Exclusive Dealer Agreement Template for Philippines

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Key Requirements PROMPT example:

Exclusive Dealer Agreement

"Need an Exclusive Dealer Agreement for our Japanese electronics manufacturer to appoint a Philippine distributor for our smart home products in Metro Manila and Cebu regions, with minimum purchase requirements and a 5-year initial term starting January 2025."

Document background
The Exclusive Dealer Agreement is a crucial document for businesses seeking to establish controlled distribution channels in the Philippines. It is commonly used when a manufacturer or supplier wants to grant exclusive rights to a single dealer to sell and distribute their products within a specific geographic area in the Philippines. This agreement type is particularly important given the archipelagic nature of the Philippines and the need for strong local distribution networks. The document addresses key aspects required under Philippine law, including competition law compliance, foreign investment regulations, and local commercial requirements. It typically includes detailed provisions on exclusivity rights, territorial limitations, performance requirements, and both parties' obligations. The agreement is essential for protecting both the supplier's brand and the dealer's investment in developing the market, while ensuring compliance with Philippine statutory requirements and business practices.
Suggested Sections

1. Parties: Identification of the supplier/manufacturer and the exclusive dealer with complete legal names and addresses

2. Background: Context of the agreement, including brief description of the businesses and purpose of the arrangement

3. Definitions: Definitions of key terms used throughout the agreement

4. Appointment and Territory: Terms of exclusive appointment and defined territorial limits of the dealership

5. Term and Renewal: Duration of the agreement and conditions for renewal

6. Rights and Obligations of the Dealer: Core responsibilities including sales, marketing, customer service, and reporting requirements

7. Rights and Obligations of the Supplier: Supplier's commitments regarding product supply, support, and training

8. Product Specifications and Quality: Standards for product quality, specifications, and compliance requirements

9. Pricing and Payment Terms: Pricing structure, payment terms, and currency specifications

10. Intellectual Property Rights: Usage rights for trademarks, logos, and other IP

11. Confidentiality: Protection of confidential information and trade secrets

12. Termination: Grounds and procedures for termination of the agreement

13. Post-Termination Obligations: Obligations and restrictions after agreement ends

14. Governing Law and Dispute Resolution: Choice of law and dispute resolution mechanisms

15. General Provisions: Standard boilerplate clauses including force majeure, notices, and amendments

Optional Sections

1. Minimum Purchase Requirements: Used when specific purchase quotas or targets are required

2. Marketing and Promotion: Included when specific marketing obligations or cost-sharing arrangements exist

3. Training Requirements: When detailed training obligations for dealer's staff are necessary

4. After-Sales Service: When specific after-sales service requirements are needed

5. Non-Compete Provisions: When restrictions on dealing with competing products are required

6. Performance Targets: When specific sales targets or performance metrics are required

7. Inventory Requirements: When minimum stock levels must be maintained

8. Insurance Requirements: When specific insurance coverage is required

9. Bank Guarantee: When financial security or performance guarantee is required

10. Sub-Dealers: When appointment of sub-dealers is permitted

Suggested Schedules

1. Product List: Detailed list of products covered by the agreement

2. Price List: Current pricing structure and dealer discounts

3. Territory Map: Detailed description or map of the exclusive territory

4. Performance Metrics: Specific targets and measurement criteria

5. Technical Specifications: Detailed product specifications and standards

6. Service Level Requirements: Detailed service standards and response times

7. Trademark Usage Guidelines: Specific rules for use of supplier's trademarks

8. Required Reports: Templates and formats for required reporting

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 | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Automotive

Consumer Electronics

Industrial Equipment

Pharmaceuticals

Construction Materials

Machinery

Medical Devices

Food and Beverage

Luxury Goods

Agricultural Equipment

Telecommunications Equipment

Home Appliances

Fashion and Apparel

Sporting Goods

Relevant Teams

Legal

Commercial

Sales

Business Development

Operations

Distribution

Procurement

Compliance

International Trade

Supply Chain

Contract Management

Relevant Roles

Chief Executive Officer

Commercial Director

Sales Director

Business Development Manager

Legal Counsel

Contract Manager

Operations Director

Distribution Manager

Regional Sales Manager

Procurement Manager

Compliance Officer

Territory Manager

Channel Manager

Managing Director

Chief Operating Officer

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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