Basic Reseller Agreement

A basic reseller agreement is a legal document that outlines the formal relationship between a reseller and a manufacturer or supplier. Essentially, it sets out the terms and conditions under which the reseller will sell the products or services of the supplier.

If you are considering becoming a reseller, or if you are a manufacturer or supplier looking to establish a reseller program, it is important to have a basic reseller agreement in place. Here are some key components that should be included in the agreement:

1. Scope of the Agreement – The agreement should clearly define the products or services that the reseller is authorized to sell, as well as any geographic or other limitations on the reseller`s sales activities. This will help prevent misunderstandings about what is included in the agreement.

2. Pricing and Payment – The agreement should specify the pricing that the reseller will pay for the products or services, as well as any discounts or other incentives that may be offered. It should also outline the payment terms and conditions, such as when payments are due and any penalties for late payments.

3. Term and Termination – The agreement should state the length of the agreement, as well as the conditions under which either party may terminate the agreement before the end of the term. This can include breaches of the agreement or other specific events that would trigger termination.

4. Intellectual Property Rights – The agreement should address any intellectual property rights associated with the products or services being sold by the reseller, including any trademarks, patents, copyrights, or trade secrets. It should specify how the reseller may use these rights and any restrictions that apply.

5. Confidentiality – The agreement should include provisions for maintaining the confidentiality of any proprietary information or trade secrets shared between the parties. This protects both the manufacturer or supplier and the reseller.

6. Liability – The agreement should address the liability of both parties in the event of any disputes or legal actions arising from the reseller`s sales activities. This can include limitations on liability or indemnification provisions.

By including these key components, a basic reseller agreement can help establish a clear and mutually beneficial relationship between the manufacturer or supplier and the reseller. It can also help prevent disputes and misunderstandings that can arise when such relationships are not clearly defined.