How To Sign Overseas Agency Contract For Domestic Products

Whether in the form of agency or distribution, a written contract is required.

When signing a written contract, we should pay attention to the following main problems: the names of both parties should be full names rather than abbreviations.

Our party or the other party is a member of a group company, such as a subsidiary company or a branch company.

Clear paction mode.

Whether it is agent or distribution.

Is it an exclusive agent or distributor or agent or distributor in other ways?

Whether foreign companies are allowed to represent or distribute products from other parties.

Designated area.

According to the specific circumstances of the paction and the intention of our party and the ability of the other party to expand the market, the contract shall clearly stipulate the territory of the foreign company's agency or distribution.

So as not to cause our products in different markets, because of different sellers and price competition.

The scope and amount or amount of products agreed.

That is, the specific products of agency or distribution by foreign companies, and the quantity or amount of products that should be represented or distributed within a definite period.

Remuneration, payment and settlement.

According to the mode of paction is agent or distribution, a clear calculation of the remuneration.

It is agreed that the two sides should pay the remuneration, and even the settlement and payment of the goods under the mode of distribution.

The obligation of foreign companies to promote their products in the local market.

Such as advertising, exhibitions, market information provision, and the cost bearing problems arising from these marketing promotion.

Termination of contract.

It should be agreed on which circumstances the contract will terminate automatically and which cases are to terminate the contract in advance.

This is very important for protecting our interests and controlling the initiative of pactions.

Liability for breach of contract.

Due to the different legal provisions of different countries, for breach of contract liability, it is better to advance the penalty for breach of contract and the calculation method of damages, so as to avoid the two parties having difficulty in negotiating the settlement of liquidated damages or the amount of damages.

Applicable law.

In international trade, it is necessary to pre contract the law applicable to the contract in the contract, and it is no exception in the agency or distribution business.

The way of dispute resolution.

This directly determines the difficulty and way of dispute resolution in the future, and also involves the implementation of dispute resolution plans and decisions.

Since arbitration is generally accepted in international trade and is easy and convenient to implement in various countries, arbitration is recommended.

At the same time, the arbitration organization and the place of arbitration should be stipulated.