The Non-Resale Agreement is utilized when a supplier needs to maintain control over their distribution network and prevent unauthorized resale of their products or services. This document is essential in scenarios where products require specific handling, quality control, or where market positioning needs protection. The agreement, governed by Canadian law, typically includes detailed provisions on permitted uses, compliance requirements, and enforcement mechanisms. It is particularly relevant when dealing with specialized equipment, controlled substances, licensed products, or exclusive distribution arrangements. The document must carefully balance restrictions with Canadian competition laws while providing clear guidelines for authorized use and consequences of non-compliance. This agreement is commonly used in conjunction with supply agreements, distribution contracts, or licensing arrangements to create a comprehensive legal framework for controlled product distribution.
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1. Parties: Identification of the contracting parties, including full legal names, addresses, and registration details
2. Background: Context of the agreement, relationship between parties, and purpose of the non-resale restrictions
3. Definitions: Key terms used throughout the agreement, including 'Products', 'Territory', 'Resale', 'Authorized Use'
4. Scope of Agreement: Specific products or services covered by the non-resale restrictions
5. Non-Resale Obligations: Core restrictions and specific prohibited activities regarding resale of products
6. Authorized Uses: Permitted uses of the products and any exceptions to the non-resale restrictions
7. Term and Termination: Duration of the agreement and circumstances for early termination
8. Compliance and Reporting: Requirements for demonstrating compliance with non-resale obligations
9. Warranties and Representations: Statements of fact and promises made by each party regarding their ability to comply
10. Breach and Remedies: Consequences of violating the agreement and available remedies
11. General Provisions: Standard contractual clauses including governing law, notices, and amendment procedures
1. Quality Control: Required when products need specific handling or storage requirements
2. Intellectual Property: Include when the products involve patents, trademarks, or other IP rights
3. Audit Rights: Add when regular verification of compliance is necessary
4. Security Measures: Include when specific security or tracking measures are required to prevent unauthorized resale
5. Export Control: Required when products are subject to export restrictions
6. Insurance: Include when specific insurance coverage is required for handling products
7. Confidentiality: Add when sharing of sensitive business information is involved
8. Territory Restrictions: Include when geographical limitations apply to the non-resale obligations
1. Schedule A - Products: Detailed list of products subject to non-resale restrictions
2. Schedule B - Authorized Locations: List of approved locations for storage and use of products
3. Schedule C - Pricing Structure: Price lists and any volume-based arrangements
4. Schedule D - Compliance Requirements: Detailed procedures for maintaining and demonstrating compliance
5. Schedule E - Approved Users: List of authorized personnel or entities permitted to use the products
6. Appendix 1 - Reporting Forms: Standard forms for required compliance reporting
7. Appendix 2 - Security Protocols: Detailed security measures and tracking procedures
Relevant legal definitions
Clauses
Relevant Industries
Manufacturing
Healthcare and Medical Devices
Pharmaceuticals
Technology and Software
Automotive
Aerospace and Defense
Chemical and Materials
Industrial Equipment
Electronics
Luxury Goods
Research and Development
Education
Biotechnology
Relevant Teams
Legal
Procurement
Supply Chain
Compliance
Sales
Operations
Quality Assurance
Business Development
Risk Management
Contract Administration
Distribution
Commercial
Relevant Roles
Procurement Manager
Commercial Director
Supply Chain Manager
Legal Counsel
Compliance Officer
Sales Director
Distribution Manager
Contract Administrator
Business Development Manager
Operations Manager
Quality Assurance Manager
Product Manager
Channel Manager
Chief Legal Officer
Risk Manager
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