The Distribution Agreement Template with Collateral in Houston is a legally binding document designed to facilitate the relationship between a manufacturer and a distributor. It provides a framework for granting exclusive distribution rights, detailing obligations regarding marketing efforts, and specifying terms for price adjustments and commission structures. Key features include the rights to reproduce trademarks, requirements for insurance, and provisions for product delivery and acceptance. Notably, the agreement establishes a purchase money security interest to secure payment obligations of the distributor. Filling and editing instructions emphasize clarity and specificity, suggesting that users should carefully identify parties involved and ensure accuracy in addressing the territory and product details. This form is particularly useful for attorneys and paralegals who assist in drafting and negotiating distribution agreements, as well as for partners and owners who seek to expand their business operations. It serves as a foundational tool for ensuring legal compliance and protecting the interests of both manufacturers and distributors, while remaining accessible to individuals with limited legal experience.