What is the importance of export agreements


Export agreements are documents which highlight the terms and conditions which govern an export agreement between two companies or enterprises which are based in two different countries. This follows a number of legal restrictions as well as many clauses which safeguard the interests of both parties involved in the export agreement. Thus, an export agreement is extremely important, and some of the ways in which it becomes a crucial determinant of success in an export transaction are as follows:

  • Export agreements ensure that a certain order and discipline is maintained in the transactions between enterprises which cross national borders. If there was no such agreement governing the transaction, the chances of malpractice would increase manifold.
  • Export agreements are also extremely important as they provide a legal validity to the entire exercise. The terms and conditions contained in such a document are usually framed by the mutual consent of both parties within the framework of the judiciary. Hence it is much more systematic and provides a great deal of transparency to the transaction.
  • Export agreements also provide documental evidence in case of any malpractice or misunderstanding or breach of contract. They are also records which document the existence of the export agreement and thus, it is vital that they are carefully written.
  • Export agreements also provide important information regarding the contract itself like the professional details of the two companies, the nature of the item being exported, the commissions and expenses incurred and so on.
  • Export agreements also provide an example of the manner in which legal documents must be framed. Thus they can be used in later references as well, and provide a framework which can be followed later.

Thus, export documents are extremely important, and hence they must only be framed by professionals who are well versed in the legal and technical terminology of export agreements.

Category: Sample Agreements

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