A product dealership is a kind of a dealership where a product manufacturer or company hands over the right to sell that product to another company or person. In such a scenario, both the manufacturer and the assigned dealer enter into a formal and mutually binding agreement which is termed as a product dealership contract. A product dealership contract is a legally enforceable contract which makes it mandatory for the involved parties to abide by the given clauses and details of the contract. Such a contract is made using a formal format and must be very detailed in nature.
A product dealership contract must consist of the details of both the manufacturer and the dealer. These details should include the names, addresses and the contact number. Apart from this, the contract should also give details of the product whose dealership is being handed over as well as the cost or payment details. The terms and conditions of a product dealership contract should specify the role of the dealer and how can he exercise the dealership during the length of the contract. It is important for the parties to sign such a contract to show their mutual agreement.
Sample Product Dealership Contract: