Key Provisions to Include in Your Distribution Agreement Donna H. Hartman Beverage Alcohol / Corporate Attorney.

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Presentation transcript:

Key Provisions to Include in Your Distribution Agreement Donna H. Hartman Beverage Alcohol / Corporate Attorney

Why Are Distribution Agreements Necessary? To Protect Your Brand!

Creating The Distribution Relationship Identify Distributor Schedule Meeting Negotiate Deal Terms Execute Distribution Agreement

1.Products Current Products Brand(s) Sizes, etc. Future Products Line Extensions New Products Distributor’s Right of First Refusal

2.Territory Define Area Where Distributor May Sell Where Other Distributors May Sell Exclusivity Supplier’s Retention Rights

3.Pricing and Payment Terms Pricing To Distributor Frequency Of Price Changes How / When Payments Are Made

4. Roles and Responsibilities Marketing Plans And Support Calling On Accounts Inventory Levels Reporting

5.Term Length Of Agreement Expiration Automatic Renewal

6.Termination Without Cause For Cause Performance Breach Financial Change In Control Loss Of License

7.Intellectual Property Specify Intellectual Property Trademarks Copyrights Patents Identify Scope Of Use License Type Duration

8.Events Upon Expiration or Termination Pending Orders Inventory Repurchase Marketing And Advertising Materials

9.Franchise State Laws Creation Of Franchise Restrictions On Termination Good Cause Time To Cure Liquidated Damages

10. Dispute Resolution Mediation Arbitration Litigation

Thank You!

Donna H. Hartman, Esq. OlenderFeldman LLP 422 Morris Avenue1180 Avenue of the Americas Summit, NJ 07901New York, NY

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