A digital distribution deal grants the distributor the right to distribute digital copies of the music. This includes streaming, downloads, and other internet-based methods for accessing music. A physical distribution deal, on the other hand, covers physical mediums such as CDs, vinyl, or cassettes.
The Distributor Agreement should clearly set forth the duties, responsibilities and expectations of each of the parties. The Distributor Agreement should also set forth provisions related to limitations and protections that each party can understand.
Differences between agency and distribution An agent is appointed to negotiate or conclude contracts on the supplier's behalf. A distributor effectively becomes the supplier and contracts are made directly between the distributor and the customer.
A distribution agreement, also known as a distributor agreement, is a contract between a supplying company with products to sell and another company that markets and sells the products. The distributor agrees to buy products from the supplier company and sell them to clients within certain geographical areas.
Distribution agreements often include terms about termination conditions, allowing either party to exit the contract under specified circumstances. These contracts can also address intellectual property rights, ensuring that distributors understand how to handle branding and proprietary information.