A reseller agreement usually refers to an agreement between a person who supplies goods (often referred to as a wholesaler) and another party who sells the goods to a third party or the general public (the reseller). Under a reseller contract, the reseller undertakes to sell the products on behalf of the wholesaler. Finally, an international software reseller agreement should include language that requires the reseller to comply with U.S. laws governing international trade, such as export controls, sanctions, non-treatment with restricted parties, and avoidance of bribery of foreign officials. Even if the reseller is independent of the publisher, a violation of these laws by the reseller can cause significant problems for the publisher. Some essential characteristics of a Reseller are: (i) What type of relationship will reseller have with the End Customer (e.g.B. Will reseller enter into a negotiation with the End Customer or will it only comply with the conditions dictated by the Licensor)? A purchase-sale agreement offers a clear way to deal with a range of unforeseen events, including death, divorce, or business disagreements. However, an agency contract may be more advantageous for you if you want someone to make decisions on your behalf. You will also be protected because you know that the agent must act in your best interest.
If you have any questions about agency and reseller contracts, please contact LegalVision`s contract lawyers on 1300 544 755 or fill out the form on this page. A customer recently asked me for some sort of reseller agreement to hire resellers to distribute the customer`s software product. “You know, just take something from the shelf that`s going to work,” was the usual refrain. However, when I spoke to the client about the type of agreement they were looking for, it became clear that the client was still making a number of business decisions that would greatly impact the design of the right “shape” or, more likely, the formulation of the right terms. Given this discussion, I thought it might be helpful to convey a few high-level questions that I found useful for having the conversation. For the sake of simplicity, I simply refer to my customer in the above conversation as a “licensor” and the end user of the product as an “end customer”: Whichever label you choose, the law speaks of an “agent” or “distributor”. Ultimately, it is our job to determine which one is intentional, as there is a big difference between the two that affects the type of agreement we draft (for example, agents and merchants have different obligations to the end user under the Consumer Protection Act). Reseller contracts are often formulated in such a way that business relationships are not exclusive. This means that the wholesaler can enter into several agreements with different resellers. By having a conversation, you can avoid unintentional delays and extra time to create the agreement and verify that all the conditions are in line with the customer`s business goals.