What Is A Non-Exclusive Distribution Agreement

Another advantage of working in non-exclusive distribution opportunities is that you can participate in the business development of a market with other non-exclusive resellers or distributors, which can significantly reduce overall start-up and marketing costs. Please note: That the duration of the contract (for completion in Appendix A) and any notice of termination from the supplier must take into account the nature of the distribution partnership. A copy of this non-exclusive distribution agreement is included in the following package: All distribution agreements potentially infringe EU and UK competition law. Those appointing traders should carefully consider the nature of the agreements they wish to conclude and possibly ensure that they fall within an appropriate de minimis exception or other specific exception. We have created this model for use in connection with non-exclusive distribution agreements. Under a non-exclusive distribution agreement, the supplier is free to designate other distributors in the territory concerned and may supply the products covered by the distribution agreement in that territory. In addition, the distributor may be prohibited from actively delivering the products in territories reserved for the supplier and its exclusive distributors. Supplier Obligations – What obligations does the manufacturer have to its distributors and, most importantly, do these obligations meet your needs and expectations as an exclusive or non-exclusive distributor? If you would like to know the best distributor for your products in a particular country or the most important clauses you need to include in each of the above distribution agreements, please contact us at info@pivotalscientific.com. Duration – When does the exclusive or non-exclusive distribution partnership begin? When does your contract end? 2. This Agreement establishes a non-exclusive right on behalf of the Distributor to market the Products in the territory determined by the parties.

This is a relatively benign agreement with limited recourse by the dealer against the manufacturer. Termination – What obligations do you have if you or the supplier decide to terminate your exclusive or non-exclusive distribution partnership? How much termination should be granted? Dealer Obligations – What are the manufacturer`s expectations of your exclusive or non-exclusive distribution relationship? One. The manufacturer may terminate at any time by written notice to the distributor at least ninety (90) days before the effective date of such notice if it decides to terminate all outstanding distribution agreements for the manufacturer`s products and to propose a new or amended form of distribution agreement. Unlike an exclusive distribution possibility, a non-exclusive distribution possibility allows a manufacturer to give several distributors the right to resell their products or services in a particular territory or market. If you enter a non-exclusive distribution opportunity, you can expect competition from other vendors of the manufacturer`s products/services. While non-exclusive distributors don`t have the “convenience” of exclusive distribution relationships, they can offer competition that can be a great motivator for the right person! Limitations and Exclusions of Liability – Are there any reservations and limitations of liability for exclusive distributors and non-exclusive distributors by the supplier? Exclusive distribution possibilities allow a manufacturer to designate a single distributor of its choice who has the sole distribution rights to resell its products or services in a predetermined market or distribution territory […].