Agreement Between Manufacturer And Distributor

The starting point of international distribution agreements will usually be the detail of the specific products and the specific area covered by the contract. Whether the distribution rights are exclusive or not, it appears that the achievement of the performance targets, i.e. the actual turnover over the commitment period between the parties, is essential to verify the distributor`s performance. The provision of accepted (but creative) legal mechanisms enabling, on the one hand, the distributor to properly construct and operate the relevant market (e.g. B an additional period within which exclusivity is not subject to a minimum) and, on the other hand, to best protect the manufacturer/supplier in the event of a partial or total loss of the market due to the distributor`s lack of activity on that market (e.g. An international distribution agreement is essentially a contract that creates a framework for a business relationship between the global parties. In order to ensure efficient and effective transactions, an international distribution agreement should be comprehensive. A contract between the manufacturer and the distributor is called a dealer contract. There are many factors that are taken into account in creating the ideal distribution arrangement.