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A distributor agreement, also known as a distribution agreement, is a contract between channel partners that stipulates the responsibilities of both parties.
Products: The agreement should specify what products, product lines, or brands are included under the agreement. The agreement should also address whether and to what extent any new brands developed or acquired by the supplier would be included, or specifically, excluded from the agreement.
Parts of a Distribution AgreementNames 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.More items...
What Constitutes the Dealership Agreements?Purpose of the agreement.Tenure of the Agreement.The obligation of the parties, which may include.The procedure of supply and return of goods.Promotion and training.Invoices and the mode of payment.Any restrictions upon the parties.Termination of the dealership.More items...
Distribution agreements define the terms and conditions under which a distributor may sell products provided by a supplier. Such an agreement may be for a limited term, and be further restricted by territory and distribution channel.
A distributorship agreement is a document that creates a relationship of distributorship between a manufacturer and a distributor. The agreement confers on the distributor the right to supply the manufacturer's goods within a region or regions.
An agency distribution agreement creates a fiduciary relationship between the agent and the manufacturer, allowing the agent to create legal relationships between the manufacturer and its customers.
An example of a distributor is a person who sells Tupperware home products. An example of a distributor is the part in a gas lawnmower that controls the flow of electrical currents to spark plugs. One that markets or sells merchandise, especially a wholesaler.
An international distribution agreement is essentially a contract that creates a framework for a business relationship between global parties. To ensure effective and efficient transactions, an international distribution agreement should be comprehensive.
Most U.S. courts interpreting the CISG say, "no." These courts have held that the CISG does not apply to distribution agreements because they merely "create a framework for the future sale of goods".