Rotation Contract

An email rotation contract is a special form of long-term contract in international trade, typically used for commodities or continuous supply transactions. Its characteristics are: the buyer and seller first confirm the basic terms (such as quality, quantity, price mechanism, delivery period, etc.) through email exchanges, and agree that during the contract's validity period, the specific quantity, time, price, and other details of each delivery can be executed through subsequent email rotations (i.e., confirmation on a transaction-by-transaction basis). Usage scenarios are mostly seen in industries with frequent price fluctuations and continuous demand, such as raw materials, agricultural products, and mineral products. Precautions: 1) The binding force of the basic terms must be clearly defined to avoid rotation emails being mistaken for independent contracts; 2) The price mechanism should be clear (e.g., referencing an index plus or minus a premium) to prevent disputes; 3) Each rotation confirmation should be regarded as a supplement to the main contract, not a new offer. Differences from other terms: It is different from a one-time sales contract and also different from a framework agreement (a framework agreement focuses more on intent, while an email rotation contract is legally binding and more flexible in operation); it is similar to an 'evergreen contract' but emphasizes email as the tool for rotation confirmation.