Distribution Agreement

An agreement appointing a distributor to buy your products and resell them, in its own name and for its own profit, in a defined territory or to defined customers. It covers the type of appointment, sales restrictions, marketing duties, purchase targets, pricing, trade marks, quality and termination. A distributor buys the goods and takes the resale risk; if your intermediary will only find customers for you, use this pack’s Agency Agreement instead.

• Appointing a wholesaler, retailer or overseas partner to sell your products in a region or country
• Granting a distributor exclusivity in return for minimum purchase commitments
• Formalising an existing informal reselling arrangement

• Read the competition law guidance at the start of the document before you choose the type of appointment and any sales restrictions
• Choose exclusive, sole or non-exclusive appointment in clause 2
• Complete the Schedules: Products, Territory and Customer Groups, Prices and Discounts, Minimum Purchase Targets and Trade Marks
• Choose the term and termination notice periods in clause 15, and the stock buy-back option in clause 16