Drafting Reseller Agreements

Note: Links to our free templates are at the bottom of this long guide.
Also note: This is not legal advice

Introduction

Having a well-drafted and comprehensive reseller agreement is essential for businesses that rely on this type of business model. Such an agreement serves as the foundation of a successful and profitable relationship between a business and its reseller partner, ensuring both parties are aware of their respective rights, duties, and responsibilities. The scope of the reseller’s activities, the products and services to be resold, pricing structure, payment terms - all must be outlined explicitly within the agreement in order to fully protect both parties involved.

But understanding how to draft a legally enforceable document is no easy feat. Drawing up such precise language requires specialized knowledge - knowledge which can be hard to come by without spending time or money consulting with an experienced lawyer. Or so it used to be.

Founded in 2017, Genie AI is ‘the world’s largest open source legal template library’, providing millions of datapoints that teach its AI what constitutes market-standard in a reseller agreement. With Genie AI’s dataset and community template library anyone can draft and customize high quality legal documents without having to pay for costly expertise; instead allowing businesses to construct agreements tailored specifically for their needs and those of their partners.

The benefits are numerous: businesses have stronger protection against intellectual property leaking out; warranties become enforceable; indemnification clauses provide support when things go wrong; companies are able to establish clear understandings about the roles each party plays within the relationship; while at the same time enabling resellers maximize their profits from said partnership knowing that their rights will also be respected throughout its course.

In short: having a well-drafted reseller agreement in place is absolutely essential for any company who relies on them as part of their business model; offering both parties financial security while simultaneously establishing much needed clarity over key issues such as payment terms or termination provisions should disputes arise down the line… And with Genie AI’s step-by-step guidance you can access our comprehensive template library today - meaning you don’t have pay exorbitant fees or wait lengthy periods for your contract’s approval any more! Read on below for more details on how we can help you draft your own perfect agreement quickly and easily today…

Definitions

Reseller Agreement: A legally binding document between two parties that outlines the terms and conditions of the sale of a product or service.
Geographic Area: The geographical area or region in which the reseller has the right to sell the product or service.
End Users/Customers: The types of people or organizations that the reseller is authorized to sell the product or service to.
Right to Market/Distribute: The authority to advertise and promote the product or service, as well as the ability to distribute it to customers.
Customer Service: The responsibility of providing assistance and support to customers before, during, and after the sale of the product or service.
Warranties: A guarantee that the product or service will meet certain standards or perform certain functions.
Payment Terms: The conditions under which the reseller and customers must pay for the product or service, including payment methods, payment schedules, and any associated penalties.
Pricing Authority: The authority to set prices for the product or service, including any restrictions on discounts or promotions.
Changes to Products: The ability to make modifications, enhancements, or additions to the product or service.
Liability: The legal responsibility for any damages or losses caused by the product or service, or any breach of contract.
Indemnification: The responsibility of one party to compensate the other party for any losses or damages incurred as a result of their actions.
Termination of Agreement: The process for ending the agreement, including any required notices, timelines, or other requirements.
Dispute Resolution: The process for resolving any disputes between the parties, including any required negotiations, mediation, or arbitration.
Governing Law: The law or laws that apply to the agreement, including any applicable state or federal laws.
Compliance with Law: The obligation to follow all applicable laws, including any applicable state or federal laws.

Contents

1. Definition of Reseller
2. Define what product or service the Reseller will be selling
3. Define geographic area of Reseller’s responsibility
4. Define the end users or customers that the Reseller will be selling to
5. Definition of Reseller’s Rights and Responsibilities
6. Establish Reseller’s right to market and distribute the product or service
7. Establish Reseller’s responsibility for customer service
8. Establish Reseller’s responsibility for any warranties
9. Terms of Payment
10. Establish payment terms for Reseller
11. Establish payment terms for customers
12. Limitations on Reseller’s Authority
13. Establish limits on Reseller’s pricing authority
14. Establish limits on Reseller’s ability to make changes to products
15. Reseller’s Liability
16. Establish the Reseller’s liability for any damages or losses
17. Establish the Reseller’s liability for any breach of contract
18. Indemnification
19. Establish the Reseller’s liability for any indemnification claims
20. Termination of Agreement
21. Establish the process for terminating the agreement
22. Establish timeline for termination
23. Establish timeline for any related settlement agreements
24. Dispute Resolution
25. Establish the process for resolving any disputes that arise
26. Establish timeline for resolution
27. Governing Law
28. Establish the governing law for the agreement
29. Establish the governing jurisdiction
30. Compliance with Law
31. Establish the Reseller’s responsibility for compliance with all applicable laws
32. Establish the Reseller’s responsibility for compliance with any related regulations

Get started

Definition of Reseller

• Research the types of reseller agreements available to determine which one is best for your specific situation.
• Define the roles and responsibilities of the reseller in clear and concise terms.
• Identify the geographic area in which the reseller will be able to sell the product or service.
• Establish the minimum amount of the product or service that the reseller needs to purchase to remain an active reseller.
• Agree on the payment terms between the reseller and the company.

When you have completed the research and defined the roles and responsibilities, geographic area, minimum purchase requirements and payment terms, you can check this off your list and move on to the next step.

Define what product or service the Reseller will be selling

• Identify the product or service the Reseller will be selling
• List any related services or products that the Reseller will be authorized to sell
• Establish the rights and responsibilities of the Reseller in relation to the product or service
• Outline the pricing structure for the Reseller
• Set the terms for any discounts or incentives offered to the Reseller
• Determine whether the Reseller will be able to offer their customers a return policy
• Specify any limitations on the types of products or services that the Reseller may offer
• Make sure that all of the Reseller’s obligations and restrictions regarding the product or service are clearly defined

How you’ll know when you can check this off your list and move on to the next step:
Once all of the details related to the product or service the Reseller will be selling have been established and agreed upon, you can move on to the next step.

Define geographic area of Reseller’s responsibility

• Determine the geographic area where the Reseller will be authorized to sell the product or service
• Consider any existing territories, and if any overlap with the new Reseller’s area
• Draft a clause that specifies the geographic area of the Reseller’s responsibility
• Make sure the language is clear and unambiguous
• When the geographic area of responsibility is clearly defined, you can move on to the next step.

Define the end users or customers that the Reseller will be selling to

• Identify who the Reseller will be selling to and creating agreements with (e.g. businesses, individuals, etc.)
• Specify any limitations on the types of customers the Reseller can target (e.g. age restrictions, product restrictions, etc.)
• Create a list of customer types the Reseller will be allowed to sell to and any limitations
• Once the customer types and any limitations have been identified, this step can be checked off the list.

Definition of Reseller’s Rights and Responsibilities

• Determine the rights and responsibilities of the reseller in terms of marketing, sales, and customer service
• Define how the reseller will interact with customers, including how the reseller will handle customer complaints
• Outline the reseller’s obligations in terms of product updates, maintenance, and warranties
• Establish the reseller’s rights to set prices and discounts
• Assign the reseller’s responsibility for taxes, shipping, and other related costs
• Specify any additional responsibilities of the reseller

You will know when you have completed this step when you have a clear understanding of the reseller’s rights and responsibilities, and have outlined the same in the reseller agreement.

Establish Reseller’s right to market and distribute the product or service

• Outline the scope of the reseller’s right to market and distribute the product or service
• Specify limits on the reseller’s right to market and distribute the product or service
• Identify any territories in which the reseller can market and distribute the product or service
• Detail any restrictions on the reseller’s ability to sublicense the product or service
• Describe any limitations on the reseller’s ability to transfer or assign the product or service

You will know that you can check this step off your list and move on to the next step when you have included all the necessary information regarding the reseller’s right to market and distribute the product or service in the reseller agreement.

Establish Reseller’s responsibility for customer service

• Draft language outlining the specific customer service responsibilities of the reseller, such as responding to customer inquiries and handling customer complaints
• Outline the details of any customer service training the reseller must provide to its employees
• Specify that the reseller must use its own customer service resources to address customer service issues
• Establish a process for resolving disputes between the reseller and customers
• Establish a timeframe for responding to customer complaints

When you can check this off your list and move on to the next step:

• Once you have established the reseller’s customer service responsibilities, the next step is to establish the reseller’s responsibility for any warranties.

Establish Reseller’s responsibility for any warranties

• Determine the extent of any warranties provided by the reseller
• Decide whether the reseller should be responsible for maintaining, repairing, or replacing any products covered by a warranty
• Identify any restrictions on the warranty, such as time periods or geographical boundaries
• Specify that all warranties are non-transferable
• Make sure that the reseller will be responsible for customer service related to the warranty
• Outline any type of liability or damages that could occur as a result of the warranty

When you can check this off your list and move on to the next step:

• When you have established the reseller’s responsibility for any warranties and clarified any customer service and liability related to the warranty in the reseller agreement.

Terms of Payment

• Determine the payment terms between the reseller and the company, including payment due dates, late fees, and amount of payment.
• Consider any discounts or other incentives that may apply to the reseller.
• Incorporate any payment terms into the agreement.
• Once the payment terms are established and agreed upon, the step is complete and the agreement can move onto the next step.

Establish payment terms for Reseller

• Decide if the reseller will be required to pay up front for their purchases or if they will be able to buy on credit
• Set any payment deadlines for the reseller and determine the payment method (e.g. cash, check, credit card, etc.)
• Set any payment penalties for late or missed payments, such as late fees or interest
• Determine what type of payment terms the reseller is expected to offer customers
• Establish a process for handling any disputes over payments
• Document all payment terms in the reseller agreement

You can check this off your list and move on to the next step when you have finalized all the payment terms for the reseller and documented those terms in the agreement.

Establish payment terms for customers

• Determine the payment methods you will accept from customers, such as credit card payments or wire transfers
• Set the payment terms of the agreement, including payment due dates, late fees, and any additional payment terms
• Specify the currency of payment, such as US Dollars
• Include a clause indicating that customers are responsible for any applicable taxes or fees
• When you are satisfied with the payment terms, include a clause in the agreement indicating customer acceptance of the payment terms
• Once the agreement is signed by both parties, you can check this step off your list and move on to the next step.

Limitations on Reseller’s Authority

• Ensure the Reseller does not have authority to enter into contracts on behalf of the company.
• Specify any limits on the Reseller’s pricing authority.
• Describe when and how the Reseller can modify prices for customers.
• Clearly state that the Reseller is not authorized to make any warranties or guarantees on behalf of the company.
• Define any other restrictions on the Reseller’s authority.

You can check this step off your list when you have included all the necessary details on the limitations of the Reseller’s authority in the agreement.

Establish limits on Reseller’s pricing authority

• Clearly define the pricing authority of the reseller in the reseller agreement
• Set up specific limits on the reseller’s ability to modify prices or set sale prices
• Set up any discounts or promotional prices that the reseller may offer customers
• Specify any conditions that the reseller must meet before they are allowed to make any changes to the prices of the products
• Include provisions regarding any fees (if applicable) that the reseller may charge customers

When you can check this off your list:

• When the reseller’s pricing authority and limits are clearly defined and outlined in the reseller agreement
• When the agreement includes specific conditions and provisions related to the reseller’s ability to modify prices or set sale prices, and any fees or discounts the reseller may charge customers.

Establish limits on Reseller’s ability to make changes to products

• Identify what changes the Reseller is allowed to make, if any
• Outline any specific product alterations that the Reseller is not permitted to make, such as modifications or alterations to the product
• Indicate the consequences of any unauthorized changes or alterations
• Discuss under what conditions the Reseller may make changes to the product
• Establish a process for gaining approval on any changes the Reseller wishes to make
• Specify the repercussions of failing to gain approval before making changes to the product

You will know when you can check this off your list and move on to the next step when you have included all of the above points in the agreement, and both parties are in agreement.

Reseller’s Liability

• Review the applicable law to ensure that the Reseller is not held liable for any damages or losses that may occur as a result of their services.
• Identify the scope of the Reseller’s liability, including any specific areas that may be exempt from liability.
• Specify the Reseller’s obligation to indemnify the company for any damages or losses that may occur during the performance of their services.
• Include provisions for any types of damages or losses that may be excluded from the Reseller’s liability.
• Outline a plan for dispute resolution in the event of a dispute between the company and the Reseller regarding damages or losses.

You’ll know you can check this off your list and move on to the next step when you have completed all of the bullet points above.

Establish the Reseller’s liability for any damages or losses

• Review the reseller’s specific duties and responsibilities in the reseller agreement
• Outline the circumstances where a reseller would be liable for damages or losses in the agreement
• Specify the extent to which the reseller is liable for damages or losses
• Confirm the reseller’s liability for any damages or losses caused by their negligence
• Confirm the reseller’s liability for any damages or losses caused by their breach of contract
• Insert a clause specifying the reseller’s liability for any damages or losses
• Review the agreement to make sure all relevant information is included

Once all of the above is completed, you can check this off your list and move on to the next step – Establish the Reseller’s liability for any breach of contract.

Establish the Reseller’s liability for any breach of contract

• Define the remedies available in case of a breach of contract, including the right to terminate the agreement
• Outline the conditions under which the Reseller can be held liable for breach of contract
• Include the right to seek restitution and/or damages
• Define the steps a Reseller must take in the event of a breach of contract
• Add any other applicable clauses or language to ensure the Reseller is held liable for breach of contract

When you can check this off your list and move on to the next step:

• When you have included all the necessary clauses for establishing the Reseller’s liability for any breach of contract.

Indemnification

• Draft language that requires the Reseller to indemnify the company from any claims, damages, losses, and costs related to their business.
• Include language that requires the Reseller to defend the company from any claim by any third party related to their business.
• Make sure to include language in the agreement that requires the Reseller to be responsible for their own legal fees, costs, and expenses in the defense of any such claims.
• When the indemnification language has been drafted and both parties are in agreement, then you can check this off your list and move on to the next step.

Establish the Reseller’s liability for any indemnification claims

• Review the indemnification clause to determine the extent of the reseller’s liability
• Consider whether any limitations or exclusions of liability should be included in the agreement
• Consider the applicable laws regarding indemnification and determine the extent of the reseller’s liability
• Determine whether the reseller will be fully liable for any indemnification claims or if any limitations or exclusions should be applied
• Specify in the agreement the exact extent of the reseller’s liability and any limitations or exclusions that apply
• When complete, check this off your list and move on to the next step, Termination of Agreement.

Termination of Agreement

• Outline the circumstances in which either party may terminate the agreement
• Specify the notice period for termination
• State the procedure for terminating the agreement
• Include a statement of the consequences of termination

Once you have included all of the above points in your draft agreement, you can check this step off your list and move on to the next step.

Establish the process for terminating the agreement

• Review contracts, agreements, and/or licenses that exist between parties to ensure that all necessary termination processes are included in the reseller agreement
• Identify any relevant laws or regulations that must be followed when terminating the agreement
• Include language in the agreement that outlines the process for terminating the agreement, including the timeframe for providing notice and any required steps for terminating
• Include language in the agreement that specifies the consequences and liabilities that may arise from terminating the agreement
• Once all relevant information has been included in the reseller agreement, review it to ensure accuracy and that all termination conditions are present
• When the reseller agreement is complete and ready for both parties to sign, then the step is checked off and the next step can be completed.

Establish timeline for termination

• Define the timeline that both parties agree to for when the reseller agreement will be terminated.
• Consider including a notification period in the agreement to give the other party a warning before the agreement is terminated.
• Specify the date by which the agreement will be terminated and the conditions under which the termination can occur.
• Review the agreement to ensure that both parties are in agreement with the timeline for termination.

How you’ll know when you can check this off your list and move on to the next step:

• Once you have agreed upon the timeline for termination and both parties have signed off on the agreement, you can check this step off the list and move on to the next step.

Establish timeline for any related settlement agreements

• Determine the duration of the settlement agreement that will be added to the reseller agreement.
• Identify any specific dates and deadlines associated with the settlement agreement.
• Specify the exact time frame for settlement payments and any other obligations.
• Include any other requirements for the settlement agreement, such as the payment of fees or the release of intellectual property.
• Include any other relevant details, such as the applicable taxes and the jurisdiction of the contract.
• Ensure the timeline is clear and unambiguous in order to avoid any issues down the line.

How you’ll know when you can check this off your list and move on to the next step:

• Once you’ve established the timeline and included all the necessary details, the step is complete.

Dispute Resolution

• Identify the dispute resolution process you will use, such as litigation, arbitration, or mediation.
• Outline the timeline for the dispute resolution process to be completed.
• Determine the governing law and jurisdiction for dispute resolution.
• Establish who will bear the costs of dispute resolution.
• Provide for confidentiality of the dispute resolution process.
• Specify whether a court or arbitrator may award attorney’s fees and costs to the prevailing party.

Once the dispute resolution section of the agreement is drafted, you can check it off your list and move on to the next step.

Establish the process for resolving any disputes that arise

• Create a dispute resolution process that includes mediation, arbitration or other forms of alternative dispute resolution.
• Include a timeline for the dispute resolution process, including deadlines for parties to respond to requests, submit documents, and attend any hearings or meetings.
• Specify which laws will govern the dispute resolution process.
• Include any other clauses that you feel are necessary to provide clear guidelines for resolving disagreements.
• Check to make sure all of the dispute resolution clauses are included in the reseller agreement.

How you’ll know when you can check this off your list and move on to the next step:

• Once you have completed the dispute resolution process and included all the necessary clauses in the reseller agreement, you are ready to move on to the next step in the process.

Establish timeline for resolution

• Define the timeline for resolution of disputes. This could include timelines for responding to a dispute, timelines for resolution, and timelines for any other related activities.
• Consider the applicable laws and regulations to ensure the timeline is legally compliant.
• If a dispute is not resolved within the defined timeline, be sure to include what other actions can be taken.
• Once you have established the timeline, review it to ensure it meets the needs of both parties.

How you’ll know when you can check this off your list and move on to the next step:

• You’ll know you can move on to the next step once you have reviewed the timeline and have ensured that it meets the needs of both parties.

Governing Law

• Research and determine which state’s laws you would like to govern the reseller agreement.
• Identify the exact language that should be used in the agreement to specify the governing law.
• Include the governing law in the reseller agreement.
• Check off this step and move on to the next one when you have added the governing law to the reseller agreement.

Establish the governing law for the agreement

• Research the applicable laws in the potential reseller’s jurisdiction
• Consult a legal professional to confirm the appropriate governing law for the agreement
• Draft language into the reseller agreement that specifies the governing law for the agreement
• Make sure the language is clear and unambiguous

You can check this step off your list when you have completed the research and drafted the language into the agreement.

Establish the governing jurisdiction

• Identify the jurisdiction that has the most control over the agreement.
• Consult with a lawyer to ensure the agreement complies with the applicable jurisdiction’s laws.
• Include the governing jurisdiction in the agreement.
• Make sure to include a clause that specifies which court has jurisdiction over disputes that may arise.

Once you have established the governing jurisdiction in your reseller agreement, you can move on to the next step of ensuring compliance with applicable laws.

Compliance with Law

• Identify which laws and regulations are applicable to the reseller agreement, such as antitrust, consumer protection, and privacy laws.
• Determine which laws and regulations are most applicable to the reseller agreement and ensure that the agreement complies with them.
• Include language in the agreement that requires the reseller to comply with all applicable laws and regulations.
• Ensure that the agreement includes a provision that requires the reseller to indemnify the seller for any costs or liabilities resulting from their failure to comply with applicable laws.

How you’ll know when you can check this off your list and move on to the next step:

• Once you have identified all applicable laws and regulations, drafted language to include in the agreement, and ensured that the reseller will indemnify the seller for any costs or liabilities resulting from their failure to comply with applicable laws, you can move on to the next step.

Establish the Reseller’s responsibility for compliance with all applicable laws

• Ensure the reseller understands that they are responsible for complying with all applicable laws.
• Identify any laws that the reseller must be aware of, such as tax laws, intellectual property laws, etc.
• Include a clause in the agreement that states the reseller’s responsibility for compliance.
• Ensure that the reseller also understands that failure to comply with applicable laws can lead to legal action.
• Once the reseller’s responsibility for complying with applicable laws has been established, this step can be marked as complete.

Establish the Reseller’s responsibility for compliance with any related regulations

• Review applicable regulations for reselling products/services in your jurisdiction and/or the jurisdiction of the reseller
• Create provisions in the reseller agreement that outlines the reseller’s responsibility for following applicable regulations and compliance with them
• Make sure to include any necessary indemnification or insurance clauses
• Include a provision that requires the reseller to notify you of any changes in applicable regulations
• When you are confident that your reseller agreement includes the necessary provisions and clauses for compliance with any relevant regulations, you can check this off your list and move on to the next step.

FAQ

Q: What is a reseller agreement?

Asked by Tyler on July 5th 2022.
A: A reseller agreement is a contract between two parties, where one party (the reseller) agrees to buy goods or services from the other party (the supplier) to be sold on to their own customers. The agreement outlines the rights and duties of both parties, and details how payments should be made and when delivery will take place.

Q: Are there different types of reseller agreements?

Asked by Abigail on December 8th 2022.
A: Yes, there are several different types of reseller agreements. The main types of reseller agreements are exclusive or nonexclusive, direct or indirect, and consignment or stock purchase agreements. Each type has its own set of rules and guidelines that must be followed.

Q: What is the difference between an exclusive and a nonexclusive reseller agreement?

Asked by Noah on October 20th 2022.
A: An exclusive reseller agreement grants the buyer exclusive rights to sell a particular product or service within a certain region. This means that no other resellers can sell the same product or service within that region. A nonexclusive reseller agreement does not grant exclusive rights to the buyer but instead allows them to compete with other resellers in the same market.

Q: What are the benefits of having a reseller agreement?

Asked by Emma on April 17th 2022.
A: Having a reseller agreement provides both parties with legal protection and clarity about their contractual obligations. It also helps to create trust between the two parties, as it outlines how payments will be made, when delivery will take place, and other important details about their relationship. Additionally, it helps to ensure that both parties understand their individual rights and responsibilities in regards to their business dealings.

Q: How long does a reseller agreement last?

Asked by Logan on January 11th 2022.
A: The length of a reseller agreement varies depending on the terms and conditions specified in the contract. Generally, it’s up to both parties to decide how long the agreement should last - it could be for a one-off transaction, or it could be for an ongoing relationship lasting several years.

Q: What should I include in my reseller agreement?

Asked by Olivia on March 24th 2022.
A: Your reseller agreement should include details such as who is responsible for shipping costs, when payment is due, what type of payment is accepted, whether there are any restrictions on resale prices, and any other specific terms related to your particular business model (such as restrictions on advertising). It’s also important to include details about liability for damages or losses incurred during the course of the contract, as well as information about termination of the contract if either party fails to comply with its terms.

Q: Is it necessary to have legal advice when drafting a reseller agreement?

Asked by Elijah on August 14th 2022.
A: While it’s not absolutely necessary to have legal advice when drafting a reseller agreement, it’s strongly recommended in order to make sure that all parties involved have an understanding of their rights and obligations under the contract. It’s also important to ensure that all language used in the contract is clear and unambiguous - if there is any chance of misunderstanding or dispute later down the line, having legal advice can help prevent this from happening.

Q: Can I use a template for my reseller agreement?

Asked by Avery on November 1st 2022.
A: While templates can be useful when drafting your own reseller agreement, it’s important to remember that each situation is unique and may require changes specific to your business model or industry sector. It’s best practice to seek legal advice when drafting your own contract so that you can ensure all relevant details are included and nothing is missed out inadvertently.

Q: How do I know if my reseller agreement complies with UK law?

Asked by Mason on June 15th 2022.
A: All contracts must comply with relevant UK law in order to be legally binding - this includes contracts such as reseller agreements which are used for commercial transactions between two parties in the UK. In order to ensure compliance with UK law, it’s best practice to seek professional legal advice when drafting your own contract so that all necessary provisions are included and all relevant laws are taken into account.

Q: Are there any specific regulations I need to take into account if I’m operating within the EU?

Asked by Emily on February 22nd 2022.
A: Yes - if you’re operating within Europe you need to take into account regulations such as GDPR (General Data Protection Regulation) which sets out rules for processing personal data; VAT (Value Added Tax) which applies when goods or services are sold across borders; and E-commerce law which governs how businesses must operate online within Europe. It’s important to make sure all relevant regulations are taken into account when drafting your own contracts so that you remain compliant with European law - professional legal advice can help with this process.

Q: What happens if either party fails to fulfil their obligations under a reseller agreement?

Asked by Michael on September 9th 2022.
A: If either party fails to fulfil their obligations under a reseller agreement then they may be held liable for damages caused as a result of non-compliance, or they may face legal action from the other party if they fail to meet their contractual obligations outlined in the contract itself. In order for both parties to remain protected under these circumstances it’s important that any potential risks are taken into account during the drafting process - professional legal advice can help ensure this happens successfully.

Q: How can I protect my interests when entering into a reseller agreement?

Asked by Joshua on May 12th 2022.
A: It’s important that both parties’ interests are protected when entering into any type of contractual arrangement - this includes making sure that all relevant clauses are included in your contract which outline each party’s rights and responsibilities, as well as taking into account any potential risks that may arise during the course of the contract period (such as breach of contract). Seeking professional legal advice is strongly recommended in order to ensure that all interests are taken into account during the drafting process - this will help protect both parties throughout their business dealings together and reduce any potential disputes which may arise further down the line.

Q: Should I include dispute resolution clauses in my reseller agreement?

Asked by Sophia on December 15th 2022.
A: Yes - including dispute resolution clauses in your contract can help protect both parties’ interests should a dispute arise at any point during the course of their business dealings together. These clauses outline how disputes will be handled should they arise, such as mediation or arbitration rather than going straight through litigation which can often be more time consuming and expensive for both parties involved

Example dispute

Possible Lawsuits Referencing a Reseller:

• Breach of Contract: If a reseller fails to honor their contractual agreement with the plaintiff, the plaintiff can raise a lawsuit for breach of contract.
• False Advertising: If a reseller advertises a product or service that is not what the plaintiff receives, the plaintiff can raise a lawsuit for false advertising.
• Unfair Trade Practices: If a reseller engages in activities that are considered unfair or deceptive, such as using false or misleading representations, the plaintiff can sue for unfair trade practices.
• Product Liability: If a reseller sells a product that causes an injury to the plaintiff, the plaintiff can sue for product liability.
• Copyright Infringement: If a reseller uses the plaintiff’s copyrighted material without permission, the plaintiff can sue for copyright infringement.
• Negligence: If a reseller fails to exercise reasonable care in providing goods or services, the plaintiff can raise a lawsuit for negligence.
• Fraud: If a reseller engages in deceptive practices, such as making false or misleading statements, the plaintiff can sue for fraud.
• Unjust Enrichment: If a reseller receives a benefit that is unjustly received or retained, the plaintiff can sue for unjust enrichment.
• Damages: If the plaintiff is successful in their suit, they may be able to collect damages from the reseller, including compensatory damages, punitive damages, and/or attorney’s fees.
• Settlement: If the parties are able to reach a settlement, they can agree upon the terms of the settlement, including the amount of damages to be paid, and any other conditions to be met.

Templates available (free to use)

Product Reseller Contract Reseller Friendly
Product Reseller Contract Supplier Friendly
Reseller Agreement
Software Value Added Reseller Var Contract Licensor Friendly
Software Value Added Reseller Var Contract Licensor Friendly Simple
Software Value Added Reseller Var Contract Var Friendly Simple
Terms Conditions For Online Sales By Distributors Or Resellers To Businesses
Value Added Reseller Agreement

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