Requirements Contract
/ˈrɪkwaɪərmənts ˈkɑntrækt/
Definitions
- (n.) A contract in which a buyer agrees to purchase exclusively from the seller all of the goods the buyer requires during a specified period.
The parties entered into a requirements contract for the supply of raw materials for one year.
Forms
- requirements contract
- requirements contracts
Related terms
See also
Commentary
Requirements contracts bind the buyer to purchase exclusively from the seller but do not fix quantity; quantity depends on the buyer's actual requirements.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.