Contract Contracts Or Lump -sum Contracts

A contract is an official agreement between two parties. There are different types of contract, such as sale and purchase of a business agreement, partnership agreements, lease of business premises, lease of plant and equipment and employment agreements. The format can vary too. It can be face to face, written, or distance selling. The specifications of a contract involve offer and acceptance, the intention to create legal relations, lawful considerations, capacity and legal formalities such as terms and conditions.

In this assignment I will be writing a formal report that will explain a typical procurement process, I will outline a variety of methods of supplier reimbursement and contract relationships; I will also outline the pros and cons of each contract type. As well as this, I will explain a typical supplier selection process through the use of Carters 10 C’s and a typical selection process model.

The contract was to govern the business relationship, and the terms were expected to be adhered to by both parties. According to the contract, the supplier was supposed to supply me with the products during the time of agreement without failure unless under unavoidable circumstances. Any condition that prevented delivery of products on the dates scheduled, the supplier was expected to provide a reason for the delay and if possible give the estimated time of delivery. The prices of the products were expected to be fixed, and no additional charges or price adjustments were to be made without my consent and that is after negotiations between the two of us. Also, the products were supposed to be delivered in exact quantities, location, and on time.

Contracts are an important part of everyday life. They are an essential part of business. As a student of a business law class, I will discuss in this paper several aspects of contracts. This paper will give a definition of a contract and the essential elements necessary to form a valid contract. It will briefly discuss breach of contract and the difference between a material breach and a nonmaterial breach of contract. Examples of legal and equitable remedies available for breach of contracts will be highlighted. Also, legal excuses for nonperformance or other grounds for discharge of contracts will be addressed. Finally, three types of common contracts personally and professionally encountered will be mentioned.

Fixed-price contracts use a fixed total price for the defined product, service, or result to be provided. The seller has the most risk in this contract type because they are obligated to complete the contracts and they will have to pay financial damages if they do not complete it. In the cost-reimbursable contracts, cost reimbursements are involved with additional fee that represents seller profit. This contract type is flexible especially when the project scope changes. Buyers have the most risk in this contract because it is possible that sellers increase prices and fees in the process. The time and material contracts is a hybrid of the fixed-price contracts and cost-reimbursable contracts. Buyers have the most risk in this contract type because the contracts can be open-ended allowing the sellers to increase the price of materials or services.

I have being living in Montroogermy Alabama for over six months now.I recentlt met the defendent at a local church I have been attending. The defendent has a family owned produce business an approached me about possibly supplying me with new products. He offered me samples of Muscadine grapes. He offered me these grapes or to purchase samples of products with these seeds. The samples I was provided became very popular with my customers. I began to regular orders with the defendents company. As these products becane popular I also began to invest heavily in the advetisement of these products. Due to the ongoing business relationship and after reviewing my investment costs I decided to write a requirements contract. I provided this contract to the to the defendent to safe guard my investments. This contract was clear and concise.This contract guaranteed a price schedule consistent with what I have always paid the defendent for these Muscadine grape products. The contract was presented to the owners son who I assumed was a fair representative of the company. I informed the son that this contract needed to be signed to guareente a continuing business realtionship that implies duty of good faith and fair dealing . The defendent has informed me of a offer from a company in Texas that offered to pay twice the rate for these products with the conditon of a output contract as apart of the deal(case study). Due to a skyrocketing demand for these Muscadine products and this

Give an example of each of the two types of contracts. Explain which type of contract is used in your organization. (If you are not currently employed you can give a hypothetical example or an example from your experience).

Don Willetts is a member at your church and owns a health food production business. He has taken interest and is interested in selling Scuppernog grapes that your family sells. Don started to sell the product and it is quickly becoming a top seller. Don is normally late on his payments but since he is a close church friend he does not get charged late fees. Last week, your son stopped by Don’s store to deliver the products. Without your knowledge, your son signed a contract, requiring the company to keep providing Scuppernong grapes to Don, at its current price. Later, a new company asked you to sell them the product at twice the price, with the requirement to sign a contract with them. You decide this would be

The option contract can be a convenient solution for the buyer when the demand is difficult to predict due to market volatility. This type of contract helps the buyer to reduce the inventory risk and keep good relations with the suppliers, as they both agree to fix a price and adjust orders quantities after the demand have been determined, paying a reservation price that will be lost if the buyer decide not to exercise the option. For the supplier, sometimes can be beneficial, sometimes not, depending on the uncertainty in the demand and how much it cost for them to fulfill orders in shorter periods of time. However, as the buyer must pay a reservation price, the supplier will always be compensated by the additional revenue resultant from the option.

Based on the numbers given to McAlpine by Upson, he calculated the price per order offered as low as 20 cents higher than their current cost. Under this proposal, this is a least likely high risk for obtaining a loan. Also, it has a disadvantage if the number of cases agreed upon by Tabby is greater if their sales are slowed down, the company will be caught by several cases and therefore they will have to face or issue consequences if there is no contract without limitations.

Subcontractor will have to pay for the return of the material delivered in more than required quantity.

This essay will examine how to best prepare a contract administration plan. The contract administration plan will examine different methods used in preparing a plan. This essay will explain how important it is to have technical and other support of personnel, the importance of surveillance, and to determine what functions need to be delegated, identify qualified personnel as well as authorized, it is necessary for the Contracting officer to be represented in administering contract requirements. Also there will be a discussion on what is determined

Contract management areas can encompass many things such as cost and price analysis, small business, competition, property issues, vehicles and machinery, contract closeouts and compliance with statutory and regulatory requirements. If I am accepted, I will learn

When ordering a set number of items from a manufacturer who is in the business of making that product and will not have to engage in any research, development, or real custom work, the standard contract would be a fixed-price contract . This scenario describes a simple bulk order of an item. Therefore, in this situation, the most appropriate contract mode is the fixed price contract. This allows the company to receive a number of bids for the 20,000 pencil contract and compare the costs in those bids. It also does not put the seller at tremendous risk because they do not face tremendous variation in the costs of their supplies for manufacturers. Also, as the purchaser fixed price contracts are good for purchasers, because the sellers bear most of the risk of the contract.

Using different types of sources an explanation to the basic principles of contract law and how they apply. From doing this there will then be an explanation to what extent standard forms of contract are special types of contract. Contract that has been chosen is the JCT 2005 standard from of contract with quantities.