Can the agreement be signed electronically?

Yes. Electronic signatures meet ESIGN (15 U.S.C. ch. 96) and UETA requirements when intent, consent, attribution, and record retention are satisfied; exceptions like wills and court orders still require traditional methods.

Are witnesses or notarization required?

Most sales agreements do not require witnesses; specific acknowledgements or deeds may require notarization. State law and transaction type determine requirements—check the relevant state notary rules.

How do we correct a mistake after signing?

Use a written amendment signed by all parties or a replacement agreement. Minor clerical errors are sometimes corrected by a signed addendum or mutual confirmation.

What if a party lacked signing authority?

If a signatory lacked authority, the contract may be voidable; retention of delegation documents and prompt ratification by the principal can cure authority defects.

How should executed agreements be stored?

Retain signed records in secure, access-controlled repositories with backup and export capabilities; ensure retention periods meet IRS, HIPAA, or industry requirements.

Who to contact about disputed deliveries?

Follow the contract's notice and dispute procedures; document inspection results, preserve evidence, and engage legal or dispute-resolution resources as specified in the agreement.

Electronic Signature
Templates
Sales
Sales Product Agreement

Sales Product Agreement

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

Sales Product Agreement

This Sales Product Agreement (Agreement) is made Effective Date: by and between Seller Name: Seller Address: and Buyer Name: Buyer Address: .

1. Background and Purpose

Seller agrees to sell, and Buyer agrees to purchase, the products and quantities set forth in Section 2 under the terms and conditions of this Agreement. This Agreement governs the sale of goods described below and supersedes prior negotiations and understandings between the parties.

2. Products, Quantity and Price

The parties agree the following line items constitute the Products sold under this Agreement. Unit prices are exclusive of applicable taxes and shipping unless specified.

Item	Description	Quantity	Unit Price	Total

Subtotal Tax Rate (%) Tax Amount Shipping & Handling Total Amount Due

3. Payment Terms

Payment is due within days from invoice date unless otherwise stated. Late payments shall incur interest at % per month or the maximum rate permitted by law, whichever is lower.

Accepted Payment Methods

Wire transfer Credit card Check Other:

Bank or Remittance Details (if applicable)

4. Delivery and Risk of Loss

Delivery Date (expected): . Shipping Method: . Delivery Location: .

Unless otherwise agreed in writing, risk of loss transfers to Buyer upon Seller's delivery to the carrier at the Seller's shipping point. Buyer is responsible for all insurance and freight charges after transfer of risk.

5. Inspection and Acceptance

Buyer shall inspect products promptly upon receipt and shall notify Seller in writing of any nonconformity or shortage within days. Failure to provide timely notice constitutes acceptance of the products.

6. Limited Warranty

Seller warrants that, for a period of from delivery, products will materially conform to the agreed specifications and be free from defects in material and workmanship. This warranty is void if products have been subject to misuse, alteration, improper installation, or repair by unauthorized persons.

Warranty Coverage and Remedies

7. Returns and Refunds

Return Period (if applicable): days from delivery for defective or nonconforming goods reported in accordance with Section 5. Restocking fee (if any): %.

Return Procedure

8. Limitation of Liability and Indemnification

Except for Seller's indemnification obligations and gross negligence or willful misconduct, Seller's aggregate liability for any claim arising out of or in connection with this Agreement shall not exceed the total amount paid by Buyer to Seller for the specific products that give rise to the claim. Neither party shall be liable for consequential, incidental, special or punitive damages.

Indemnification

9. Taxes

Buyer is responsible for all sales, use, value-added and other taxes, duties, and assessments imposed by any governmental authority arising from the sale, unless Buyer provides a valid exemption certificate prior to shipment.

10. Force Majeure

Neither party shall be liable for delay or failure to perform caused by events beyond its reasonable control, including acts of God, labor disputes, government actions, shortages, or transportation delays. Affected performance shall be excused for the duration of the event.

11. Termination

Either party may terminate this Agreement for material breach if the breaching party fails to cure within days after written notice. Termination does not relieve Buyer of payment obligations for products delivered prior to termination.

12. Governing Law and Dispute Resolution

This Agreement shall be governed by the laws of the jurisdiction specified below without regard to conflict of law principles. Parties shall attempt to resolve disputes in good faith and may pursue adjudication in the appropriate court of the chosen jurisdiction.

Governing Law Jurisdiction

13. Notices

All notices must be in writing and delivered to the addresses set forth below or other addresses provided in writing. Notices are effective upon receipt.

Seller Notice Contact Buyer Notice Contact

14. Miscellaneous

This Agreement constitutes the entire agreement between the parties with respect to its subject matter and may be amended only by a written instrument signed by both parties. If any provision is invalid or unenforceable, the remaining provisions shall remain in full force and effect.

Additional Terms or Special Conditions

Seller:

By:

Date:

Buyer:

By:

Date:

What a Sales Product Agreement Covers

A Sales Product Agreement is a legally binding contract that records the sale of goods between a seller and a buyer. It sets out the parties, a detailed product description, quantities, pricing, payment terms, delivery and acceptance conditions, warranties, return and inspection procedures, and allocation of risk and liability. The agreement may also include intellectual property, confidentiality, and dispute resolution clauses. When executed properly it governs rights and remedies for both parties throughout the commercial relationship and can be executed electronically under U.S. e-signature laws.

Why a Clear Sales Product Agreement Matters

A well-drafted Sales Product Agreement reduces ambiguity, lowers dispute risk, and documents performance and remedies. Electronic execution meets the legal validity tests under the ESIGN Act (15 U.S.C. ch. 96) and UETA when state law applies, supporting enforceability and efficient recordkeeping.

Who Typically Uses a Sales Product Agreement

The Sales Product Agreement is used by commercial sellers and buyers across supply chains to document terms for recurring orders, one-off shipments, or product consignments.

Manufacturers and suppliers managing wholesale distribution and warranty commitments for shipped goods.
Distributors and resellers formalizing pricing, minimums, and return allowances with upstream vendors.
Corporate procurement and retail buyers establishing acceptance, inspection, and payment schedules.

Parties in finance, logistics, legal, and sales functions commonly review or sign the agreement to ensure pricing, delivery, and liability terms are acceptable.

Who Can Sign on Behalf of a Party

Company CEO

An authorized chief executive or officer with board-granted signature authority can execute high-value Sales Product Agreements. Confirm corporate resolutions or bylaws; absent explicit delegation, CEO-level signatures avoid later challenges to authority and shorten internal approval cycles.

Authorized Rep

A named sales director, procurement officer, or attorney-in-fact may sign if authority is documented in a delegation memo or power of attorney. Keep written delegation records to prevent disputes about signature validity or binding obligations.

Essential Clauses to Include in a Sales Product Agreement

Include clear, enforceable clauses that allocate risk and describe commercial obligations from manufacturing to final acceptance.

Parties & Recitals

Identify legal entity names, addresses, and capacity to contract. Recitals summarize the transaction context and prevent later ambiguity about intent and commercial relationship.

Product Description

Describe goods with SKU, model, specifications, tolerances, and accepted substitutes. Attach exhibits for technical specs, packaging, and labeling requirements to avoid post-delivery disputes.

Price & Payment

State unit price, currency, taxes, payment terms, late fees, and invoicing procedure. Specify whether prices are fixed, subject to adjustment, or volume-discounted and how disputes are handled.

Delivery & Acceptance

Specify Incoterms or delivery point, lead times, carrier responsibilities, inspection window, and acceptance criteria. Define risk of loss transition and remedies for rejected shipments.

Warranties & Returns

Enumerate manufacturer warranties, remedy options, return windows, RMA procedures, and any limitations or exclusions to establish customer expectations and post-sale obligations.

Liability & Remedies

Limitations of liability, indemnities, and liquidated damage provisions should be explicit. Include force majeure, termination rights, and dispute resolution mechanisms to manage commercial risk.

Step-by-Step: Preparing and Executing the Agreement

A short workflow to prepare, approve, and execute a Sales Product Agreement efficiently.

01

Gather Information: Collect party details, product specs, pricing, and delivery expectations.
02

Draft Terms: Populate core clauses and attach technical exhibits or schedules.
03

Legal Review: Have counsel review liability, IP, and regulatory terms.
04

Sign and Distribute: Execute signatures and circulate final copies to stakeholders.

Configuring an Online Signing Workflow

Typical settings to configure when sending the agreement for electronic signature to ensure correct routing and authentication.

Field	Configuration
Signing Order	Sequential or parallel signer order with role assignment
Authentication	Email link, SMS code, or knowledge-based authentication
Reminders	Automatic reminders and expiration schedule
Template	Reusable template with locked clauses and fillable fields

Where to Send or File the Executed Agreement

After execution, route signed copies to primary stakeholders and repositories for compliance and accounting.

Buyer Contact: Send final signed PDF to buyer procurement and contract owner
Finance: Deliver invoice-ready copy to accounts receivable or payable
Logistics: Provide shipping and fulfillment teams with delivery terms and SKUs
Secure Archive: Store executed agreement in a document management system

Digital Signing and File Format Considerations

Choose a signing platform that accepts standard file formats and integrates with your back-office systems for automated processing.

File Formats: PDF, DOCX supported
Integrations: Salesforce, NetSuite, Google Workspace
Authentication: Email, SMS, or stronger methods

Ensure the platform provides an audit trail, secure storage, and export options so signed records can be reproduced and retained according to legal and internal policies.

Key Deadlines and Timeframes to Track

Track contractual dates carefully; many obligations are time-limited and linked to the effective date or delivery date.

Effective Date:

MM/DD/YYYY as entered triggers performance obligations

Payment Due:

Typical net 30 or net 45 from invoice date

Delivery Window:

Specified lead time in business days or calendar days

Inspection Period:

Commonly 5–10 business days after delivery

Warranty Claim Period:

Defined warranty length (for example, 12 months)

Common Mistakes to Avoid

Vague product descriptions that omit model numbers or specifications, leading to acceptance disputes upon delivery.
Missing or mismatched legal names for parties, causing enforceability or notice-service problems in litigation.
Unclear delivery terms or failure to state Incoterms, which shifts risk and can create carrier disputes.
Omitting signatory authority documentation or failing to capture delegation, which raises challenges to document validity.

Primary Risks and Consequences of Errors

Breach Damages: Monetary damages and repair costs

Tax Exposure: Incorrect tax treatment or reporting

Delivery Disputes: Chargebacks or refused shipments

Warranty Claims: Repair, replacement, or refund obligations

Reputational Harm: Customer loss or negative reviews

Regulatory Fines: Industry-specific penalties

Required Information and Data Elements

Party Identifiers: Legal entity, address, and tax ID

Product Details: SKU, model, quantity, and specs

Price Terms: Unit price, currency, taxes

Delivery Info: Incoterm, lead time, carrier

Payment Terms: Net terms, late fees, remittance details

Signature Data: Signer name, title, date

eSignature Vendor Comparison for Executing Sales Product Agreements

Compare common vendor criteria for electronic signing and compliance. signNow appears first to show cost and capability context without endorsement language.

	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)	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Frequently Asked Questions about Sales Product Agreements

Answers to common execution and enforceability questions for Sales Product Agreements executed electronically or on paper.

Need help? Contact support

Can the agreement be signed electronically?
Yes. Electronic signatures meet ESIGN (15 U.S.C. ch. 96) and UETA requirements when intent, consent, attribution, and record retention are satisfied; exceptions like wills and court orders still require traditional methods.
Are witnesses or notarization required?
Most sales agreements do not require witnesses; specific acknowledgements or deeds may require notarization. State law and transaction type determine requirements—check the relevant state notary rules.
How do we correct a mistake after signing?
Use a written amendment signed by all parties or a replacement agreement. Minor clerical errors are sometimes corrected by a signed addendum or mutual confirmation.
What if a party lacked signing authority?
If a signatory lacked authority, the contract may be voidable; retention of delegation documents and prompt ratification by the principal can cure authority defects.
How should executed agreements be stored?
Retain signed records in secure, access-controlled repositories with backup and export capabilities; ensure retention periods meet IRS, HIPAA, or industry requirements.
Who to contact about disputed deliveries?
Follow the contract's notice and dispute procedures; document inspection results, preserve evidence, and engage legal or dispute-resolution resources as specified in the agreement.

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