Checklist of Key Points for Legal Review of Sales Contracts (2026 Edition)

Sales contracts are the most common type of contract in business operations. A sales contract that withstands legal scrutiny requires focused review in the following key areas.

The subject matter clause should clearly specify the name, specifications, model, quantity, and quality standards of the goods. Unclear subject matter is a common source of disputes.

Delivery clause: should specify the delivery method, location, time, and risk transfer point. It is recommended to clearly define when the risk of damage or loss transfers.

Liability for Breach of Contract: The liability for common breaches such as late delivery, late payment, and substandard quality should be clearly stipulated. The agreed liquidated damages should not be excessively high; in judicial practice, the portion exceeding 30% of the actual losses may not be supported.