Bulk supply clause: Copy, customize, and use instantly

Introduction

A bulk supply clause outlines terms and conditions for the provision of large quantities of goods or services under a contract. It specifies delivery schedules, pricing, quality standards, and other key obligations, ensuring both parties clearly understand their responsibilities. This clause is particularly relevant in contracts involving wholesale transactions or large-scale supply chains.

Below are bulk supply clause templates tailored to various scenarios. Copy the one you need, customize it, and add it to your contract.

Standard bulk supply clause

This clause ensures clarity on volume commitments and timelines.

The supplier agrees to provide [quantity] of [goods/services] to the buyer on a bulk basis, delivered in accordance with the schedule outlined in [Exhibit/Attachment]. All deliveries shall meet the agreed quality standards as specified in [reference document], and any variation must be pre-approved in writing by the buyer.

Volume discount bulk supply clause

This clause includes pricing benefits for large orders.

The supplier agrees to supply [quantity] of [goods/services] to the buyer at a discounted rate of [insert discount rate] due to the bulk nature of the order. This pricing is contingent upon the buyer meeting the minimum volume requirement of [insert quantity] within [insert time period].

Contingent bulk supply clause

This clause ties supply obligations to specific conditions.

The supplier's obligation to provide bulk quantities of [goods/services] under this agreement is contingent upon the buyer's fulfillment of [insert condition, e.g., upfront payment, minimum order commitment]. Failure to meet these conditions may result in delays or adjustments to the supply schedule.

Bulk supply with phased delivery clause

This clause defines phased delivery schedules for bulk orders.

The supplier agrees to provide [quantity] of [goods/services] in phases as outlined in the delivery schedule in [Exhibit/Attachment]. Each phase will consist of [insert volume] and will be delivered by the following dates: [insert dates]. Failure to adhere to this schedule may result in penalties as outlined in [reference document].

Quality assurance bulk supply clause

This clause ensures stringent quality standards for bulk deliveries.

The supplier shall ensure that all bulk deliveries of [goods/services] conform to the quality standards specified in [reference document]. The buyer reserves the right to inspect and reject any shipment that does not meet these standards, with replacement or corrective measures to be implemented within [insert timeframe].

Forecast-dependent bulk supply clause

This clause links supply commitments to buyer-provided forecasts.

The supplier's obligation to deliver bulk quantities of [goods/services] is based on forecasts provided by the buyer. The buyer agrees to submit forecasts on a [insert time period] basis, and the supplier will adjust production and delivery schedules accordingly. Deviations exceeding [insert percentage] from the forecast may result in renegotiation of terms.

Bulk supply with storage clause

This clause addresses storage arrangements for bulk goods.

The supplier agrees to provide [quantity] of [goods/services] and to store the bulk order in its facilities for a maximum of [insert time period] before delivery. The buyer agrees to pay storage fees of [insert amount] per [insert unit of time] if the delivery is delayed due to buyer-requested changes.

Force majeure bulk supply clause

This clause protects parties in case of unforeseen interruptions.

The supplier's obligation to deliver bulk quantities of [goods/services] shall be suspended during events of force majeure as defined in [reference document]. The supplier agrees to resume deliveries as soon as reasonably possible after the resolution of such events.

Supply chain disruption bulk supply clause

This clause addresses potential supply chain issues.

In the event of supply chain disruptions impacting the delivery of bulk quantities of [goods/services], the supplier agrees to notify the buyer immediately and propose alternative delivery schedules or quantities. Both parties shall work collaboratively to minimize the impact on the buyer's operations.

Exclusive bulk supply clause

This clause grants exclusivity to the buyer for the supply of goods or services.

The supplier agrees to provide [quantity] of [goods/services] exclusively to the buyer for a period of [insert time period]. During this period, the supplier shall not supply the same goods/services to any third party without the buyer's prior written consent.

Bulk supply with price adjustment clause

This clause allows for price changes based on market conditions.

The supplier reserves the right to adjust the price of bulk quantities of [goods/services] in accordance with market conditions, provided that any price adjustment is communicated to the buyer in writing at least [insert notice period] before implementation. The buyer retains the right to renegotiate or terminate the agreement if price adjustments exceed [insert percentage].

Bulk supply with buyer-supplied materials clause

This clause involves the buyer providing materials for production.

The supplier agrees to provide [quantity] of [goods/services] using materials supplied by the buyer. The buyer shall deliver the required materials to the supplier's facility by [insert date]. Any delays in material delivery may affect the agreed supply schedule.

Environmental compliance bulk supply clause

This clause ensures adherence to environmental standards.

The supplier agrees that all bulk deliveries of [goods/services] shall comply with applicable environmental regulations and sustainability standards as specified in [reference document]. The buyer reserves the right to audit the supplier's practices to ensure compliance.

Bulk supply with penalties clause

This clause enforces penalties for delivery delays or non-compliance.

The supplier agrees to deliver [quantity] of [goods/services] according to the agreed schedule. Failure to meet the delivery timeline or quality standards will result in penalties of [insert amount] per day or occurrence, as outlined in [reference document].

Termination for non-performance bulk supply clause

This clause allows termination if supply obligations are not met.

If the supplier fails to deliver the agreed bulk quantities of [goods/services] within [insert time period] or fails to meet the quality standards specified in [reference document], the buyer reserves the right to terminate this agreement without further obligation.

Bulk supply with inspection rights clause

This clause grants the buyer the right to inspect goods before acceptance.

The supplier agrees to allow the buyer or its representatives to inspect bulk quantities of [goods/services] prior to acceptance. Any goods failing to meet the agreed quality standards will be rejected and must be replaced or corrected at the supplier's expense within [insert timeframe].

Bulk supply with volume flexibility clause

This clause allows adjustments to bulk order quantities.

The buyer reserves the right to adjust the order volume of bulk quantities of [goods/services] by up to [insert percentage] with [insert notice period] prior to the scheduled delivery date. The supplier agrees to accommodate such adjustments without penalties.

Bulk supply with exclusivity termination clause

This clause permits the buyer to end exclusivity if supply terms are not met.

The supplier's exclusive right to provide bulk quantities of [goods/services] to the buyer is contingent upon meeting delivery and quality standards. Failure to meet these standards allows the buyer to terminate the exclusivity provision while retaining all other contractual rights.

Bulk supply with long-term pricing clause

This clause fixes pricing over an extended period for stability.

The supplier agrees to provide [goods/services] in bulk at a fixed price of [insert amount] per unit for a period of [insert time period]. Any changes to pricing beyond this term must be mutually agreed upon in writing at least [insert notice period] in advance.

Bulk supply with staggered delivery clause

This clause outlines phased delivery schedules.

The supplier will deliver bulk quantities of [goods/services] in staggered shipments according to the following schedule: [insert specific dates or intervals]. Each delivery must meet the agreed quality standards, failing which the buyer reserves the right to withhold payment for the affected shipment.

Bulk supply with minimum purchase requirements clause

This clause sets a minimum quantity the buyer must purchase.

The buyer agrees to purchase a minimum of [insert quantity] units of [goods/services] per [insert time period]. If the buyer fails to meet this minimum requirement, the supplier reserves the right to adjust pricing or terminate the agreement.

Bulk supply with currency fluctuation clause

This clause accounts for exchange rate risks in international supply.

The supplier reserves the right to adjust pricing for bulk quantities of [goods/services] to account for currency fluctuations exceeding [insert percentage]. Any adjustments will be based on the prevailing exchange rate as of [insert specific date] and communicated in writing.

Bulk supply with multi-location delivery clause

This clause addresses deliveries to multiple locations.

The supplier agrees to deliver bulk quantities of [goods/services] to the following locations: [list locations]. The buyer will provide detailed delivery instructions for each location at least [insert notice period] prior to the scheduled delivery dates.

Bulk supply with warranty clause

This clause includes guarantees for bulk-supplied goods or services.

The supplier warrants that all bulk quantities of [goods/services] delivered will meet the specifications outlined in [reference document]. Any defective goods or services must be replaced or remedied at the supplier's expense within [insert timeframe].

Bulk supply with shared logistics clause

This clause defines responsibility for transportation costs.

The buyer and supplier agree to share transportation costs for bulk deliveries of [goods/services] on a [insert percentage split] basis. Both parties will jointly select a logistics provider and ensure timely communication regarding delivery schedules.

Bulk supply with early termination option clause

This clause allows for termination under specific conditions.

Either party may terminate this agreement for the bulk supply of [goods/services] with [insert notice period] if the other party fails to comply with key terms, including delivery timelines, quality standards, or payment obligations.

Bulk supply with escalation procedure clause

This clause outlines a dispute resolution process for supply issues.

In the event of disputes regarding bulk supply of [goods/services], the parties agree to escalate the issue to senior representatives for resolution within [insert timeframe]. If unresolved, the matter will be referred to mediation or arbitration as outlined in [reference document].

Bulk supply with substitution rights clause

This clause allows substitution for unavailable goods.

In the event the supplier cannot provide the agreed bulk quantities of [goods/services] due to unforeseen circumstances, the supplier may substitute equivalent goods/services with the buyer's prior written approval. The substitution must not result in additional costs to the buyer.

Bulk supply with late delivery penalty clause

This clause imposes penalties for delayed deliveries.

If the supplier fails to deliver the agreed bulk quantities of [goods/services] by the specified delivery date of [insert date], a penalty of [insert amount] per day will apply until the goods are delivered, up to a maximum of [insert cap].

Bulk supply with exclusivity clause

This clause restricts supply to the buyer only.

The supplier agrees to exclusively supply [goods/services] in bulk to the buyer for the duration of this agreement. The buyer agrees to purchase all required quantities of [goods/services] solely from the supplier.

Bulk supply with renewable term clause

This clause allows automatic renewal of the agreement.

This bulk supply agreement will automatically renew for successive [insert time period] terms unless either party provides written notice of termination at least [insert notice period] prior to the end of the current term.

Bulk supply with performance bond clause

This clause requires a financial guarantee for performance.

The supplier agrees to provide a performance bond of [insert amount] to guarantee the delivery of bulk quantities of [goods/services] as specified in this agreement. Failure to meet delivery obligations will result in the forfeiture of the bond.

Bulk supply with supply chain disruption clause

This clause addresses unforeseen disruptions in the supply chain.

In the event of supply chain disruptions affecting the bulk delivery of [goods/services], the supplier must notify the buyer within [insert notice period] and provide an alternative delivery plan or timeline. Any additional costs incurred will be shared as mutually agreed.

Bulk supply with demand flexibility clause

This clause accommodates fluctuating demand.

The supplier agrees to adjust bulk supply quantities of [goods/services] by up to [insert percentage] of the initial agreed amount upon the buyer’s request. Any adjustments must be communicated at least [insert notice period] in advance.

Bulk supply with inspection rights clause

This clause grants the buyer the right to inspect goods before delivery.

The buyer reserves the right to inspect the bulk quantities of [goods/services] at the supplier's facility prior to shipment. Any goods failing to meet agreed specifications will be replaced or corrected at the supplier’s expense.

Bulk supply with environmental compliance clause

This clause requires adherence to environmental standards.

The supplier warrants that all bulk quantities of [goods/services] supplied under this agreement will comply with applicable environmental laws and regulations. The buyer reserves the right to audit compliance upon reasonable notice.

Bulk supply with payment milestone clause

This clause ties payments to delivery milestones.

Payments for the bulk supply of [goods/services] will be made in installments upon the achievement of the following milestones: [list milestones]. Each payment is contingent upon the buyer's acceptance of the goods delivered.

Bulk supply with fixed-price term clause

This clause establishes a fixed price for a defined period.

The price for all bulk quantities of [goods/services] will remain fixed at [insert price] per unit for a period of [insert time period]. Any price adjustments after this term will require mutual written agreement.

Bulk supply with termination for non-performance clause

This clause allows termination if obligations aren’t met.

Either party may terminate this agreement if the supplier fails to deliver bulk quantities of [goods/services] as specified in this agreement after providing [insert notice period] written notice and an opportunity to cure.

Bulk supply with quality assurance clause

This clause ensures quality standards for bulk supply.

All bulk quantities of [goods/services] delivered must meet the quality standards set forth in [insert reference document or agreement]. The buyer reserves the right to reject non-conforming goods and request replacements at the supplier's expense.

Bulk supply with rolling forecast clause

This clause requires regular updates on supply needs.

The buyer agrees to provide the supplier with a rolling forecast of bulk quantity requirements for the next [insert time period]. The supplier will use this forecast to plan production and ensure timely delivery.

Bulk supply with preferred buyer status clause

This clause prioritizes the buyer in bulk supply.

The supplier agrees to prioritize the buyer for bulk supply of [goods/services] during periods of limited availability. The buyer will receive preferential allocation ahead of other customers.

Bulk supply with penalties for early termination clause

This clause imposes penalties for premature contract termination.

If either party terminates this agreement before the end of its term without cause, the terminating party will pay the other party a penalty of [insert amount] to compensate for losses incurred.

Bulk supply with credit terms clause

This clause defines payment terms for bulk purchases.

The supplier agrees to extend credit terms of [insert payment period] days for all bulk purchases. Payments not made within the specified period will incur interest at the rate of [insert percentage] per month.

Bulk supply with joint forecasting clause

This clause ensures collaborative supply planning.

Both parties agree to engage in joint forecasting for bulk quantities of [goods/services], meeting quarterly to review demand and supply capabilities. Forecasts will guide production and delivery schedules.

Bulk supply with minimum purchase guarantee clause

This clause requires the buyer to meet a minimum order threshold.

The buyer agrees to purchase a minimum of [insert quantity] units of [goods/services] per [insert time period]. Failure to meet this threshold will result in [insert penalty or adjustment].

Bulk supply with flexible delivery schedule clause

This clause allows modifications to delivery schedules.

The buyer may request adjustments to the delivery schedule for bulk quantities of [goods/services] with [insert notice period] notice. The supplier will accommodate such changes, subject to production and logistical constraints.

Bulk supply with intellectual property clause

This clause protects proprietary rights during supply.

Any intellectual property associated with the production or delivery of bulk quantities of [goods/services] remains the exclusive property of [insert party]. The other party agrees not to use or disclose such intellectual property without written consent.

Bulk supply with liability cap clause

This clause limits liability for damages related to bulk supply.

The supplier's liability for damages arising from the bulk supply of [goods/services] is capped at [insert amount] per incident and [insert amount] in aggregate. This limitation does not apply to claims of gross negligence or willful misconduct.

Bulk supply with volume discount clause

This clause incentivizes higher purchase volumes with discounts.

The supplier agrees to provide volume-based discounts for bulk purchases of [goods/services] as follows: [insert discount tiers]. Discounts will be applied to invoices upon meeting the specified thresholds.

Bulk supply with exclusivity clause

This clause grants exclusivity to the supplier for the buyer’s needs.

The buyer agrees to source all bulk quantities of [goods/services] exclusively from the supplier for the duration of this agreement. The supplier guarantees consistent supply to meet the buyer’s requirements.

Bulk supply with renegotiation trigger clause

This clause allows renegotiation if key conditions change.

Either party may request renegotiation of this agreement if [insert condition, e.g., raw material cost increases, regulatory changes] significantly impacts the bulk supply of [goods/services]. Renegotiation must occur within [insert time period] of notice.

Bulk supply with storage responsibility clause

This clause clarifies storage duties for bulk goods.

The supplier agrees to store bulk quantities of [goods/services] until delivery, ensuring proper conditions to maintain quality. Storage costs beyond [insert time period] will be charged to the buyer at [insert rate].

Bulk supply with risk allocation clause

This clause allocates risks during transportation of bulk goods.

Risk of loss or damage for bulk quantities of [goods/services] transfers to the buyer upon delivery to the designated location. The supplier retains risk until delivery is completed.

Bulk supply with inspection rights clause

This clause grants the buyer inspection rights before acceptance.

The buyer reserves the right to inspect all bulk quantities of [goods/services] upon delivery. Non-conforming goods will be rejected and must be replaced by the supplier within [insert time period] at no additional cost.

Bulk supply with termination for force majeure clause

This clause allows termination during prolonged force majeure events.

If a force majeure event prevents the supplier from delivering bulk quantities of [goods/services] for more than [insert time period], either party may terminate this agreement without penalty upon written notice.

Bulk supply with sustainability compliance clause

This clause ensures compliance with sustainability standards.

The supplier guarantees that all bulk quantities of [goods/services] delivered comply with the sustainability standards outlined in [insert reference document]. Failure to meet these standards constitutes a breach of this agreement.

Bulk supply with periodic review clause

This clause schedules regular reviews of the supply arrangement.

Both parties agree to review the bulk supply arrangement every [insert time period] to address performance, pricing, and any necessary adjustments. Changes will be documented in written amendments.

Bulk supply with confidentiality protection clause

This clause ensures confidentiality of supply terms.

The terms of this agreement, including pricing and bulk supply volumes, are confidential and must not be disclosed to third parties without prior written consent, except as required by law.

Bulk supply with performance incentives clause

This clause rewards consistent supply performance.

The supplier will receive a performance incentive of [insert amount] for delivering all bulk quantities of [goods/services] on schedule and meeting quality standards over [insert time period].

Bulk supply with dispute resolution clause

This clause outlines steps for resolving disputes.

Any disputes arising from the bulk supply of [goods/services] will be resolved through [insert resolution method, e.g., mediation, arbitration] in accordance with the rules of [insert governing body].

This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.