To become a Manufacturer or Distributor you must complete a Manufacturer and Distributor License Application (DSD10). The. Commonwealth could attempt to make a claim that a distributor or sales representative located in Virginia is an agent of the out-of-state manufacturer.Article 7. Franchises. Distributor is authorized to enter into written agreements with its dealers relating to the purchase, resale and service of. A license and distribution agreement is a legal, written contract between two parties who wish to share the rights to a brand, patent, or trademark.