Manufacture and distribution of goods
If you are manufacturing goods or buying and selling goods you should consider setting out in writing the terms you have agreed with the other party in the form of a contract. Written terms should help avoid disputes arising and, if they do arise, should help the parties resolve those disputes.
You should include (among others) the following terms:
- A clear description of each parties obligations
- A clause setting out the quality and nature of the goods
- Any obligations for minimum purchase or sale
- Confirmation of the amount payable and when payment is payable (or order, receipt or re-sale of goods)
- A clause confirming whether one party is licencing a right to use its intellectual property to the other party
- Any limit to the territory in which the distributor may sell the products
- Any limits to the parties’ liability for example limited liability up to the value of the contract
In each case, it is essential to understand the legal implications of the commercial relationship you are entering into and what your rights and risks are. It is also important to appreciate that, as a manufacturer, you may be liable to end users and to and any distributors you sell the goods to.
We can assist you by drafting contracts in plain English which protect you and your business and ensure that the terms which you have agreed with the other party are clearly and correctly set out.
To discuss how we can assist your business with your commercial dealings do give us a call on 020 7611 4848 or email us at firstname.lastname@example.org.