Manufacturing Agreement

A Manufacturing Agreement sets out the terms and conditions on which a manufacturer will produce goods for a purchaser.

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Last updated January 22, 2025

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Suitable for Australia

Manufacturing Agreement

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What is a manufacturing agreement?

A manufacturing agreement is a contract that sets out the terms under which a manufacturer produces goods for a purchaser. It defines each party’s rights and responsibilities to help avoid misunderstandings or disputes.
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When should you use a manufacturing agreement?

Use a manufacturing agreement when you want a manufacturer to produce goods to your specifications and need to clearly define expectations, responsibilities, and legal protections for both parties.
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What should be in a manufacturing agreement?

A manufacturing agreement should include product specifications, quality standards, pricing, payment terms, delivery schedules, warranties, confidentiality, and dispute resolution processes.
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Frequently asked questions

Who is this document best suited for?

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What key protections does this agreement offer purchasers?

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Are there any risks for purchasers using this agreement?

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How does the agreement address intellectual property?

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What are the main steps before signing this agreement?

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Does this agreement cover warranty and liability issues?

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Can this agreement be used Australia-wide?

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View Sample Manufacturing Agreement

Manufacturing Agreement
risk level indicator at Medium level

The Legal Risk Score of a Manufacturing Agreement Template is Medium

Our legal team have marked this document as medium risk considering:

  • There are no obligations to manufacture and deliver until purchase orders are made.
  • Intellectual property rights are heavily protected in favor of the Purchaser, potentially limiting the Manufacturer's use of the goods beyond the scope of the agreement.
  • The Manufacturer has the right to refuse, cancel, or delay any shipment under certain conditions, which could lead to delays or complications in the supply chain for the Purchaser.

Users familiar with such agreements will recognize that while the document provides a structured approach to manufacturing and supply, it requires careful management of obligations and rights to avoid potential operational and financial risks.

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