Orange Purchase Contract [Form]
EX-10.2 3 v318545_ex10-2.htm EXHIBIT 10.2
Orange Purchase Contract
[Form]
| Party A: | Xingguo General Red Orange Preservation Co., Ltd. |
| Party B: | [Supplier Name] |
To further develop orange industry in southern Jiangxi Province and to better serve fruit farmers with mutual benefits as a goal, Party A and Party B, after friendly consultation, have entered into the following agreement regarding the purchasing of oranges in the 2011 fruit season to be adhered to by both parties.
| I. | Type of fruit to be purchased: southern Jiangxi “Newhall” orange produced in 2011. |
| II. | Quantity to be purchased: ____kilograms (purchase of ____kilograms to be completed from November 1, 2011 to February 29, 2012). If the picking of fruit need to be moved forward or postponed under special circumstances, Party A and Party B will determine the time through consultation. |
| III. | Quality Requirements: |
| (1) | Each orange must have solid shape, even stem and smooth surface; neither of them shall have canker spots, black spots, rotten area (including bruises) or be ill-formed (excluding high-end fruit). |
| (2) | Those with serious wind spots, black spots, fertilizer spots, inner cracks, sun-burn marks, red spider marks and scale worms shall be considered below the quality standard. |
| IV. | Fruit-Picking Requirements: |
| (1) | Fruit-picking is not allowed on rainy days, fog days and in the morning before the dews on the fruit trees have dried. |
| (2) | Fruit-picking can only be resumed three days after a rainy day. |
| (3) | Fruit-picking be done according to the purchase time arranged by Party A. |
| V. | Term of the Contract: October __, 2011 to February 29, 2012. |
| VI. | Specification of the Purchase: between 6.5 and 9.5 centimeters. |
| VII. | Unit Purchase Price: ¥2.60 per kilogram; Party B shall be responsible for all the expenses incurred during the course of fruit picking, selection and transportation (including transportation from fruit farm to Xingguo’s preservation storage warehouse); unit price may be adjusted up and down based on the actual quality of the fruit farm acknowledged by both parties. |
| VIII. | Deposit Payment: Party B will collect a deposit at ¥0.20 per kilogram from Party A based on the Orange Order Contract entered into with fruit farmers. |
| IX. | Orange Price Settlement: within 15 days after Party B has delivered fruit from each fruit farmer to Party A’s warehouse and after Party A has accepted such delivery, Party A must transfer by wire the payment in full into Party B’s bank account. |
| Account Holder: | | |
| Account Number: | | |
| Bank Name: | | |
If Party A fails to make payment on time, Party A must pay interest at the monthly loan rate of 1%.
| (1) | After Party B delivers the fruit to Party A’s location, the fruit will be weighed by the representatives designated by Party A and Party B and the result will be recorded as confirmation of quantity. |
| (2) | After the quantity of the delivery from Party B is confirmed by Party A, Party A’s inspector will sample about 10% of each delivery for inspection. The quality pass rate of the fruit must be above 97%. |
| (3) | After the fruit is inspected and accepted by Party A based on the quality standard specified by both Party A and Party B herein, and after the accepted fruit is weighed, an invoice in quadruplets (with three copies to Party A and one to Party B) will be issued. The quantity shall be based on that accepted by Party A. |
| (4) | If the fruit of a certain delivery fails to reach the quality pass rate, Party A shall have the right to deduct 1% of the purchase price at 1% point lower. |
| XI. | Rights and Obligations of Both Parties |
| (1) | From the date of execution of the contract and during the term of its effectiveness, and before Party A start picking in the fruit farm under the contract between Party B and fruit farmers, neither Party B nor fruit farmers shall start picking fruit in advance; no fruit shall be sold to any third party during the fruit-picking period. If Party B violates this provision, Party B shall pay a penalty in the amount of 3 times of the order deposit and Party A will deduct the amount of penalty from the purchase price of Party B’s fruit. |
| (2) | Party A will provide ______ plastic crates for Party B to use in circulation. If any one of them is lost, Party B must pay compensation at ¥50 each. |
| (3) | Party B must dispatch one representative to Party A’s company location for resolution of the relevant matters; Party A will designate one representative as the counter party to represent the company for resolution of such matters. |
| (4) | During the time when Party B is negotiating and entering into contracts with fruit farmers, Party A shall have the right to dispatch one or more representatives to accompany Party B for investigation and learning about relevant matters regarding fruit farms and farmers and to do proper records; however, Party A’s representatives shall not willfully interfere in Party B’s negotiation with Party B; if there is any issue, Party A’s representatives must communicate directly with Party B’s representative. |
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| (5) | From the date of execution of the contract and during the term of its effectiveness, Party A shall not refuse to accept the fruit farms which are under the contract between Party B and the fruit farmer and for which Party A has paid purchase deposit; if Party A refuses to accept such farms, Party A shall pay a penalty in the amount of 3 times of the order deposit to Party B as compensation. |
| (6) | Upon the execution of this contract, Party A must pay Party B the orange purchase order deposit in installments based on the progress of contract signing between Party B and fruit farmers. |
| (7) | Upon expiration of the contract, Party A may give appropriate award based at its discretion. |
| XII. | Supplemental Provision: The oranges delivered by Party B to Party A must be packaged at the standard of 45 kilograms per crate. |
Other matters not covered herein may be specified through consultation between the parties hereto.
| XIII. | This contract is in duplicates, with one to Party A and one to Party B. This contract becomes effective upon execution by both parties and will be automatically terminated after the completion of fruit-picking. |
| Party A: | Xingguo General Red Orange Preservation Co., Ltd. |
Representative:
Designated Contact Person:
Contact Number:
Party B:
Representative:
Designated Contact Person:
Contact Number:
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