A vendor managed inventory agreement is a written document which is made between a vendor and a vendee wherein the vendor is the one who manages the inventory. Such agreements consist of terms and conditions which are legal by nature and enforceable by law. All the terms and conditions agreed between both the parties are also mentioned in the agreement.
Sample vendor managed inventory agreement:
This agreement has been made effective as on 2nd August 2011
This agreement has been made by and between Mr. Will White who is herein referred to as the VENDOR and Mr. Mathew Aniston who is herein referred to as the VENDEE.
The details of the VENDOR are given as follows:
Address: 2-p, first floor, Tim building, London
COMPANY name: White clothing
The vendor is a manufacturer of cotton clothes and suiting material.
The details of vendee are given as follows:
Address: 34-R, second floor, G road, London
The vendee runs a showroom of suiting and shirting material in London by the name of Aniston materials.
Duration of agreement: 12 months
Termination of agreement: 2nd August 2012
Total cost of products: $15000
The following are the terms and conditions of the agreement:
The vendor must take care of managing the inventory for the entire duration of agreement with full approval of the vendee.
The vendee can make changes with the permission of vendor in the inventory
The vendor must deliver good quality products after quality check.
The vendee must place order 15 days in advance of requirement of items.