable records for each signed agreement.

Email Delivery: Send signed PDF copies to recipients
API Integration: Connect to ERP or procurement systems
Cloud Storage: Archive in Box, Google Drive, or NetSuite

Important Dates and Timing to Track

Track execution and operational deadlines to avoid delivery interruptions, invoicing disputes, or missed termination windows.

Effective Date:

Agreement begins on the signed effective date

Delivery Window:

Specify scheduled dates or recurring delivery cadence

Invoice Submission:

State timeframe for supplier invoice submission

Payment Due:

Net 30, Net 45, or other agreed terms

Termination Notice:

Provide required notice period for termination

Key Contract Milestones

A sequential view of key milestones helps teams prepare for delivery, testing, and closeout stages.

01

Negotiation

Finalize pricing, delivery, and quality terms

02

Execution

All authorized signers sign and date the contract

03

First Delivery

Complete initial shipment and acceptance testing

04

Contract Closeout

Resolve final invoices and return collateral if any

Common Mistakes to Avoid

Using vague fuel specifications that leave acceptance testing open to dispute, which often leads to costly remediation and litigation.
Failing to document transfer of title and risk of loss at the correct physical point, causing ambiguity in insurance claims after contamination.
Omitting clear invoicing requirements and tax responsibilities, resulting in delayed payments and incorrect tax reporting.
Not including a dispute resolution process, which can escalate a minor pricing disagreement into protracted legal proceedings.

Penalties and Risks of an Incorrect Agreement

Payment Delays: Late fees and interest

Contamination Claims: Cleanup and liability costs

Tax Exposure: Misreported sales or excise tax

Contract Disputes: Arbitration or litigation costs

Regulatory Fines: Environmental enforcement penalties

Credit Risk: Supplier insolvency impacts

How a Fuel Purchase Agreement Differs from Similar Documents

Compare the Fuel Purchase Agreement to related documents so you can pick the right template for each transaction.

Document Type	Purpose	Typical Use
Purchase Order	short-term procurement	single delivery confirmation
Supply Contract	long-term supply	multiple deliveries and pricing formula
Cardlock Agreement	site access controls	card-based fueling access
Spot Contract	one-time purchase	immediate market pricing

Comparing eSignature Providers for Executing Fuel Agreements

Select an eSignature provider that meets your security, compliance, and volume requirements; the table shows common plan-level differences.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes (Business Premium)	Yes	Yes	Yes	Yes
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	Varies	Varies
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Supporting Documents and Export Formats

Collect supporting documents and choose file formats that meet procurement, tax, and legal archival requirements.

PDF

Final signed agreements should be saved as PDF/A for long-term preservation and to preserve signature audit trails.

DOCX

Keep an editable Word copy for internal edits and version control prior to final execution.

Invoice & PO

Attach purchase orders, invoices, and delivery tickets to the agreement for matching and financial audits.

Insurance & Permits

Store certificates of insurance, environmental permits, and transport licenses alongside the executed contract.

Practical Tips for Accurate and Efficient Completion

Apply consistent internal controls and document standards to reduce errors and disputes.

Use Clear Pricing Formulas

Specify index sources, effective times, rounding rules, and adjustments. Clear formulas reduce reconciliation disputes and simplify automated invoicing.

Standardize Delivery Terms

Define delivery point, acceptance testing, and rejection procedures so operations teams can follow a repeatable process and limit stoppages.

Log Authority Documents

Attach corporate resolutions or procurement delegations to verify signatory authority and avoid later challenges to validity.

Keep an Audit Trail

Record who edited, approved, and signed the document with timestamps and IP addresses for forensic and compliance purposes.

Frequently Asked Questions About Fuel Purchase Agreements

Answers to common practical and legal questions encountered when preparing or signing a fuel purchase agreement.

Need help? Contact support

Do these agreements require notarization?
Generally no. Most commercial fuel purchase agreements are enforceable without notarization. Notarization or RON may be required where title transfer or state-specific practices demand it; verify with the state notary office or counsel.
Can an eSignature make the agreement valid?
Yes. Under the ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, electronic signatures are legally valid if intent, consent, attribution, and record retention are satisfied.
What happens if fuel is contaminated on delivery?
The agreement should set testing procedures, responsibility for testing costs, and corrective actions. Liability often depends on whether contamination arose before or after title transfer; include clear acceptance and remediation clauses.
How should tax and excise responsibilities be handled?
Allocate responsibility for sales, fuel excise, and environmental taxes in the agreement. Misallocated tax liability can result in assessments; consult tax counsel for state-specific rules.
Who should review the agreement before signing?
Operations should confirm logistics and specs, finance should confirm payment and credit terms, and legal should review indemnities, insurance, and dispute resolution clauses prior to execution.
How do I update the agreement later?
Use a written amendment signed by authorized representatives. Track amendments as separate exhibits or addenda and retain prior versions for audit and dispute resolution.

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