Agency and distribution
Using commercial agents or distributors to develop markets and increase sales is a tried and tested method of business expansion, but there are pitfalls for the unwary such as the right of commercial agents to an indemnity or compensation payment on termination of the agency.
Properly considered and prepared agency and distribution agreements are essential.
We can advise on identifying, selecting and managing your local and overseas representatives for the distribution and sale of your products and/or services including:
- The differences between an 'agent' and a ‘distributor’
- Types of agency
- Exclusive, non-exclusive and selective distribution and the advantages and disadvantages of each
- The application and effect of the Commercial Agents (Council Directive) Regulations 1993 including indemnity or compensation payments on termination
- The structure and content of agency distribution agreements
- The preparation and negotiation of agency distribution agreements
- Key contractual terms - exclusivity, remuneration, commission and discount structures, product liability, limitation of liability, insurance and termination
- Competition law considerations with respect to distribution agreements - exclusivity and minimum purchasing commitments
- Governing law, jurisdiction and dispute resolution.
For further information, please contact us on 08450 990045 and ask for Mark O'Shea or email Mark.
