Sample Agreement For Exclusive Distributorship In Contra Costa

State:
Multi-State
County:
Contra Costa
Control #:
US-0012BG
Format:
Word; 
Rich Text
Instant download

Description

A distributor is an entity that buys noncompeting products or product lines, warehouses them, and resells them to retailers or direct to the end users or customers. Most distributors provide strong manpower and cash support to the supplier or manufacturer's promotional efforts. They usually also provide a range of services (such as product information, estimates, technical support, after-sales services, credit) to their customers.

A manufacturer is an entity that makes a good through a process involving raw materials, components, or assemblies, usually on a large scale with different operations divided among different workers. Commonly used interchangeably with producer.
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FAQ

A Standard Clause providing a distributor with the exclusive right to resell products purchased from a manufacturer, producer, or other supplier within a specified geographic territory during the term of the underlying 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.

Differences between agency and distribution An agent is appointed to negotiate or conclude contracts on the supplier's behalf. A distributor effectively becomes the supplier and contracts are made directly between the distributor and the customer.

Examples of companies that use exclusive distribution include Apple for its high-priced and luxury products, as well as companies like Lamborghini, BMW, Rolex, and Mercedes. These companies appoint only a few distributors to cover a specific region, maintaining exclusivity in their distribution agreements.

The Company represents and warrants that no other person or entity has any rights to sell and promote the Company's products or services, including those products or services listed in Attachment A (the “Products”) hereto, within the Exclusive Territory in derogation of the rights granted to the Exclusive Distributor ...

Isn't that illegal? A: Exclusive distribution arrangements like this usually are permitted. Although the retailer is prevented from selling competing flat-panel display monitors, this may be the type of product that requires a certain level of knowledge and service to sell.

As discussed in the Fact Sheets on Dealings in the Supply Chain, exclusive contracts between manufacturers and suppliers, or between manufacturers and dealers, are generally lawful because they improve competition among the brands of different manufacturers (interbrand competition).

Thus, the question of whether a distributorship contract is governed by the UCC will depend on the exact nuances of the contract. To determine whether the UCC applies, “courts generally examine the transaction to determine whether the sale of goods predominates.” Princess Cruises v. GE, 143 F. 3d 828, 833 (4th Cir.

Although some claims under Sherman Act, Section 1 are per se illegal under the antitrust laws, exclusive dealing is not. Instead, courts analyze these claims under the rule of reason. That means that the court won't allow any shortcuts.

An exclusive distribution clause prevents the supplier from forming other distribution contracts in a given market or territory. This gives the distributor the exclusive right to sell the products in that region. Exclusivity might be provided contingent on the distributor's performance.

More info

This distributor agreement template lays out the terms for paying commission on the reselling or distribution on a service or product. Guarantee exclusive rights to a specific distributor.Use our free template to create the contract, use it, and store it here on Contractbook. The following is a list of some documents that may be recorded if they meet all requirements, and a description or definition of each document. This Agreement, including its referenced exhibits, contains the complete and exclusive understanding of the parties with respect to the subject matter hereof. CCWD and Consultant agree that Consultant shall provide. Exhibit B – Not Used. Contractor agrees to provide to the California Department of Health Care Services (DHCS) the services described herein. The cost to County of completing Contractor's performance will be deducted from any sum due Contractor under this Contract, without prejudice to County's rights. Each claimant is required to fill out a separate Claim Affirmation Form and Claim for Money.

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Sample Agreement For Exclusive Distributorship In Contra Costa