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    1. Legal documents
    2. ⌃
    3. Business and contracts
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    5. Business operations
    6. ...
    7. ⌃
    8. Sell products or services

    Get the terms of your consignment sale in writing: Consignment Agreement

    The terms in your document will update based on the information you provide.

    Make document

    Get the terms of your consignment sale in writing: Consignment Agreement

    Make document
    Other Names: Consignment Contract Consignment Form Reseller Agreement Resale Agreement
    Consignment Agreement document preview

    What is a Consignment Agreement?

    A Consignment Agreement is a legal contract that allows someone to sell something on your behalf. Consignment Agreements grant a person (known as the "consignee") the right to sell certain merchandise owned by the "consignor."

    A Consignment Agreement is a useful way to establish how the sale of merchandise will work. It is also crucial when it comes to protecting both parties involved in the transaction, ensuring that the arrangement is clear and fair, and that both consignee and consignor rights and interests are clearly documented.

    Get started with the Rocket Lawyer Consignment Agreement template now!

    When to use a Consignment Agreement:

    • You're in the business of selling items for others.
    • You'd like someone to sell something on your behalf.

    Have questions about your Consignment Agreement?

    Whether you're preparing your Consignment Agreement, reviewing one someone sent you, or just want to understand it better, here's how to get help.

    • Understand what it says or review it. Use our AI legal assistant to ask questions about your Consignment Agreement, understand what it says, and spot anything that may need a closer look.
    • Ask an attorney a question. Connect with an attorney for legal information, with a written answer within one business day or a live consultation.
    • Get advice on what to do. For privileged, confidential advice about your specific circumstances and next steps, book a Legal Advice Session with an attorney.

    Sample Consignment Agreement

    The terms in your document will update based on the information you provide

    This document has been customized over 165.7K times
    Legally binding and enforceable
    Consult an Attorney to ask questions or review your document
    Sign this document online for free with RocketSign®

     

     

     

    This (this "Agreement") is made effective as of between , of , ,  , of , ,  , and , of , ,  , of , ,  .

     

    The parties agree as follows:

     

    . RIGHT TO SELL.  owns (""). In accordance with this Agreement, grants  an exclusive a non-exclusive right to sell the under the terms of this Agreement. This exclusive right right to sell only applies to the following described territory:   agrees to deliver to , on consignment, the . agrees to devote best efforts to the sale of the . All sales prices and terms of sale shall be determined by . . mutual consent of the parties.

     

    . PROCEEDS OF SALES.  will pay to a portion of the sales proceeds which shall be calculated as follows: percent of the proceeds from the sale of the .  The amount determined in the previous sentence shall be paid to  in installment(s) on or before the day following the installment period in which the proceeds were obtained.  The amount determined in the previous sentence shall be paid to in accordance with the attached schedule. With each net proceeds payment, will submit to a written report that sets forth the calculation of the amount of the net proceeds payment and the extent of current inventory.

     

    . RECORDS.  shall keep accurate records regarding the quantities of the that are sold. shall have the right to inspect such records from time to time after providing reasonable notice of such intent to .

     

    . TITLE TO MERCHANDISE. Consigned merchandise shall remain the property of until sold.

     

    . LOSS AND INSURANCE.  shall be responsible for all shortages, loss, or damage, while the merchandise is under the control of . shall maintain insurance in adequate amounts to pay for replacement of the merchandise in the event of such shortages, loss, or damage.

     

    . PAYROLL TAXES.  shall be exclusively liable for, and shall indemnify  against such liability for, all employee payroll taxes and insurance arising out of wages payable to persons employed by in connection with the performance of this Agreement.

     

    . DEFAULTS. If fails to abide by the obligations of this Agreement, including the obligation to remit the consignment payment to when due, shall have the option to cancel this Agreement by providing days' written notice to . shall have the option of preventing the termination of this Agreement by taking corrective action that cures the default, if such corrective action is taken prior to the end of the time period stated in the previous sentence, and if there are no other defaults during such time period.

     

    . DISPUTE RESOLUTION. The parties will attempt to resolve any dispute arising out of or relating to this Agreement through friendly negotiations amongst the parties. If the matter is not resolved by negotiation, the parties will resolve the dispute using the below Alternative Dispute Resolution (ADR) procedure.

     

    Any controversies or disputes arising out of or relating to this Agreement will be submitted to mediation in accordance with any statutory rules of mediation. If mediation does not successfully resolve the dispute, the parties may proceed to seek an alternative form of resolution in accordance with any other rights and remedies afforded to them by law.Any controversies or disputes arising out of or relating to this Agreement will be resolved by binding arbitration under the rules of the American Arbitration Association. The arbitrator's award will be final, and judgment may be entered upon it by any court having proper jurisdiction.Any controversies or disputes arising out of or relating to this Agreement will be submitted to mediation in accordance with any statutory rules of mediation. If mediation is not successful in resolving the entire dispute or is unavailable, any outstanding issues will be submitted to binding arbitration under the rules of the American Arbitration Association. The arbitrator's award will be final, and judgment may be entered upon it by any court having proper jurisdiction.

     

    . WARRANTIES. Neither party makes any warranties with respect to the use, sale or other transfer of the by the other party or by any third party. In no event will be liable for direct, indirect, special, incidental, or consequential damages, that are in any way related to the .

     

    . TRANSFER OF RIGHTS. This Agreement shall be binding on any successors of the parties. Neither party shall have the right to assign its interests in this Agreement unless the prior written consent of the other party is obtained.

     

     

    . ENTIRE AGREEMENT. This Agreement contains the entire agreement of the parties with respect to the subject matter of this Agreement and there are no other promises or conditions in any other agreement, whether oral or written. This Agreement supersedes any prior written or oral agreements between the parties with respect to the subject matter of this agreement.

     

    . AMENDMENT. This Agreement may be modified or amended, if the amendment is made in writing and is signed by both parties.

     

    . SEVERABILITY. If any provision of this Agreement shall be held to be invalid or unenforceable for any reason, the remaining provisions shall continue to be valid and enforceable. If a court finds that any provision of this Agreement is invalid or unenforceable, but that by limiting such provision it would become valid or enforceable, then such provision shall be deemed to be written, construed, and enforced as so limited.

     

    . WAIVER OF CONTRACTUAL RIGHT. The failure of either party to enforce any provision of this Agreement shall not be construed as a waiver or limitation of that party's right to subsequently enforce and compel strict compliance with every provision of this Agreement.

     

    . APPLICABLE LAW. This Agreement shall be governed by the laws of the State of Commonwealth of .

     

    . SIGNATORIES. This Agreement shall be signed by  on behalf of by , and by on behalf of by , . This Agreement is effective as of the date first written above.

     

    .  

     

     

    Consignor:

     

     

     

    By:   Date:  

     

     

    Consignee:

     

     

     

    By:   Date:  

     

     

    Checklist

     

     

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    ___Sign this document. This document needs to be signed by:
     
     
     
     
     
     

    It is not necessary that the signatures be witnessed and notarized. The Agreement becomes effective as of the date specified in the document.

     

    ___Everyone gets a copy. Anyone named in the document should receive a copy of the signed document.

     

    FAQs about Consignment Agreements

    Collapse all
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    Expand all
    • How do I write a Consignment Agreement?

      Making a Consignment Agreement online is simple using the Rocket Lawyer Consignment Agreement template and document builder. You will answer a few questions, and a customized document will be created just for you. You may want to review these questions before you start your document:

      • Will sales under this agreement be restricted to a specific geographical area?
      • Who will determine the sales prices and terms?
      • What percentage of the sales proceeds will the consignor receive?
      • Will the consignee be required to keep sales records and allow the consignor to inspect them?

      Don't have time to finish your document now? No problem. You can save it and complete it later.

    • What should be included in a Consignment Contract?

      A Consignment Agreement, otherwise known as a Consignment Contract or Consignment Form, will typically cover the following details:

      • Information about the parties.
      • Merchandise to be consigned.
      • Pricing and payment.
      • Insurance.
      • Termination.

      Talk to a Legal Pro if your situation is unusual or more complicated than a typical consignment arrangement.

    • What are consignment payment terms?

      Consignment payment terms define how and when payments will be made to the consignor. The payment terms can include how payments will be made, the frequency of payments, and what day of each payment period will payments be due.

    • What is the typical consignment split?

      The answer to this question depends on factors such as the store's overhead, the value of the item(s), clientele, etc. On a high level, the typical consignment split allocates 60% of the sales proceeds to the consignor and 40% to the consignee.

    Consignment Agreement checklist

    Complete your free Consignment Agreement with our Make it Legal™ checklist

    • Checked Icon

      Make your Consignment Agreement

      Customize a Consignment Agreement by answering a few simple questions. We'll help you along the way and build a document that fits your needs. Plus, you can always save and continue later after you start your document.

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      Review your document

      Look over your customized Consignment Agreement to make sure it's accurate and includes all the details you need. If you have questions or concerns, you can get help from our AI legal assistant or qualified attorneys in a few different ways.

      • Not sure what something means? Get instant answers from our AI legal assistant.
      • Have a question for an attorney? Connect with an attorney for legal information, with a written answer or a live consultation.
      • Want personalized advice? Book a Legal Advice Session for privileged, confidential advice from an attorney before you sign or send your document.

    • Checked Icon

      Sign your document

      This document needs to be signed by:

      • The owner of the property being sold.
      • The business representative of the owner.
      • The seller.
      • The business representative of the seller.

      This document can be signed online. It becomes effective as of the date specified in the document. It is not necessary that the signatures be witnessed and notarized.

      Securely sign online and invite others to sign with RocketSign®

    • Checked Icon

      Distribute or securely store copies of the document

      Keep a copy of the signed document in a safe place. Make sure everyone who signed or is named in the document also has a copy. Your document will be securely stored in your Rocket Lawyer account, so you can access and share it anytime, from any device.

      If you signed a paper copy, you can upload it to Rocket Lawyer to store and share it securely.

    Consignment Agreement document preview

    Make, review, or enforce a legally binding document

    Making one? Get step-by-step help personalizing your Consignment Agreement

    Making one? Get step-by-step help personalizing your Consignment Agreement

    Start now

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    Already have one? Get AI insights, attorney answers, or legal advice

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    Ready to share or sign? Share and sign it online, then store it securely

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      About This Page

      We believe legal information should be both reliable and easy to understand—so you don't need a law degree to feel informed.

      Editorial policy & processes:
      At Rocket Lawyer, we follow a rigorous editorial policy to ensure every article is helpful, clear, and as accurate and up-to-date as possible. This page was created, edited and reviewed by trained editorial staff who specialize in translating complex legal topics into plain language:

      • Information on this page was written and reviewed by Rocket Lawyer editorial staff
      • This page was last reviewed or updated on Jan 22, 2025
      • Our Consignment Agreement template was created and reviewed by Legal Pros
         

      Please note:
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