This is a standard agreement between a company that manufactures products and a supplier which is an original equipment manufacturer. The company contracts the latter to design and manufacture products for it. This template includes practical guidance, drafting notes, and alternate and optional clauses. OEM relationships are common in many types of manufacturing and industries. The relationship involves a manufacturer (the OEM buyer) acquiring component parts or assemblies from another manufacturer (the OEM seller). Such arrangements may be formed, among other reasons, to secure specialized components from a known manufacturer that will add to the completed product's perceived value, or to acquire parts or components that are beyond the OEM buyer's ability to produce. The terms of the agreement may be modified depending on the parties' requirements. For additional guidance, see Original Equipment Manufacturer (OEM) Agreements.