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Sole Distribution Rights Agreement Template for Singapore

A comprehensive legal agreement governed by Singapore law that establishes an exclusive distribution relationship between a principal/manufacturer and a distributor. The agreement grants sole rights to distribute specified products within a defined territory, outlining terms including supply conditions, minimum purchase requirements, pricing, intellectual property rights, and performance obligations. It incorporates Singapore's specific legal requirements, including compliance with the Competition Act and relevant commercial regulations.

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What is a Sole Distribution Rights Agreement?

The Sole Distribution Rights Agreement is essential for businesses seeking to establish exclusive distribution channels in specific territories under Singapore law. This agreement is commonly used when a principal wants to maintain control over their distribution network while leveraging a local distributor's expertise and resources. It defines the exclusive nature of the relationship, territorial limits, product range, and performance expectations. The agreement must comply with Singapore's legal framework, particularly regarding competition law, commercial regulations, and intellectual property protection.

What sections should be included in a Sole Distribution Rights Agreement?

1. Parties: Identification and details of the Principal and Distributor

2. Background: Context and purpose of the agreement

3. Definitions: Key terms used tHRoughout the agreement

4. Grant of Rights: Scope of distribution rights, territory, and exclusivity

5. Term and Termination: Duration of agreement and termination conditions

6. Obligations of Distributor: Distributor's responsibilities and performance requirements

7. Supply Terms: Ordering process, delivery, and payment terms

8. Intellectual Property: IP rights and usage permissions

What sections are optional to include in a Sole Distribution Rights Agreement?

1. Minimum Purchase Requirements: Specific volume commitments and sales targets that the distributor must meet

2. Marketing and Promotion: Marketing obligations, brand guidelines, and promotional requirements

3. Training and Support: Technical support and training provisions for complex products

4. Data Protection: Data handling and privacy requirements for personal data processing

What schedules should be included in a Sole Distribution Rights Agreement?

1. Schedule 1 - Products: List of products covered by the agreement

2. Schedule 2 - Territory: Detailed description of geographical coverage

3. Schedule 3 - Pricing and Payment Terms: Price lists and payment conditions

4. Schedule 4 - Performance Targets: Sales targets and performance metrics

5. Appendix A - Brand Guidelines: Brand usage and marketing guidelines

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Singapore

Publisher

Genie AI

Cost

Free to use

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