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All you need to know about Authorized Dealer Agreement Template

What is an Authorized Dealer Agreement Template?

Definition and key provisions of an Authorized Dealer Agreement

1. 1.
   Scope of Authorization: Details the specific products or services the dealer is authorized to sell.
2. 2.
   Territory: Defines the geographic area in which the dealer can operate.
3. 3.
   Duration: Specifies the effective period of the agreement and terms for renewal or termination.
4. 4.
   Pricing and payment terms: Outlines the pricing structure, payment schedules, and conditions for discounts or returns.
5. 5.
   Obligations: Details the duties and responsibilities of both the manufacturer and the dealer.

When is an Authorized Dealer Agreement used?

Main sections and clauses of an Authorized Dealer Agreement

1. 1.
   Introduction: Overview of the parties involved and the purpose of the agreement.
2. 2.
   Grant of Authority: Clear statement of the dealer's rights to sell and promote specified products.
3. 3.
   Terms and Conditions: Detailed explanation of the contractual obligations and information on compliance.
4. 4.
   Intellectual Property Rights: Specifications regarding the use of trademarks and branding.
5. 5.
   Termination Clause: Conditions under which the agreement can be terminated by either party.

What needs to be included in an Authorized Dealer Agreement?

1. 1.
   Parties' identification: Names and addresses of the manufacturer and dealer.
2. 2.
   Description of products or services covered by the agreement.
3. 3.
   Conditions for sales, pricing, and payment methods.
4. 4.
   Delivery and logistics details if applicable.
5. 5.
   A clear outline of termination rights and responsibilities.
6. 6.
   Dispute resolution methods to address potential conflicts.
7. 7.
   Signatures of all involved parties to formalize the contract.