An agreement with an independent distributor who buys
goods from the merchant or manufacturer and re-sells on his
own account
About this document
For merchants and distributors alike, the arrangements you make are one of the few areas comparatively free of regulation. You can therefore make just the deal you want. This document helps you to do this by providing many ideas. It is also very flexible. You simply choose the best for you.
A poorly worded distribution agreement provides enormous scope for misunderstanding and financial loss. This is particularly so for the merchant, who may have to wait a considerable time for payment. The use of an agreement like this one will prompt careful thought and discussion and enable you to create an advantageous arrangement.
Application
and features
Suitable for sale of goods or easily adaptable for services
Appropriate for distributor in New Zealand or abroad
Very flexible – can be easily adapted to suit individual requirements of either or both parties
Comprehensive provisions provide ideas for you to mould to suit you
Real law in plain English
Contents
Merchant’s conditions of supply
Restrictions on merchant sales outside the agreement
Minimum sale requirements
Restrictions on distributor selling competitive products
Distributor’s marketing obligations
Sales and other reports and information exchange
Terms and method of payment
Passing of risk and title
Termination and the aftermath
Mutual preservation of confidentiality
Protection of merchant’s intellectual property used by the distributor
