Exclusive Distributorship Agreement Sample

2. The manufacturer should think long and hard about whether or almost the same result can be achieved with a non-exclusive agreement. Non-exclusive agreements give the distributor less influence over the manufacturer in situations where the distributor is not doing well. These agreements are now more common than exclusive agreements. If the manufacturer opts for an exclusive agreement, it must be particularly careful in considering the financial and marketing power and commitment of the distributor. Simply put, the back door or starting position is much weaker, and distributors who want to enter into exclusive deals and don`t easily withdraw from demand are usually willing to fight hard to keep their exclusive deals, no matter how bad they are. (a) liquidation period. At the expiry or expiry of this agreement, the distributor has the right to sell the rest of its products and spare parts on a non-exclusive basis, provided such an inventory is available; However, provided that the distributor complies with all the conditions set out in this Agreement, including those that limit the distributor`s activities. The distributor`s rights under this section 10, point a), are expressly subject to the supplier`s ability to repurchase the distributor`s inventory of products and spare parts in accordance with Section 10, point b. 3.

This agreement gives the distributor an exclusive right to market the products in the territory defined by the parties. This means that other traders are not in the territory. Make sure that an exclusive agreement is what both parties have negotiated and can tolerate, especially the manufacturer. (a) nomination. Subject to the terms of this Agreement, including, but not limited to the General Terms of Sale, the supplier herebly names the distributor as the exclusive distributor of products within the territory, and the distributor hereshes with this agreement. The distributor undertakes not to market products through negotiators without the supplier`s prior written consent. Each supplier and distributor acknowledges that a violation of Article 3 or Article 7 would cause direct and non-re-republisted harm for which monetary damage would be insufficient. Accordingly, the aggrieved party is entitled to an omission for breach by the other party of its obligations under those sections, without evidence of actual harm and without the posting of obligations or other security. This remedy is not considered an exclusive remedy for this violation, but in addition to any other legal or equity remedies. The waiving or non-exercise by either party of a right under this agreement is not considered to be a waiver of another right or remedy to which the party may be entitled. The distributor will maintain adequate inventories of the manufacturer`s products at all times and will aggressively and effectively encourage the sale of the manufacturer`s products through all distribution channels, in accordance with the manufacturer`s marketing policies and programs.

The distributor will do its best to sell manufacturing products to aggressive, serious and financially responsible distributors, providing satisfactory service to consumers throughout the distributor`s primary marketing sector. The distributor is entitled to enter into written agreements with its distributors regarding the purchase, resale and service of the manufacturer`s products on forms approved for this purpose by the manufacturer. However, the risk of withdrawal by traders is the only risk that the trader takes. Under no circumstances can the distributor demand reimbursement of unpaid invoices by a merchant or distributor. The order from the distributor`s supplier to Section 1 of this agreement is an exclusive date for the distribution of products in the territory.