What is the Difference Between Franchising and Distribution Arrangements?
Often, it is easier to tell apart a distribution arrangement from a franchise than it is to determine the difference between a franchise and a licence. Distribution arrangements often involve the supply of goods which the contracting party can then resell for a profit. Some of the more distinct issues in distribution arrangements include things like:
- Minimum performance criteria;
- Supply arrangements and delivery; and
- Product recalls
The distributor usually has the ability to operate their business according to their own terms, as long as they meet their requirements as stipulated in the arrangement with the supplier. In that sense, they have a greater deal of control over their operations.
How Can LegalVision Help You With Licensing and Distribution?
Whether you need a licensing agreement, distribution agreement, or a franchise agreement, LegalVision’s lawyers are more than happy to assist. We can help you draft, review and modify any agreements so that it fits the arrangement that you intend to run.