Reseller Agreement
Reseller Agreement
Reseller Agreement
This Reseller Agreement is made on [AGREEMENT DATE] (the "Effective Date") between
[PARTY A NAME], [whose principal place of residence is at / a [CORPORATE
JURISDICTION] corporation with its principal place of business at [PARTY A
ADDRESS]] (the "[PARTY A ABBREVIATION]") and [PARTY B NAME], [whose principal place
of residence is at / a [CORPORATE JURISDICTION] corporation with its principal
place of business at] [PARTY B ADDRESS]] (the "[PARTY B ABBREVIATION]").
(The capitalized terms used in this agreement, in addition to those above, are
defined in section [DEFINITIONS].)
1. Appointment of Reseller
2. Orders
2.1. Purchase Orders. [PARTY B] shall submit all orders for Products to
[PARTY A] in writing to [PARTY A]'s address listed in the introduction to this
agreement, or as [PARTY A] otherwise specifies in writing (each a "Purchase
Order"), and include in each Purchase Order
3. Delivery of Products
3.2. Risk of Loss Shifts on Delivery. [PARTY A] will remain liable for any
damages, losses, or defects to the Products until the Products are delivered to
[PARTY B], after which [PARTY B] will be solely liable.
4. Product Materials
7. Price
7.1. Price for [PARTY B]. [PARTY B] shall pay [PARTY A]'s list price for each
Product, as listed in the [ATTACHMENT], attached to this agreement, less [PARTY
B]'s Discount.
7.3. Resale Prices. [PARTY B] may determine its own retail prices, taking
into account suggested retail prices provided by [PARTY A].
7.5. Changes to Discount. Neither party may change the Discount without the
other party's written consent.
7.6. Most Favored Customer. If [PARTY A] sells Products to any third party at
a price lower than what it charges [PARTY B] for those Products, [PARTY A] shall
pay [PARTY B] the difference between what it charged [PARTY B] and the price it
charged the third party.
8.1. Invoice Delivery. [PARTY A] shall invoice [PARTY B] for each delivery of
Products within [seven] Business Days' after [PARTY B] accepts the delivery.
Title:
Mailing Address:
Email Address:
Account Number:
Routing Number:
9. Taxes. Payment amounts under this agreement do not include Taxes, and [PARTY B]
shall pay all Taxes applicable to payments between the parties under this
agreement.
10. Interest on Late Payments. Any amount not paid when due will bear interest
from the due date until paid at a rate equal to [1]% per month ([12.68]% annually)
or the maximum allowed by Law, whichever is less.
11. Term
11.1. Initial Term. The initial term of this agreement will begin on [the
Effective Date] and continue for [TERM MONTHS] months, unless terminated earlier
(the "Initial Term").
11.3. Election Not to Renew. Either party may elect not to renew this
agreement, by providing notice to the other party at least [NON-RENEWAL NOTICE
PERIOD] Business Days' before the end of the Term.
11.4. Term Definition. "Term" means either the Initial Term or the then-
current Renewal Term.
12. Representations
(b) Authority and Capacity. The parties have the authority and capacity
to enter into this agreement.
(c) Execution and Delivery. The parties have duly executed and
delivered this agreement.
(d) Enforceability. This agreement constitutes a legal, valid, and
binding obligation, enforceable against the parties according to its terms.
(g) Permits, Consents, and Other Authorizations. Each party holds all
Permits and other authorizations necessary to
(c) Legal Right. [PARTY A] has the [exclusive] right to transfer the
Products.
(d) No Infringement. [PARTY A]'s sale of the Products does not infringe
on or constitute a misappropriation of the Intellectual Property or other rights of
any third party.
13.1. [PARTY A] Products. All [PARTY A] Products are covered by [PARTY A]'s
limited warranty statements that are provided with the products or otherwise made
available.
13.2. Third Party Products. Non-[PARTY A]-branded products receive warranty
coverage as provided by the relevant third party supplier.
13.3. Software Warranty. [PARTY A] hereby warrants that for the Warranty
Period, that when operated according to the documentation and other instructions
[PARTY A] provides, software will perform substantially according to the functional
specifications listed in the documentation.
(a) [PARTY A] does not make any warranty regarding the Products, which
includes that
15. Intellectual Property. Except for rights expressly granted under this
agreement,
15.2. each party will retain exclusive interest in and ownership of its
Intellectual Property developed before this agreement or developed outside the
scope of this agreement.
(a) Maintain Records and Reports. For [three] years after the
expiration or termination of this agreement, [PARTY B] shall maintain records of
its marketing, sales, and support and maintenance services under this agreement.
16.3. Employee Training. [PARTY B] shall ensure that any of its employees who
are responsible for the marketing, sales, and technical support services for the
Products have proper skill, training, and background to enable them to provide
these services in a competent and professional manner, including ensuring relevant
employees complete any training programs [PARTY A] requires.
16.5. Cooperation. [PARTY B] shall work closely with [PARTY A] and use
reasonable efforts to meet the mutually agreed-upon sales goals.
16.7. Markings and Notices. [PARTY B] will not remove or alter any
trademarks, Product identification, notices of any proprietary or copyright
restrictions, or other markings or notices that appear on the Products or their
packaging.
16.9. Internal Use. [PARTY B] will not use Products for its internal use,
unless [PARTY A] consents in writing.
16.10. [End User Information. On [PARTY A]'s request, and to the extent
permitted by Law, [PARTY B] shall provide [PARTY A] with end user contact
information.]
(b) reproduce and transmit any user manuals and other documentation
[PARTY A] creates for customers in connection with the Products.
17.4. Trademark Use. [PARTY B] shall comply with all of [PARTY A]'s policies
regarding the use and display of [PARTY A]'s name, trademarks, logos, and other
identifying information that [PARTY A] provides to [PARTY B] in writing.
20. Publicity
20.1. Consent. Neither party will use the other party's name, logo, or
trademarks, or issue any press release or public announcement regarding this
agreement, without the other party's written consent, unless specifically permitted
under this agreement or required by Law.
20.2. Cooperation. The parties shall cooperate to draft all appropriate press
releases and other public announcements relating to the subject matter of this
agreement and the relationship between the parties.
21.1. Retain Books and Records. [During the Term and for a period of [two]
years after the [termination or expiration] of this agreement,] [PARTY B] shall
keep its Books and Records (including personnel files) that relate to this
agreement, and maintain them in a manner reasonably consistent with prior
practices.
21.2. Inspection and Audit.[During the Term and for a period of [two] years
after the [termination or expiration] of this agreement,] On reasonable notice from
[PARTY A], [PARTY B] shall provide [PARTY A] and [PARTY A]'s agents and
representatives reasonable access to [PARTY B]'s Books and Records that relate to
this agreement (and allow the [PARTY A] to make photocopies, at [PARTY A]'s
expense), during normal business hours.
22. Termination
22.1. Termination on Notice. Either party may terminate this agreement for
any reason on [TERMINATION NOTICE BUSINESS DAYS] Business Days notice to the other
party.
22.2. Termination for Material Breach. Each party may terminate this
agreement with immediate effect by delivering notice of the termination to the
other party, if
(a) the other party fails to perform, has made or makes any inaccuracy
in, or otherwise materially breaches, any of its obligations, covenants, or
representations, and
(a) pay any amounts it owes to the other party, including payment
obligations for services already rendered, work already performed, goods already
delivered, or expenses already incurred, and
(b) refund any payments received but not yet earned, including payments
for services not rendered, work not performed, or goods not delivered, expenses
forwarded.
24. Indemnification
(b) arising out of a claim that [PARTY B]'s sale of Products infringes
the third party's Intellectual Property rights.
24.6. Defense. The indemnifying party may elect to defend the indemnified
party in the proceeding by giving prompt written notice after receiving notice of
the proceeding.
(a) does not require the indemnified party to make any admission that
it acted unlawfully,
(b) does not effect any other legal proceeding against the indemnified
party,
(c) provides that the indemnifying party will pay the claimant's
monetary damages in full, and
(d) requires claimant release the indemnified party from all liability
related to the proceeding.
25.2. [PARTY A]'s Maximum Liability. [PARTY A]'s aggregate liability under
this agreement will not exceed the amount of fees [PARTY B] has paid to [PARTY A].
26. Definitions
"Books and Records" means all books and records, including books of account,
ledgers and general, financial and accounting records, machinery and equipment
maintenance files, lists of parties to and prospects for franchise agreements,
supplier lists, production data, quality control records and procedures, customer
complaints, inquiry files, research, development files, records, data (including
all correspondence with any Governmental Authority), sales material and records
(including pricing history and sales and pricing policies and practices), strategic
plans, marketing and promotional surveys, and material, research, and files
relating to Intellectual Property.
"Business Day" means a day other than a Saturday, a Sunday, or any other day on
which the principal banks located in New York, New York are not open for business.
"Disclosure Schedule" means the schedules delivered, before the execution of this
agreement, by each party to the other party which list, among other things, items
the disclosure of which is necessary or appropriate either in response to an
express disclosure requirement contained in a provision of this agreement or as an
exception to one or more of the representations or warranties made by the party, or
to one or more of the covenants of the party.
"Encumbrances" means any pledges, liens, charges, security interests, leases, title
retention agreements, mortgages, restrictions, developments or similar agreements,
easements, rights-of-way, title defects, options, adverse claims, or encumbrances
of any kind.
(a) any federal, state, local, or foreign government, and any political
subdivision of any of them,
"Intellectual Property" means any and all of the following in any jurisdiction
throughout the world
(f) other intellectual property and related proprietary rights, interests and
protections (including all rights to sue and recover and retain damages, costs and
attorneys' fees for past, present, and future infringement, and any other rights
relating to any of the foregoing).
"Law" means
(a) any law (including the common law), statute, bylaw, rule, regulation,
order, ordinance, treaty, decree, judgment, and
"Legal Proceeding" means any claim, investigation, hearing, legal action, or other
legal, administrative, arbitral, or similar proceeding, whether civil or criminal
(including any appeal or review of any of the foregoing).
"Person" includes
"Taxes" includes all taxes, assessments, charges, duties, fees, levies, and other
charges of a Governmental Authority, including income, franchise, capital stock,
real property, personal property, tangible, withholding, employment, payroll,
social security, social contribution, unemployment compensation, disability,
transfer, sales, use, excise, gross receipts, value-added and all other taxes of
any kind for which a party may have any liability imposed by any Governmental
Authority, whether disputed or not, any related charges, interest or penalties
imposed by any Governmental Authority, and any liability for any other person as a
transferee or successor by Law, contract or otherwise.
(a) represent the final expression of the parties' intent and agreement
between the parties relating to the subject matter of this agreement,
(b) contain all the terms the parties agreed to relating to the
subject matter, and
(c) Counterparts Form One Document. Together, all counterparts form one
single document.
27.3. Severability. If any part of this [agreement /plan] is declared
unenforceable or invalid, the remainder will continue to be valid and enforceable.
27.4. Amendment. This agreement can be amended only by a writing signed by
both parties.
27.5. Assignment. Neither party may assign this [agreement /plan] or any of
their rights or obligations under this [agreement /plan] without the other party's
written consent.
27.6. Notices
(a) Form of Notice. All notices and other communications between the
parties must be in writing.
(b) Method of Notice. The parties shall give all notices and
communications between the parties by (i) personal delivery, (ii) a nationally-
recognized, next-day courier service, (iii) first-class registered or certified
mail, postage prepaid[, (iv) fax][ or (v) electronic mail] to the party's address
specified in this agreement, or to the address that a party has notified to be that
party's address for the purposes of this section.
(c) Arbitrator's Authority. The arbitrator will not have the power to
award any punitive [or consequential] damages.
27.8. Governing Law. This agreement shall be governed, construed, and
enforced in accordance with the laws of the State of [GOVERNING LAW STATE], without
regard to its conflict of laws rules.
27.9. Waiver
(1) the then-current, actual knowledge of the directors and officers of that party,
and
(2) the knowledge that would or should have come to the attention of any of them
had they investigated the facts related to that statement and made reasonable
inquiries of other individuals reasonably likely to have knowledge of facts related
to that statement.
(b) Number and Gender. Unless the context requires otherwise, words
importing the singular number include the plural and vice versa; words importing
gender include all genders.
(c) Headings. The headings used in this agreement and its division into
sections, schedules, exhibits, appendices, and other subdivisions do not affect its
interpretation.
[PARTY B NAME]