SALE AND PURCHASE AGREEMENT THIS AGREEMENT is made on ……………….. Between ……………… ……………….a .a pharm pharmaceu aceutic tical al company company incorp incorpora orated ted in Indone Indonesia sia and hain! hain! its its re!i re!ist ster ered ed addr addres esss ………… ……………… ………. ….." ." #l. #l. ………… ……………. …."" ………… ……………" …" Indo Indone nesi siaa $hereina%ter re%erred to as &Seller'( o% the one part" AN) ………………………….. a company incorporated and hain! its re!istered address at …………………" ………….." $hereina%ter re%erred to as &Buyer'( o% the other part. WHEREAS *
The Seller is the sole manu%acturer o% o % the +roducts descri,ed in Schedule A hereto as may %rom time to time ,e included ,y a!reement ,etween the parties $hereina%ter re%erred to as &+roducts'( and is law%ully authori-ed to sell and distri,ute appoint others to sell and distri,ute the +roducts. The Buyer wishes to sale and distri,ute the +roducts in the whole ietnam $hereina%ter re%erred to as &Territory'( and the +rincipal here,y a!rees to appoint the Buyer to sale and distri,ute the +roducts. There%ore There%ore Seller and Buyer here,y a!ree to enter into the Sale and +urchase +urchase A!reement A!reement with %ollowin! terms and conditions * ARTICLE 1 : OBJECT OF CONTRACT 1.1. Seller hereby hereby !!"#$%& B'yer & %he (#&%r#b'%"r #$ Terr#%"ry Terr#%"ry )"r Pr"('*% )r"+ %he (%e %h% %h#& C"$%r*% be*"+e& e))e*%#,e. L#&%& ") Pr"('*% $( %he !r#*e ") Pr"(' r"('*% *% -#ll -#ll be +'%' +'%'l llly re ree( e( % %he !r% !r%#* #*'l 'lr r %#+e %#+e by Pr" Pr"(' ('*% *% C"$)#r+%#"$.
/.0. Seller herewith !rants to Buyer a non1e2clusie non1e2clusie ri!ht and o,li!ation %or the Territ Territory ory to sale" mar3etin! and distri,ute the +roduct. /.4. Buyer shall not to sale" sale" distri,ute or supply the the +roducts" either directly or indirectly" indirectly" le!ally or i1le!ally outside the Territory. Territory. ARTICLE / : REGISTRATION
/./. Seller shall shall assist" to support" participat participate" e" %ully cooperate and to supply to the Buyer all the necessary documents %or re!istration o% the products to the Ministry o% Health o% ietnam and Buyer is responsi,le %or completin! procedures" applyin! %or import license %rom ietnam State 5unctional A!encies and re!isterin! %or circulatin! the products in ietnam ietnam mar3et under the 6aw o% ietnam ietnam on ,ehal% o% Seller.
/.0. Buyer should proide to Seller proo% o% re!istration document receipt %rom Ministry o% Health o% ietnam as proo% that Buyer proceed the re!istration. /.4. Seller shall support 78 9 o% totally costs to Buyer %or applyin! %or licenses" re!isterin! products" posta!e" product prescription in ietnam and will ,e paid ,y Seller to Buyer a%ter the %irst order place to Seller and counted %rom the %irst down payment o% such order. /.:. Buyer should !ie all o% re!istration document released ,y Ministry o% Health o% ietnam to Seller. /.7. I% one party terminated this A!reement ,e%ore certi%icate o% re!istration released ,y Ministry o% Health o% ietnam" that party shall compensate the cost raised durin! re!istration process to the other party. ARTICLE 0 : CONFIDENTIALIT
4./ Buyer ensure the secret o% all materials proided ,y Seller %or product re!istration and shall ,e only allowed to use these materials to re!isterin! only. In case that / $one( year a%ter receiin! %ull document %rom Seller Buyer has not yet %inished re!istration %or circulation o% +roducts" Buyer must return these materials to Seller. 4.0 The Buyer here,y underta3es that it treats all in%ormation disclosed ,y the Seller as strictly secret and con%idential and shall not at any time durin! the term" as well as %or a period o% 4 $three( years a%ter the termination o% this A!reement" to diul!e or allow to ,e diul!ed to any person other than the employee or serants or a!ents o% the Buyer any con%idential in%ormation relatin! to the +roducts. The Buyer shall return to the Seller all such con%idential in%ormation upon termination o% this A!reement. ARTICLE 2 : AD3ERTISING AND PROMOTION
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Buyer shall use its ,est e%%orts in the mar3etin! deelopment" promotion" create a demand o% sale o% the +roducts in the Territory and Seller shall proide ade;uate mar3etin! support to the Buyer %or promotin! sales o% +roducts" ,uildin! up distri,ution leels and Territory coera!e.
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Seller may credit to the Buyer=s account the amount o% the payment %or all approed promotional and adertisin! e2penses %or which the Seller has a!reed in adance to ,e responsi,le" and which the Buyer shall hae paid durin! the term o% this A!reement" su,>ect to receipt o% accepta,le eidence o% the payment o% such e2penses.
:.:.
Buyer shall promote the +roducts so as to 3eep all customers and potential customers in%ormed o% the application" ;uality and use o% the said +roducts.
:.7.
Buyer shall maintain re!ular contact with the customers and 3eep the Seller in%ormed and up to date with any in%ormation relatin! to the +roducts.
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Buyer shall not to issue or display or authori-e the issue or display o% any adertisements promotional materials relatin! to the +roducts within the Territory without the Seller=s prior written approal.
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Buyer shall ensure that promotional materials and the literature $i% any( printed ,y the Seller or the Buyer con%orm with applica,le adertisin! codes o% the Territory.
ARTICLE 4 : ORDER AND DELI3ER OF PRODUCTS
7./. Buyer is authori-ed to order each +roduct in the %irst transaction a%ter the re!istration certi%icate o% such +roduct issued %rom Ministry o% Health o% ietnam. 7.0. )eliery o% the +roducts shall ,e re%lected ,y the dates speci%ied in the sales con%irmation or per%ormance inoice. 7.4. ithout +re>udice to the %ore!oin! the Seller shall not ,e lia,le in any way %or any loss o% trade or pro%it occurrin! to the Buyer in the eent o% deliery o% the +roducts ,ein! %rustrated or delayed %or any reason ,eyond the control o% the Seller. 7.:. In case o% any de%ect o% +roduct" Seller shall ,e entitled to replace the respectie +roduct %ree o% char!e. I% the Seller is not prepared or not a,le to replace the respectie +roduct" Buyer shall ,e entitled to claim %or a reduction o% amount o% inoice or the cancellation o% the respectie contract o% sale with su,se;uent return o% +roduct and payment there%ore. 7.7. All claims o% Buyer o% dama!es shall ,e limited to the inoice alue o% the shipment which has actually caused the dama!e. All claims o% Buyer ,ased on de%ects o% +roduct shall ,ecome statute1,arred / $one( month %rom the date o% Bill o% 6adin!. ARTICLE 5 : PRICES6 COMMISION6 E7PENSES AND PAMENT
?./. The price at which the +roducts are inoiced are ,ased on ……………... price as speci%ied at the date o% the order re;uested ,y the Buyer. ?.0. The ;uoted price where applica,le would include the territory=s sales ta2 as re;uired ,y law. All costs incurred in the payment o% duty or ta2 shall ,e ,orne ,y the Buyer. ?.4. The prices o% +roducts can ,e aried ,y an increase or decrease o% alue su,>ect to the discretion o% the Seller. Such increased or decreased o% alue shall ,e discussed
and noti%ied ,y the Seller at least ? $si2( year ,e%ore the new price alue ta3es e%%ect. ?.:. Seller and Buyer may increase or decrease the prices noti%ied to the Buyer at any time i% such increase or decrease is caused ,y the Goernment le!islation" ta2ation chan!es or %luctuations in rates o% e2chan!e. ?.7. urrency unit shall ,e
usted. ?.?. ommissions or Mar3etin! %ees used locally %or mar3etin! and promotional actions must ,e trans%er in inte!rality to Buyer ,y Seller descri,ed in Schedule . ?.@. E2cept as proided elsewhere in this A!reement as the parties may otherwise e2pressly a!ree in writin! %rom time" Buyer is to ,ear the entire cost and e2pense o% the Buyer=s per%ormance o% this A!reement. In no eent shall Seller ,e lia,le %or any e2penses incurred ,y Buyer unless Seller has speci%ically a!reed" in writin!" to pay such e2penses. ARTICLE 8 : SALE6 MAR9ETING AND DISTRIBUTE PRODUCT B BUER
@./. Buyer shall sell the +roducts in the same condition as that in which it receies them and not to alter or remoe or tamper with them or any mar3in!s or name plates or indications o% the source o% the source o% ori!in on them or any pac3a!in! supplied ,y the Seller. @.0. Nothin! in this A!reement shall constitute or ,e deemed to constitute a partnership ,etween either o% the parties hereto and neither o% them shall hae any authority to ,ind the other in any way nor shall this A!reement constitute any party the a!ent o% the other party hereto. @.4.
The Pr"('*% %" be #+!"r%e( by D#&%r#b'%"r &h"'l( $"% e$%ere( lel "r #llel %" I$("$e&#.
ARTICLE : WARRANT AND LIMITATION OF LIABILIT
./. Seller shall ,e responsi,le %or proidin! +roducts to )istri,utor in accordance with the samples re!istered at Ministry o% Health o% ietnam. .0. Seller shall not ,e responsi,le %or ;uality deterioration as the result o% stoc3" preseration not con%ormin! with instructions on the product la,els. .4. The Seller warrants the +roducts are in accordance with its standard term and condition o% sale or as may ,e modi%ied ,y the Seller %rom time to time. The Buyer will ma3e no representation or warranties with respect to the +roduct e2cept as e2pressly authori-ed ,y the Seller. .:. The Buyer will assume %ull responsi,ility %or claims arisin! as a result o% unauthori-ed warranties or representations made ,y the Buyer and will de%end" indemni%y the Seller %rom any and all claims" demands" suits or lia,ility arisin! out o% any acts or omission o% Buyer" its employees" a!ents and representaties. .7. Each indiidual e2ecutin! this A!reement on ,ehal% o% a party hereto represents and warrants that he has ,een %ully empowered ,y such party to e2ecute this A!reement and that all necessary action to authori-e e2ecution o% this A!reement ,y him has ,een ta3en ,y such party. ARTICLE ; : PATENTS6 COPRIGHTS AND TRADEMAR9S.
F./. Seller here,y o,li!es to ensure compliance with all applica,le laws associated with patents" copyri!hts and trademar3 and to indemni%y Buyer a!ainst any dama!es in respect o% any alle!ed in%rin!ement. F.0. Buyer here,y ac3nowled!es the Seller ownership o% patents" copyri!hts and trademar3 o% the +roducts and shall use it within the terms o% the A!reement. F.4. Seller authori-es Buyer to use the Seller=s trademar3 on and in connection with the sale o% +roducts in the Territory. F.:. Buyer shall not alter" remoe or tamper with the trademar3s" pac3a!es or other means o% identi%ication o% the +roducts sae as may ,e allowed a%ter consultin! with the Seller. F.7. Buyer shall not to cause or permit anythin! which may dama!e or endan!er or pre>udice the Seller=s ri!ht to use the intellectual property and to consult with the Buyer in the eent that any o% the intellectual property is dama!ed or endan!ered or pre>udiced %or any reason whatsoeer. ARTICLE 1< : FORCE MAJEURE
/8./.
Neither party hereto shall ,e under any lia,ility to the other party in any way whatsoeer %or %ailure to per%orm any term herein due to any cause arisin! out o%
war" re,ellion" ciil commotion" stri3e" loc31outs and industrial disputes" %ire" e2plosion" earth;ua3e" Act o% God" %lood" drou!ht or the re;uisitionin! or other act ,y any !oernment department" council or other constituted ,ody. /8.0
I% either party is una,le to per%orm as a direct result o% the e%%ect o% any o% the %ore!oin! reasons" that party shall %orthwith !ie written notice to the other o% the ina,ility which sets out %ull detail o% the reason in ;uestion. The operation o% this A!reement shall ,e suspended durin! the period $and only durin! the period( in which the reason continues. 5orthwith upon the reason ceasin! to e2ist the party relyin! on it shall !ie written notice to the other o% this %act. I% the reason continues %or a period o% more than %ourteen $/:( days and su,stantially a%%ect the commercial intention o% this A!reement" the party not claimin! relie% under this clause shall hae the ri!ht to terminate this A!reement upon !iin! thirty $48( days written notice to the other party.
ARTICLE 11 : TERM AND TERMINATION 11.1. Th#& *"$%r*% #& ,l#( -#%h#$ 0 yer& )r"+ %he (%e ") &#$#$ %he *"$%r*% by b"%h !r%#e&. A)%er %h#& 0 yer&6 %he *"$%r*% &hll be re$e-e( by +'%'lly ree( by b"%h !r%y 0 +"$%h& !r#"r. 11./. E*h !r%y h,e %he r#h% %" %er+#$%e '$#l%erlly %he *"$%r*% be)"re %he ('r%#"$ &!e*#)#e( #$ b",e r%#*le 11.1 by #$)"r+#$ %he "%her !r%y #$ -r#%#$ -#%h#$ 5< (y& !r#"r %" %he (%e ") re='e&%#$ *"$%r*% %er+#$%#"$ .The !r%y re*e#,#$ re='e&% +'&% $&-er #$ -r#%#$ -#%h#$ 0< (y& )r"+ %he (%e ") re*e#,#$ %h% re='e&%. 11.0. The !r%y -h#*h %er+#$%e %h#& ree+e$% &hll *"+!e$&%e %he "%her !r%y USD /<.<<< >U$#%e( S%%e ("llr& %-e$%y %h"'&$(?. 11.2. All %er+& $( *"$(#%#"$& ") %h#& *"$%r*% h,e *"+!'l&"ry ,l#(#%y %" be #+!le+e$%e( by b"%h !r%#e&. Ne,er%hele&&6 %er+ ") *"$%r*% %er+#$%#"$ &hll $"% ))e*% !y+e$% by b"%h !r%#e& )%er %he *"$%r*% h,e be*"+e $'ll $( ,"#(.
//.7.This A!reement may ,e terminated %orthwith ,y notice in writin! on the occurrence o% any o% the %ollowin! eents* //.4./. By either party i% the other party materially ,reaches any o% the terms o% conditions o% this A!reement and has %ailed to recti%y such ,reach within 48 days o% receiin! written notice o% the same %rom the %irst partyD //.4.0. I% Buyer not to purchase any order within / $one( year %rom the date o% +roduct Re!istration num,er issued ,y Ministry o% Health o% emen. //.4.4. In the eent i%*
/
de%ault ,e made in payment o% any monies paya,le under the proisions o% this A!reementD or
0
I% a%ter / $one( year %rom the date o% si!nin! the contract" Buyer has not yet %inished re!istration %or circulation o% +roductsD or
4
I% a%ter / $one( year %rom the date o% certi%icate re!istration issued" Buyer did not order the +roductsD or
:
i% the other party ceases or threatens to cease to carry on its ,usinessD or
7
i% a ,an3ruptcy notice in respect o% either party is presented toD or
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i% a petition shall ,e presented or an order ,e made or a resolution ,e passed %or windin! up o% either party or one o% the party enters into li;uidation whether compulsorily or oluntarily $otherwise than %or the purpose o% !enuine amal!amation and reconstruction(D or
@
i% distress or e2ecution or other process o% a court o% competent >urisdiction ,e leied upon or issued or threatened to ,e leied or issued a!ainst any properties o% the Seller or the BuyerD or
i% the either party commit any act o% ,an3ruptcy or any act which" i% committed ,y an indiidual" would hae amounted to an act o% ,an3ruptcyD or
F
i% the mana!ement o% either party is displaced or the conduct o% the ,usiness o% that party is curtailed ,y any sei-ure" estin! or interention ,y or under the authority o% a !oernment or !oernmental ,odyD or
/8 i% there is any su,stantial chan!e in the mana!ement or control or shareholdin! or ownership $,ene%icial or otherwise( o% either party which would a%%ect directly or indirectly the ,usiness transaction ,etween the partiesD Then in such eent the either party may hae a ri!ht to terminate the other ,y !iin! thirty $48( days prior written notice. //.7.
11.1. All %he ("*'+e$%& #$*l'(#$ b'% $"% l#+#%e( $"%#*e&6 $"%#)#*%#"$&6 re='e&%6 (e+$(&6 *"$&e$%6 !!r",l&6 ree+e$%& "r "%her *"++'$#*%#"$& ree( $( &#$e( by b"%h !r%#e& +'&% be +(e #$ E$l#&h $( be h$(e( ",er %" *"rre&!"$(e$*e re*#!#e$% ") %-" !r%#e& "r %r$&)erre( by )@ >h,#$ *"$)#r+%#"$ ") re*e#,#$ )@ ,# !"&%? "r &e$% by re#&%ere( le%%er '&#$ %he ((re&&e& ") %he )"ll"-#$ re*e#,er&:
Seler
Buyer *
*
+T. Berno%arm +harmaceutical ompany #41#: Area omple3s Harmoni Buildin! #l. Suryopranoto #a3arta /8/48 Indonesia Recipient* Mr Harto3o sarwono +hone num,er* ?010/1?4/F:F 5a2 num,er * ?010/1?4/F: Email* mar3etin!,erno%arm.com NG<ET ANH J."6T). /80 + AN )
11./. I$ *&e %h% %here re *h$e& #$ ((re&& $( re*#!#e$%6 %he !r%#e& +'&% #$)"r+ #$ -r#%#$. ARTICLE 10 :ASSIGNMENT
The Buyer shall not ,e entitled to assi!n any o% its ri!hts or duties under this A!reement without the prior written consent o% the Seller. The +rincipal shall ,e entitled to assi!n its ri!hts and interests hereunder to such person as it shall deem %it and shall !ie notice o% such assi!nment to the Buyer. ARTICLE 12 : SE3ERABILIT
I% any o% the proisions o% this A!reement ,ecomes inalid" ille!al or unen%orcea,le in any respect under any Indonesian or ietnam law the alidity" le!ality and en%orcea,ility o% the remainin! proisions shall not in any way ,e a%%ected or impaired. ARTICLE 14 : GO3ERNING LAW AND ARBITRATION 1/.1. Th#& Aree+e$% &hll be ",er$e( by $( *"$&%r'e( **"r(#$ %" %he l-& ") %he I$("$e&#
1/./. All (#&!'%e& r#&#$ "'% ") "r #$ *"$$e*%#"$ -#%h %h#& Aree+e$% "r $y *"$%r*% ") &le e$%ere( #$%" %here '$(er &hll be &e%%le( +#*bly by +'%'l $e"%#%#"$&. I) $ +#*ble &e%%le+e$% #& $"% !"&&#ble6 ll (#&!'%e& r#&#$ "'% ") "r #$ *"$$e*%#"$ -#%h %h#& Aree+e$% "r $y *"$%r*% ") &le e$%ere( #$%" %here '$(er &hll be )#$lly &e%%le( #$ **"r($*e -#%h %he Arb#%r%#"$ R'le& ") %he I$("$e&#$ N%#"$l B"r( ") Arb#%r%#"$ >BANI?. The !l*e ") rb#%r%#"$ #& Jr%6 I$("$e&#. The rb#%rl %r#b'$l *"$&#&%& ") 0 >%hree? rb#%r%"r&. The l$'e ") %he rb#%rl !r"*ee(#$& #& E$l#&h. ARTICLE 15 :GENERAL
/?./. All appendices" schedules and anne2u re to this A!reement and its recitals shall %orm part o% this A!reement. 15./.
A$y &'!!le+e$%&6 +e$(+e$%& %here%" +'&% be +(e #$ -r#%#$ ree( $( &#$e( by b"%h !r%#e&.
15.0.
A$y !r"ble+& r#&#$ ('r#$ %he !er)"r+$*e ('r%#"$ ") %h#& *"$%r*% &hll be (#&*'&&e( $( &e%%le( by %he %-" !r%#e& "$ %he b&#& ") )#r *""!er%#"$ )"r %he +'%'l be$e)#%& $( +(e #$ -r#%#$ $( &#$e( by b"%h !r%#e&.
This contract is made in 0 $two( copies in En!lish and hae the same le!al alidity. The undersi!ned parties commit to implement strictly the a,oe mentioned a!reements. IN WITNESS WHEREOF the parties hereto hae si!ned this A!reement.
