Anybody purchasing goods and services on an organization’s behalf should have sufficient knowledge of contract law to know what the pitfalls might be so that they can recognize them and seek appropriate expert advice from the lawyers in a timely manner.

Hence, legal issues in Procurement is an essential subject to consider while training employees.

The legal competence includes: How to implement a legally binding contract once the awarding decision from the RFP process has been taken. Use of legal terms and conditions applicable to procurement. How to manage legal issues. What are the statutory rights of a procurement professional? How to terminate a contract. How to apply the 2010 Incoterms.

Legal eLearning Courses

Following are the eLearning courses for Legal –

Introduction to Legal Aspects in Procurement

Importance to understand contract law.
Need to seek legal advice.
Power of Attorney.
What is a contract?

Basic Principles of a contract

What is a contract?
Difference between ‘invitation to treat’, ‘counter offer’ and a ‘contract’.
Is an oral contract valid?
Which contracts needs to be written by law?
What is battle of forms?
How to avoid?
Framework agreements & E-contracts.

Important Clauses Limit Company Exposure

Recognize and deal with impactful clauses, often proposed by sellers: Exclusion clause, automatic index clause, silent extension of contract, delivery clause / Incoterms.
Exit clause: How to opt out easily of a contract, threat of an exit clause on performance of supplier.

Termination of a contract

Ways to terminate a contract in case of poor supplier performance: By frustration, by mutual agreement, by breach of contract.
Remedial clauses (what is it/when to use): Liquidated damages clause, penalty clause, and equitable damages clause.

Statutory Rights of a Buyer

What are your rights if some terms in contract are missing or are badly specified?
Late delivery.
Missing payment terms – supplier sent faulty invoice.
Supplier delivers same specs but different brand.
Supplier delivers defective goods, incomplete delivery, too many goods.
Title of ownership.
Unfair contract terms.
Remedies (rights of a buyer in case of breach of condition or warranty).

Resolving Disputes

Why avoiding legal proceedings.
Importance of exit clauses.
ADR Alternate Dispute Resolution methods: Mediation, Conciliation, Arbitration.

Contract Terms

Discussion of main clauses to negotiate in a contract: Liabilities, Warranties, IP, Place of law… Contract termination.

Contract templates – NDA – Letter of Intent

Why can’t we use 1 Master contract but do we need a service, goods and software contract?
What is an NDA and when to use?
What is LOI, what are pitfalls, which wording should be used/ avoided, when to use.

Incoterms 2010

2010 Incoterms

Contract Terms

Discussion of main clauses to negotiate in a contract.
Contract termination.


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