Distribution Agreement - Exclusive - Long Form

Bahman Eslamboly

Form reviewed by Bahman Eslamboly, Attorney at FindLegalForms

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This Distribution Agreement is between a corporation who supplies or manufactures products and a distributor who agrees to distribute the products on an exclusive basis. This agreement sets forth the details of the arrangement including the exclusive rights of distributor, territory in which the distributor can market and sell the products and the price and payment terms for the products. It is important that this type of business agreement be set out in writing. A written Distribution Agreement (Exclusive) will be invaluable in the event there are disagreements between the supplier/manufacturer and the distributor.

This Distribution Agreement (Exclusive - Long Form) includes the following provisions:
  • Parties: The names and business addresses of the corporation (supplier/manufacturer) and the distributor;
  • Appointment of Distributor: Sets out that corporation gives the distributor the exclusive rights to market and distribute products in a specific territory;
  • License: Sets forth that distributor has the rights to use the trademarks associated with the products as long as this agreement is in effect;
  • Products: Sets out a brief description of the products which distributor agrees to sell and market;
  • Territory: Sets out the specific territory (i.e., city, state or district) in which distributor can sell the products;
  • Price and Payment Terms: Sets out that the price will be the list price at time of order and payment is due within ninety days;
  • Security Interest: Sets out that corporation will retain a security interest in the products until distributor has paid for the products;
  • Minimum Purchases: Sets out the minimum number of products which distributor may purchase;
  • Exclusivity: Sets out that distributor shall not sell or distribute a competitor’s products;
  • Warranty: Sets out the supplier/manufacturer’s warranty as to the products sold to distributor;
  • Term and Termination: Sets out the term of this agreement and procedures for termination;
  • Products and Trademarks: Exhibit A sets out a detailed list and description of the products purchased and the trademarks which distributor may use under this agreement.

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This attorney-prepared packet contains:
  1. General Instructions
  2. Distribution Agreement (Exclusive Long Form)
State Law Compliance: This form complies with the laws of your state

Distribution Agreement - Exclusive - Long Form

Product Details

Product Distribution Agreement - Exclusive - Long Form
Country United States
Pages 16
Dimensions Designed for Letter Size (8.5" x 11")
Printer compatibility Designed to print on all ink-jet and laser printers
Editable Yes (.doc, .wpd and .rtf)
Format Microsoft Word
Adobe PDF
WordPerfect
Rich Text Format
Platform Windows Compatible
Mac Compatible
Linux Compatible
Availability In Stock. Instant Download
Usage Unlimited number of prints
Category Sales Representative & Distribution Agreements
Product number #28984
Download time Less than 1 minute (approx.)
Document Access Via secret online address
Email with download links
Email with attachment upon request
Refund Policy 60 days, no-questions asked, 100% money back guarantee

Frequently Asked Questions

A Distribution Agreement is a legal document that outlines the terms under which a distributor is authorized to sell and market products from a supplier or manufacturer. It includes details such as territory, pricing, and exclusivity.

Exclusivity ensures that the distributor has the sole rights to sell the supplier's products in a specified territory, preventing competition from other distributors and protecting the distributor's investment.

If the distributor fails to meet the minimum purchase requirements outlined in the agreement, the supplier may have the right to terminate the agreement or renegotiate the terms.

Yes, the terms of the Distribution Agreement can be modified if both parties agree to the changes in writing. It is important to document any amendments to maintain clarity and legal standing.

Termination of the Distribution Agreement can lead to the loss of exclusive rights to sell the products, and the distributor may also be required to cease using the supplier's trademarks and return any unsold inventory.

The agreement includes provisions that allow the distributor to use the supplier's trademarks while selling the products, ensuring that brand integrity is maintained and unauthorized use is prevented.

Yes, it is advisable to seek legal counsel when drafting a Distribution Agreement to ensure that all legal requirements are met and that the interests of both parties are adequately protected.

The territory section should clearly define the geographical area in which the distributor has the exclusive rights to sell the products, which can include specific cities, states, or regions.

Is This Form Right For You?

Use This Form If:

  • Individuals who are starting a new distribution business may require this agreement to formalize their exclusive rights to sell specific products within a designated territory. This ensures that they have legal backing to operate without competition from other distributors in the same area.
  • Situations requiring a clear understanding of the terms of sale and distribution can benefit from this agreement. By outlining payment terms and minimum purchase requirements, both parties can avoid misunderstandings that could lead to disputes.
  • For those entering into a partnership with a supplier, having a written distribution agreement is crucial. It protects the distributor's investment by ensuring they have exclusive rights to market and sell the supplier's products, thus preventing unauthorized sales by competitors.
  • Businesses looking to expand their market presence may need this agreement to secure exclusive distribution rights. This allows them to establish a foothold in new territories without the risk of competing distributors undermining their efforts.
  • Companies that wish to protect their brand and trademarks while working with distributors should utilize this agreement. It ensures that the distributor is authorized to use the trademarks associated with the products, maintaining brand integrity.

Do Not Use If:

  • – This form is not appropriate when the distributor does not require exclusivity in their sales efforts. In such cases, a non-exclusive distribution agreement may be more suitable to allow multiple distributors to sell the same products.
  • – If the supplier is not ready to commit to a long-term relationship with a distributor, this agreement may not be ideal. Short-term arrangements may be better served with a simpler contract that does not impose exclusivity.
  • – In situations where the products being distributed are subject to strict regulatory requirements, a specialized agreement that addresses compliance with those regulations should be used instead of this general distribution agreement.
  • – When the parties involved are not in agreement on key terms such as pricing or territory, it is premature to use this form. Negotiations should be completed before formalizing the agreement.
  • – If the distributor is not familiar with the products or lacks the necessary experience in the market, this agreement may not be suitable. Proper training and understanding of the product line should precede any exclusive distribution arrangement.

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