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Specifying the product and its delivery dates. Specifying whether payment is commission-based or whether there is another type of fee arrangement. Describing the relationship between the parties, such as the distributor being an independent contractor and not an employee of the supplier.
A music distribution deal is a contract between a record label and a music distributor. The distributor will then distribute the music to various retailers, such as iTunes, Spotify, and Amazon who will sell the music to consumers.
Similar to a distributor, a reseller sells your products to customers. However, the main difference between a distributor and reseller is the lack of warehousing. Resellers won't purchase or hold your inventory.
What are the key elements of a distribution agreement? There are a number of key issues that need to be included in a distribution agreement including exclusivity, term, the product(s), price, delivery, and the relevant territory.
Below is a basic distribution agreement checklist to help you get started: Names and addresses of both parties. Sale terms and conditions. Contract effective dates. Marketing and intellectual property rights. Defects and returns provisions. Severance terms. Returned goods credits and costs. Exclusivity from competing products.
A distribution agreement is one under which a supplier or manufacturer of goods agrees that an independent third party will market and sell the goods. The distributor buys the goods on their own account and trades under their own name.