Franchise and distribution agreements

Work and deliverables

We distinguish franchise, dealership, agency and distribution features, then document the agreed model. The assignment addresses stock, pricing decisions, support, quality standards, customer ownership and post-termination obligations.

Begin with an operating map showing who buys stock, invoices customers, uses the brand and handles service or returns. Translate the agreed model into drafting instructions before negotiating individual clauses. Keep open decisions on territory, channels, targets and support in a separate issue list.

Documents for the initial assessment

• Commercial proposal
• territory plan
• brand assets
• supply and inventory model
• training/support scope
• customer and sales channels.

Include existing channel agreements and reserved customer accounts. Describe ownership of inventory, unsold-stock arrangements, marketing responsibilities and the systems used to report sales. Brand standards should identify the material actually supplied to the operator and the process for later changes.

An issue to settle before committing

An exclusive territory should be considered alongside online sales and existing accounts. Otherwise two channels may claim the same customer without a clear contractual answer.

For example, a distributor with a defined territory may encounter direct online sales from the supplier. The commercial brief should explain treatment of those orders, fulfilment and customer support. Do not leave the operational teams to infer those arrangements from the word “exclusive.”

Mandate and fees

Competition, sector licensing and local premises advice may require additional analysis. No automatic enforceability of every restriction is assumed.

Legal work uses a written matter-specific proposal. Do not send confidential documents through the public form; begin with a brief description and any material date.

The handover can include the agreement, territory and support schedules, open negotiation points and implementation actions. It should identify post-termination questions such as stock, signage, data and outstanding customer commitments. Multi-country variants and specialist competition analysis require explicit scope.