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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.
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.
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.
Types of distribution agreement Exclusive Distribution Agreements. Sole Distribution Agreements. Non-Exclusive Distribution Agreements. What is a distribution agreement?
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.
In a distributor agreement, exclusivity is always an essential aspect. It means that the distributor has the exclusive rights to sell the products of a supplier in a particular area. And during the term of the agreement, the supplier cannot sell the goods in the sales territory.
The key terms of a distribution agreement can vary on multiple factors including the: product to be distributed; appointment of the distributor; and. obligations that each party have relating to the marketing, sale and distribution of the product.
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.