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Agreement for Sale of Goods, Equipment and Related Software

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Agreement for Sale of Goods, Equipment and Related Software

This Equipment Sales Agreement made this day of , 20,

between , a corporation organized and existing under the laws of the state of , with its principal office located at , referred to herein as Seller, and

, a corporation organized and existing under the laws of the state of , with its principal office located at ,

, referred to herein as Customer.

I. Sale of Equipment

Customer agrees to purchase from Seller the equipment described in the attached Exhibit A, the Equipment. Reference in this Agreement to Equipment shall be deemed to include Software except where otherwise indicated, and reference to Equipment or Software shall be deemed to include any Services to be performed.

II. Price

The price and time of payment for the Equipment (the Contract Price) is as follows:

A. $ shall be due on ;

B. $ shall be due upon receipt of shipment.

Any amounts payable by Customer under this Agreement which remain unpaid after delivery shall be subject to a late charge equal to % per month from the due date until such amount is paid.

III. Delivery

Seller shall use its reasonable efforts to deliver the Equipment to Customer between and days following order. Delivery shall be made to a domestic location designated by Customer and all transportation, shipping and handling charges shall be paid by Seller.

IV. Acceptance

The criterion for acceptance of Equipment is the successful operation of the Equipment using Seller's standard test procedures and diagnostic test programs applicable to the Equipment involved. All acceptance tests will be conducted prior to delivery and will be run by Seller personnel.

V. Title and License

Title and risk of loss to the Equipment shall pass to Customer at the time the Equipment is delivered to Customer. All Software is made available in accordance with the terms and conditions of this Agreement and Seller's Individual End User Software License Agreement.

VI. Variations and Extras

The Equipment and Services provided by Seller shall be those specified in this Agreement as accepted in writing by Seller. Extra costs caused by variations, delays, incorrect instructions, or lack of instructions may be charged by Seller and shall be paid for by Customer.

VII. Specifications and Performance

The Equipment supplied will be substantially in accordance with the specifications provided to Customer, subject to reasonable variations plus or minus.

VIII. Operation of the Equipment

Customer shall be responsible for operation of the Equipment and shall comply with all applicable rules, laws, and regulations in connection with operation of the Equipment.

IX. Infringement Indemnity

Seller will defend and indemnify Customer against a claim that the Equipment infringes a United States copyright or patent, provided that:

A. Customer notifies Seller in writing within days of the claim;

B. Seller has sole control of the defense and all related settlement negotiations; and

C. Customer provides Seller with the assistance, information and authority necessary to perform Seller's obligations under this Section IX.

(i) Modify the Equipment to be non-infringing;

(ii) Obtain for Customer a license to continue using the Equipment; or

(iii) Refund the fees paid for the Equipment.

X. Warranty and Disclaimer

A. The warranty given by Seller means that the Equipment sold by the Seller will be free from defects in workmanship and materials and will conform to applicable specifications for a Period of months from the date of shipment or hours of operation of the Equipment, whichever comes first.

Customer gives written notice to Seller of any defect within the Warranty Period or within days after the end of the Warranty Period.

B. In the event that FSE or subcontractors cannot perform the necessary diagnostics, maintenance or repair at Customer's facilities, Customer will be required to return defective Equipment to Seller's designated repair facility at no cost within days after notice.

C. Customer will pay Seller the cost of all charges if the returned Equipment proves not to be defective or if work exceeds Seller's obligations under this Warranty.

D. This Warranty extends only to the original Customer of the Equipment from Seller and does not apply to damage or defects due to misuse, improper installation, accident, neglect, modification, repair by Customer, adverse conditions, or unauthorized parts.

E. The liability of Seller shall be limited solely to correcting defects or providing replacement parts and is limited to the period of the Warranty.

IN NO EVENT SHALL TOTAL LIABILITY EXCEED THE TOTAL CONTRACT PRICE.

F. Nondisclosure

Customer agrees to hold Confidential Information in confidence during the term of this Agreement and for a period of years after termination of this Agreement.

XII. Rights in Data

Seller retains full ownership of all inventions, designs, copyrights, processes and data already made or evolved by Seller in the preparation of or during the course of any work under or resulting from this Agreement.

XIII. Limitation of Liability

IN NO EVENT SHALL SELLER BE LIABLE FOR ANY INDIRECT, INCIDENTAL, PUNITIVE, SPECIAL OR CONSEQUENTIAL DAMAGES, OR DAMAGES FOR LOSS OF PROFITS, REVENUE, OR USE INCURRED BY CUSTOMER OR ANY THIRD PARTY.

XIV. Indemnity

Customer shall indemnify and hold harmless Seller from and against any and all liability, damages, costs, losses and expenses arising out of or in connection with any personal injury or damage to property or business except for the negligent acts of Seller.

XV. Miscellaneous

A. If this Agreement is terminated or cancelled, Customer shall accept delivery of finished or ready for shipping Equipment and reimburse Seller for costs incurred.

B. Seller retains title to the Equipment and a security interest in the Equipment until payment in full and performance by Customer of all obligations under this Agreement.

C. Seller is an independent contractor; nothing in this Agreement shall be construed to create a partnership, joint venture or agency relationship between the parties.

XVI. The invalidity of any portion of this Agreement will not affect the validity of any other provision.

XVII. The failure of either party to insist upon performance shall not be construed as a waiver of any term.

XVIII. This Agreement shall be governed by, construed, and enforced in accordance with the laws of the State of .

XIX. Any notice provided for or concerning this Agreement shall be in writing and sent by certified or registered mail to the respective address of each party.

XX. In the event that any lawsuit is filed in relation to this Agreement, the unsuccessful party shall pay a reasonable sum for the successful party's attorney fees.

XXII. Any dispute under this Agreement shall be resolved by binding arbitration.

XXIII. This Agreement shall constitute the entire agreement between the parties.

XXIV. Any modification of this Agreement shall be binding only if placed in writing and signed by each party.

XXV. The rights of each party under this Agreement are personal and may not be assigned without prior written consent.

XXVI. This Agreement may be executed in counterparts.

XXVII. All applicable governmental laws, regulations, orders, and other rules will be followed and complied with in all respects by both parties.

WITNESS our signatures as of the day and date first above stated.

By:

By:

Attach Exhibits

Enter text✕

What this Agreement covers and when it applies

The Agreement for Sale of Goods, Equipment and Related Software is a contract that records the transfer of tangible goods and any bundled software or licenses from a seller to a buyer. It defines parties, the specific items and software delivered, payment and delivery terms, warranties, support obligations, intellectual property assignments for bundled code, and allocation of risk for loss or defects.

Why a clear sale agreement protects both parties

A written agreement reduces ambiguity about what is sold, payment timing, and post-sale support. It helps prevent disputes, documents obligations for software updates or licenses, and supports enforcement if a party fails to perform.

Why a clear sale agreement protects both parties

Who typically prepares and signs this agreement

Each party should involve the appropriate internal reviewer—legal for IP and indemnity language, procurement for delivery and acceptance criteria, and finance for payment and tax reporting.

  • Corporate procurement teams preparing purchase terms and delivery schedules during vendor selection
  • Technology vendors documenting software license scope, support SLAs, and IP assignments
  • Legal and finance reviewers checking warranty limits, indemnities, and payment milestones

Core clauses to include in the Agreement for Sale of Goods, Equipment and Related Software

A complete agreement groups obligations into clear clauses that allocate risk, define performance, and state remedies. Include precise language so equipment, installed software, and any services are unambiguously described.

Parties

Identify buyer and seller with legal entity names, addresses, and contact details; include buyer's purchase order if applicable.

Description

List goods, model numbers, serial numbers, software versions, license scope, and included documentation or source deliverables.

Price & Payment

Specify total price, payment schedule, invoicing instructions, taxes, and any escrow or holdback terms for acceptance testing.

Delivery & Acceptance

Define delivery method, delivery dates, risk of loss transfer, inspection window, and criteria for formal acceptance of goods and software.

Warranties & Support

State warranty periods for hardware and software, remedies, SLA response times, and limitations or disclaimers of warranty.

IP & Licensing

Clarify license grants, ownership of custom code, assignment of improvements, and restrictions on copying or reverse engineering.

Filling out the Agreement step by step

Follow a consistent sequence to reduce omissions and get a fully enforceable contract executed quickly.

  • 01
    Identify Parties: Enter buyer and seller legal names and contact information.
  • 02
    Detail Goods: List equipment, software, quantities, and identifying numbers.
  • 03
    Set Payment Terms: Define price, milestones, taxes, and payment method.
  • 04
    Sign and Date: Have authorized signers sign, date, and return executed copies.

How to customize the agreement for online execution

Configure a digital workflow that maps fields to signers, adds conditional logic for optional modules, and captures audit trails.

Field Configuration
Signature Fields Assign one signature per authorized signer; require signer name and date.
Conditional Sections Show service addenda only if buyer selects maintenance option.
Attachment Fields Allow upload of acceptance test reports or certificates of compliance.
Audit Trail Enable IP, timestamp, and action logging for legal evidence.

Typical digital execution flow for this agreement

A standard eSigning flow moves from preparation to signer authentication, signature capture, and secure archival while preserving an audit trail.

  • Prepare Document: Upload final PDF or DOCX and place required fields.
  • Add Signers: Assign roles and signing order for buyer and seller.
  • Authenticate: Choose signer verification: email, SMS, or stronger methods.
  • Complete & Store: Signed copy and certificate are generated and archived.

Technical considerations for online signing and integrations

Choose settings that preserve evidentiary metadata (timestamps, IPs, audit trails) and enable secure long-term storage.

  • File Formats: Supports PDF, DOCX, and editable templates.
  • Integrations: Connects with Salesforce, NetSuite, Microsoft 365, and Google Workspace.
  • Authentication: Offers email, SMS, and advanced signer verification.

Security and compliance controls to look for

Encryption: TLS 1.2/1.3 in transit; AES-256 at rest
SOC Certification: SOC 2 Type II available
ISO Standard: ISO 27001 certified
HIPAA Support: HIPAA-compliant with BAA available
21 CFR Part 11: Compliant for regulated records
Accessibility: WCAG 2.0 Level AA support

Primary risks and legal penalties to avoid

Incorrect TIN: Triggers 24% backup withholding
Late 1099 Filing: $60–$330 per form (IRC §6721)
Intentional Disregard: $660+ per form, no cap
I-9 Violations: $281–$2,789 per violation
Missing Signatures: May render agreement unenforceable
IP Misassignment: Can forfeit rights to custom software

Typical eSignature vendor pricing and capability snapshot

Compare starting prices and key capabilities for transactions such as sale agreements and bundled software licenses; signNow is shown first per vendor ordering rules.

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 Yes, 7-day free trial No No Yes, limited Yes, limited
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
Envelope Cap No cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Real-world examples of executing sale agreements online

These case summaries show how organizations used digital signing for equipment and software transactions.

Optica Ventures (Brian Fitzgibbons)

The interface is simple and easy-to-use for our team.

  • Customers sign electronically for faster processing.
  • The result was fewer administrative handoffs, faster revenue recognition, and consistent recordkeeping across transactions.

Fertility Centers of Illinois (John Butler)

We chose a secure integrated signing platform to meet compliance needs.

  • API integrations automated document distribution.
  • This reduced manual steps, preserved audit trails for patient records, and made retrieval straightforward for legal and billing teams.

Practical tips to reduce risk and speed execution

Adopt consistent internal controls and a standard template to prevent omissions and streamline review cycles.

Use a standard template
Maintain an approved master agreement with editable exhibits to keep core terms consistent while allowing project-specific details.
Require authorized signers
Limit signing authority and verify signers’ titles to avoid disputes over execution authority and enforceability.
Capture full audit trails
Record IP address, timestamp, and authentication method to document intent and attribution for electronic signatures.
Keep attachments organized
Attach spec sheets, acceptance tests, and invoices to the executed file for clear evidence of performance and payment.

Common preparation mistakes and how they cause delays

  • Vague equipment descriptions lead to delivery disputes and costly rework when specifications are not agreed in writing.
  • Unclear license scope for bundled software causes scope creep and later litigation over permitted use cases and distribution.
  • Missing acceptance criteria trigger payment holds and disagreements about whether goods meet contractual requirements.
  • Incorrect payment instructions or tax IDs delay settlement and may require reissuance of invoices or 1099 corrections.

Electronic signatures versus digital (cryptographic) signatures

Choose the signature type based on legal needs, audit requirements, and industry standards—each offers different levels of assurance.

Criteria Electronic Signature Digital Signature
Definition any electronic process showing intent cryptographic pki-based signature
Non-repudiation audit trail dependent certificate-based non-repudiation
Typical Use commercial contracts, general approvals regulated records, high-assurance needs
Legal Acceptance accepted under esign/ueta accepted and stronger evidentiary weight

Who should sign and why their role matters

Authorized Signatory — Seller

The company officer or delegated representative who can bind the seller should sign. Their signature confirms transfer of title, warranty commitments, and licensing representations.

Purchasing Agent — Buyer

A buyer’s authorized purchasing agent or procurement manager who can approve payment and accept goods should sign to create enforceable buyer obligations.

Frequently asked questions about executing and storing this agreement

Answers to common implementation, legal validity, and recordkeeping questions for agreements that include equipment and bundled software.


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