Distribution Agreements
We know that a well-mentioned written agreement is very important for any kind of agreement between two parties. Ie distributor and manufacturers or suppliers. this distribution agreement helps both the parties legally supported to avoid any conflicts in the future. if you have a plan to open a small business set up in the UAE market, then it is a necessary agreement one should have.
Key points:
- Distribution agreements do not require the distributor to be a UAE national or a company that is 100% owned by a UAE national
- Distribution agreements do not require the distributor to be registered with the UAE Ministry of Economy (MoE)
- Distribution agreements may be expressed or implied, i.e., written or non-written
- The uncertainty arises in respect of unregistered distribution/agency arrangements which have received different treatment by the UAE Courts.
- Distribution agreements may grant exclusive, or non – exclusive rights to the sale of the product to the distributor
- Commitment not to Compete/ Non-Compete
- Compensation for termination of the Contract
- Obligations of the Distributor
We the business setup Dubai have an experienced team who will draft the contract as per the agreement of the terms and conditions of the manufacturer/supplier and distributor. We will give guidance as well on the best options of each clause for the benefit of both parties. we not only provide services in Dubai but also in UAE regions like, Abu Dhabi, Sharjah, Ras Al Khaimah, Ajman, Al Quwain, Al Fujairah. for more info contact us.