CIPS L3M3 Exam - Topic 2 Question 55 Discussion

Actual exam question for CIPS's L3M3 exam

Question #: 55
Topic #: 2

Under a XXXX contract, the buyer does commit to purchase a given quantity over a given period of time, but the precise number of orders and their quantities is unknown at the start of the period. What expression has been replaced by XXXX?

ACall-off

BFramework

COral

DTerm

Show Suggested Answer

Suggested Answer: A

The fact that the time period and the total quantity is known means it is a 'call-off' contract. The volumes of product are 'called off' from the contract as required by the buying organisation.

Make sure you understand the difference between a call-off contract and a framework arrangement.

Under a framework arrangement, there is no obligation on the part of the buyer to use the goods / services specified.

by Marjory at Sep 25, 2026, 07:31 PM

Limited Time Offer

25%

Off

Get Premium L3M3 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Skye

1 day ago

I feel like "Term" could be a possibility too, but I can't quite recall the specifics. It seems like it relates to the duration of the contract.

upvoted 0 times

...

Anglea

6 days ago

I'm not entirely sure, but "Call-off" rings a bell. I remember it being used in contexts where orders are made as needed.

upvoted 0 times

...

James

11 days ago

I think the answer might be "Framework" because it sounds familiar from our discussions about contracts that allow flexibility in orders.

upvoted 0 times

...