Procedure

Procedure of a Transaction

At Cuprumex, every transaction follows a transparent and internationally recognized procedure designed to ensure full compliance, reliability, and protection for both Buyer and Seller.

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ANNEX 1 – PROCEDURE OF TRANSACTION

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1. Execution of Contract
   Buyer and Seller shall duly sign the Sales and Purchase Agreement (SPA) in PDF format. Each Party shall receive one identical copy in electronic form. The SPA shall become legally binding upon signature by both Parties.

2. Issuance of Proforma Invoice
   The Seller issues a Proforma Invoice to the Buyer indicating product description, quantity, unit price, total contract value, delivery terms (Incoterms), and payment instrument.

3. Buyer’s Bank Instrument
   Within the agreed period (usually within 5–7 banking days) after signing the SPA, the Buyer’s bank shall issue and transmit to the Seller’s bank an acceptable payment instrument — such as an Irrevocable Documentary Letter of Credit (DLC), Standby Letter of Credit (SBLC), or Bank Guarantee (BG) — in accordance with contract terms.
   All instruments shall be issued by a top-rated international bank and must be confirmed and verifiable.

4. Seller’s Performance Bond (if applicable)
   Upon receipt and verification of the Buyer’s financial instrument, the Seller may issue a Performance Bond (usually 2% of the total contract value) in favor of the Buyer’s bank, as stipulated in the SPA.

5. Scheduling of Shipment
   Upon activation of the payment instrument, the Seller arranges loading and shipment in accordance with the agreed schedule and Incoterms (CIF, FOB, etc.). The Buyer is informed of the shipping schedule, vessel name, and expected time of arrival (ETA)

6. Inspection of Goods
   The quantity and quality of goods shall be inspected by SGS, Bureau Veritas, or another internationally recognized inspection company at the loading port (and optionally at the discharge port).
   The Inspection Certificate issued by the inspection company shall form part of the required shipping documents.

7. Shipping Documents
   The Seller shall provide the Buyer and Buyer’s bank with a full set of original shipping documents, including but not limited to:

   • Commercial Invoice

   • Packing List

   • Bill of Lading (3/3 originals)

   • Certificate of Origin

   • Inspection Certificate (SGS/BV)

   • Weight and Quality Certificate

   • Insurance Certificate (if applicable)

8. Payment
   The payment shall be effected automatically by the Buyer’s bank against presentation of the full set of compliant shipping documents, as per the terms of the DLC/SBLC.
   The payment shall be made in U.S. Dollars (USD) to the Seller’s designated bank account.

9. Delivery and Transfer of Title
   The title and ownership of goods shall transfer from Seller to Buyer upon full payment and delivery of goods as defined by the Incoterms used in the contract.

10. Documentation and Communication
    All official communications and documentation exchange between Buyer, Seller, and their respective banks shall be conducted via SWIFT, email, or other verifiable channels agreed in the contract.

11. Arbitration and Governing Law
    Any disputes arising from this transaction procedure shall be settled by arbitration as defined in the SPA (e.g., ICC Paris, London Court of Arbitration, or Swiss Chamber of Commerce).
    The governing law shall be that specified in the main body of the SPA.