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DISTRIBUTION AGREEMENT
This Agency Agreement, made and entered into on 01 November , 2019 by and between:
TABLETS INDIA PRIVATE LIMITED, a company existing under the laws of the
Republic of India and having its registered office at Jhaver Centre, 72 Marshalls Road,
Egmore, Chennai - 600 008, India Phone: +91-44-42050000
AND
Whereas MANUFACTURER desires to explore and market its pharmaceutical products and
wishes to appoint a DISTRIBUTOR in Oman (hereinafter referred to as the “TERRITORY”)
for promoting and distributing MANUFACTURER’s pharmaceutical products which is more
fully detailed and listed in Annexure “A” (hereinafter called Products) which Schedule may
from time to time be amended by MANUFACTURER at its sole discretion and the
DISTRIBUTOR has accepted such appointment, in accordance with and subject to the terms
and conditions hereinafter appearing.
Whereas DISTRIBUTOR has represented that it possess wide and rich experience in the field
of importing/storage/handling/marketing/distributing of pharmaceutical products in the
Territory and thus has evinced interest to distribute the Products of MANUFACTURER and
MANUFACTURER agrees to appoint as its exclusive distributor for some of its products as
set forth in Annexure A hereto in the territory of OMAN on the terms of this agreement.
And DISTRIBUTOR agrees to the aforesaid appointment as the exclusive Distributor for the
products in the territory of OMAN on the terms and conditions set forth in this agreement
Now therefore, in consideration of the mutual covenants herein contained, it is hereby agreed
as follows:
1. Definitions:
2.Trademark:
3.Territory:
The term territory means Oman. DISTRIBUTOR should not sell the PRODUCTS in other
countries outside the territory, unless asked or permitted in writing by MANUFACTURER.
4. Conditions:
The lead time or delivery shipment for all orders will be made 120 (one hundred
twenty) days after the opening of Confirmed Order. Batches sent from
MANUFACTURER should be not more than TWO MONTHS (2) old from date of
manufacturing.
5. Registration:
Subject to provision of law of the contractual territory, the registration cost of the
contractual products with the health authorities and any other registrations, licenses
and approvals as required for carrying out distribution of the contractual products in
the contractual territory shall be made by DISTRIBUTOR and following the
regulation set by the Local Food and Drug Administration standard which will be
DISTRIBUTOR shall pursue on its own for obtaining registrations in the contractual
territory and MANUFACTURER shall render necessary assistance to
DISTRIBUTOR for obtaining registration. DISTRIBUTOR will keep at its expenses
initially all such registrations which will be refunded after successful registration of
the products and comply with all legal requirements thereof during the term of this
agreement.
DISTRIBUTOR shall within 1 month obtain and send copy of registration approval to
MANUFACTURER after the application is filed.
DISTRIBUTOR shall place the initial order to MANUFACTURER within 1 month
after registration approval.
MANUFACTURER is liable to pay all the expenses occurred for product registration
after successful registration of the product.
All registration documents (hard or softcopy in any form of electronic data) provided
by MANUFACTURER is confidential information which can only be used by
DISTRIBUTOR in relation to registration process in Oman. No copy should be
made to other party nor used for other purposes. If required by MANUFACTURER,
DISTRIBUTOR shall sign an independent confidentiality agreement
6.Intellectual Property:
This agreement does not grant, transfer or assign to the DISTRIBUTOR any legal
right or beneficial ownership in any intellectual property of MANUFACTURER and
as such the DISTRIBUTOR shall not acquire any rights to any trademark by reason
of this agreement.
During the term of this agreement, MANUFACTURER shall own all rights
concerning intellectual property of all the data in the registration dossier and also the
trademark for the PRODUCTS in connection with the advertisement, promotion,
distribution and sales of the products.
7.Marketing of Products:
DISTRIBUTOR shall, for the purpose of this agreement, set up and maintain a
competent organization and adequate facilities and manpower for the marketing,
distribution, sale, storage and handling of the products in the territory.
The packaging of the product shall be in English including the package insert. The
specific design of packaging in local language or English version, including all the
cost of design, shall be prepared by DISTRIBUTOR following rules prevalent in the
territory and the original English version prepared by MANUFACTURER .
The art work and packing in local language will be submitted to MANUFACTURER
for approval before any use is made of such packaging by DISTRIBUTOR in
territory.
The packaging shall mention the name of MANUFACTURER as the manufacturer.
MANUFACTURER ’s company logo and name will be appeared on every box of
products sold as well as on every promotional material that DISTRIBUTOR produce.
9.Pricing:
The pricing will depend on guidelines of the Ministry of Health. In case of
products having the no price regulation from Ministry of Health, Distributor will
share the probable price for the product based on the market scenario which
Parties can mutually discuss and decide .
10.Warranty:
MANUFACTURER warrants that all products sold to DISTRIBUTOR
hereunder are manufactured, controlled, and supplied in accordance with the Good
Manufacturing Practices and the World Health Organization.
Products sold to DISTRIBUTOR are non-returnable, and in case of
manufacturing defective.
It should be reported in writing by DISTRIBUTOR within 30 (thirty) days
following discovery of the defects or receipt of complaints. MANUFACTURER
is not liable for any other defect, which are not attributable to manufacturing.
If the shipment batch was found defective when analyzed by Ministry of Health.
The batch will be recalled by the DISTRIBUTOR and sent back to
MANUFACTURER and same quantity of goods will be sent back to
DISTRIBUTOR.
11.Secrecy:
Both parties shall keep confidential all technical, scientific and commercial
information released by each other within the terms of the present Agreement, with
the following exceptions:
-information which has already been made public, at the time when communicated
DISTRIBUTOR shall be the responsible party for distribution and marketing of the
Products in the territory.
DISTRIBUTOR shall place its orders with MANUFACTURER for the products
indicating the quantities and the desired dates by which the same should be delivered.
MANUFACTURER shall supply DISTRIBUTOR with all products ordered by it
and take all measures to ensure expeditious delivery.
In the event that MANUFACTURER is unable (for good and acceptable reasons) to
comply with the delivery date of any item comprised in any order of DISTRIBUTOR
it shall notify immediately and in any event within one (1) month of the receipt of
DISTRIBUTOR order of its inability to do so.
It is also agreed and understood between the parties that MANUFACTURER shall
not at any time unilaterally cease supply of the product to DISTRIBUTOR during the
Agreement or in the event that the Agreement is terminated in respect of the product
already contracted to be supplied to customers in the territory given in Annexure I
prior to the termination, except in conditions where commercial terms defined in
purchase orders are not honored by DISTRIBUTOR.
All products supplied to DISTRIBUTOR should not more than three months from
date of manufacture while loading to port for shipment.
Agreement shall be valid for the period of 5 Years ( Five years) as the products
registration validity is 5 (five) years from the date of first product registration and the
agreement shall be renewed for the further period of 5(Five) years on such terms and
conditions mutually accepted by both parties unless a termination is given by one of
the two parties with three months’ notice prior to the expiry date, by registered mail.
DISTRIBUTOR shall also transfer the registration of products obtained in its name
from the relevant authorities in the territory with respect to the products to
MANUFACTURER or any third party designated by MANUFACTURER .
Should be said transfer not be possible, then DISTRIBUTOR shall provide NOC and
shall take all the steps necessary to relinquish any claim over such registration.
Further DISTRIBUTOR shall also execute necessary documents to complete the
transfer of registration as instructed by MANUFACTURER.
DISTRIBUTOR ’s covenants hereby to hand out all documents, drawings, writs,
materials, all copies thereof and, if any, promotional materials for the contractual
products, to MANUFACTURER or to its authorized representative within reasonable
time upon the termination according to MANUFACTURER ’s instruction. If
DISTRIBUTOR has acquired any marking or labeling or registration rights in
connection with the contractual products, it shall immediately assign the same to
MANUFACTURER.
16.Force Majeure:
17.Concluding provisions:
All notice given by either party to the other pursuant to this agreement shall be in
writing, addressed to the last known address of the other party. If the above is
conveyed by registered mail it shall also be considered as served if the attempt at
service proves unsuccessful and notification of service has been left behind to the
receiver.
Any modification, variation or Amendments to this agreement shall not be any force
or effect unless it is in writing and signed by each party.
This agreement shall be governed by and construed in accordance with the laws of
Singapore. If any claim, dispute, controversy or difference arises out of or in connection
with this Agreement, the parties hereto shall use their best efforts to settle such dispute,
controversy or difference amicably between the parties. In case such dispute, controversy or
difference cannot be amicably settled by negotiations between the parties hereto, the same
shall be finally settled by arbitration. This arbitration shall be conducted in accordance with
the Rules of Arbitration of the International Chamber of Commerce. The Venue of
Arbitration shall be at Singapore and the language of arbitration shall be in English.
Chennai, India
Date: ……………………..,
Director
TABLETS INDIA PRIVATE LIMITED .
AND
Muscat,Sultanate of Oman
Date: ……………..…....….
NISSAR E.C.
Managing Director,
AL WANEES BUSINESS INTERNATIONAL LLC.
Annexure-I