GUNGUN SEEDS AND AGROCHEMICALS RESEARCH AND TRAINING INSTITUTE: Distributorship Agreement

Distributorship Agreement

Gungun Seeds and Agrochemicals

(Code of conduct for all Distributors for dealing with the firm)

 

(Please read carefully and to be signed by sole Proprietor/ Partners/ Company official as the case may be)

 

        This document is in continuation of the proposal form. Once you signed this document and the form accepts your Proposal of distributorship then you are bound by the terms and condition and firm may not be liable for any action if you violate the same. Its firm endeavor to contentiously serve their customers best services and have open and transparent dealings.

DISTRIBUTOR AGREEMENT

 THIS AGREEMENT is made on this ………….day of……………..2017 by and between:  Gungun Seeds and Agrochemicals,  a proprietorship firm incorporated and existing under the company act and having its office at C-185, K. Vihar, Agra-282006 through its Authorized Signatory Ms /Mr/Mrs Son/wife/daughter of ................. ......... ..... Residing at .................................

(hereafter referred to as the "Gungun seeds and Agrochemicals." which expression unless repugnant to the context or meaning thereof shall mean and include its legal representatives and permitted assigns) of the first pan M/s …………………………………………………………………………

a sole proprietorship Firm /Partnership firm company organized and exiting under the laws of India having Its office at……………………………………………………………………………  through its Proprietors/partner /Director, Ms./Mr./Mrs…………………………………………………    son/ wile /daughter of ……………………………………………………………………………residing ………………………………………………………………………….. ……………………………… at …………………………………………………………………………………………………………

(Here after referred to as the " DISTRIBUTOR " which expression unless repugnant to the context or meaning thereof shall mean and include its legal representatives and permitted assigns) of the other part.

WHEREAS Gungun Seeds and Agrochemicals is engaged in the manufacturing of Agro products and has agreed to appoint M/s  ……………………………………………………………………………as their Distributor for……………………………………………………………………………. Territory (details of geographical area as mentioned in Exhibit "B"). WHEREAS PRODUCTS means all "Gungun Seeds and Agrochemicals" agro products manufactured and supplied by Gungun Seeds and Agrochemicals to the Distributor as mentioned in Exhibit-A. WHERE AS DISTRIBUTOR hereby accepts the otter to be the non exclusive distributor to sell the products in the Territory on the term & Conditions contained herein:

NOW THEREFORE THIS AGREEMENT WITNESS that in consideration of the mutual promises and covenants herein contained and for other goods and valuable consideration (the receipt and sufficiency of which are hereby acknowledged) the parties hereby agree as follows:

ARTICLE-1

APPOINTMENT OF DISTRIBUTOR

1.1  Distributor's Right:

The Firm hereby appoints and grants right to Distributor, the non- exclusive right to sail the products of the Firm within a defined area as set forth herein and submits its details in the Distributor Application Form, the distributor right shall be limited to in end will initially use the Firm products in the geographic area set forth in Exhibit-B attached hereto.

1.2  Security Deposit:

a.      The distributor has paid Security Deposit amount of Rs……………….(in numbers)…………………….……………………………………………….(in words) By cheque/DD/electronic fund transfer Electronic fund Transfer transaction No…………………………………..……..dated of……….………………………….. (Bank Name)………………………………branch……………………………and Gungun Seeds and Agrochemicals has acknowledged the same through signed this agreement.

b.     No interest shall be paid on the Security Deposit made by the Distributor. The security deposit amount shall invariably be refunded after collecting /adjusting dues standing in the name of discontinued Distributor.

1.3 Payment terms:

a. Payment will be strictly made only through CTS Cheque/ Demand Draft /NEFT/RTGS/ online transfer in favor of Gungun Seeds and Agrochemicals, Agra No. cash payment is acceptable at any circumstances.

b. We accept at par cheque but date of payment will be taken from the date of realization of cheque in case, payment received from distributor through a cheque /demand draft and if its bounced or dishonored from the bank, Rs. 2000/-will be debited to distributor's account.

c. As per the payment policy of Gungun Seeds and Agrochemicals the maximum limit for payment is days in case outstanding amount of bill not cleared within stipulated time period, thereafter interest will be applicable at the rate of 24% per annum from the date of billing.

d. Cash transaction to any staff of Gungun Seeds and Agrochemicals by the Distributor, is not acceptable. Gungun Seeds and Agrochemicals shall not be held responsible for such dealing with any person, in any manner, what so ever.

1.4 The Relationship:

It is expressly agreed that the relationship between firm and Distributor is that of seller and buyer. The Distributor shall purchase the product mentioned in Exhibit "A" against sale consideration and resale to his own customers. It is understood that noting in this Agreement constitutes Distributor as agent, partner or legal representative of Gungun Seeds and Agrochemicals or its affiliates for any purpose whatsoever: Distributor is not authorized to assume or create any obligation or responsibility expressed or implied, on belief of or in the name of Gungun Seeds and Agrochemicals or its affiliates, or to bind Gungun Seeds and Agrochemicals or its affiliates in any manner whatsoever.

ARTICLE-II

MARKETING AND SUPPORT

Distributor shall use its best efforts to promote the sale and distribution of the product and to provide adequate support, which efforts shall include the following:

2.1 DISTRIBUTOR is responsible for marketing and promotional activities in the territory as such mentioned in Exhibit "B" and for compliance with all applicable laws and regulations including without limitation, laws and regulations regarding health and safety marketing practices etc. Distributor represents and warrants that it has obtained all permits, ,licenses, registration and other approvals required by Central, State as per local Authorities, In respect of the performance of DISTRIBUTOR 's obligations under this Agreement.

2.2  Distributor shall use its best efforts to market, promote and sell the product in the territory and shall use the same channels and methods and exercise the same diligence, including making regular and sufficient contact with present and prospective customers of product in the Territory. All advertising done by Distributor in any medium shall be conducted in a dignified manner that will reflect favorably upon the goodwill and reputation of Gungun Seeds and Agrochemicals and shall conform to the highest standards and shall display the trademarks only in a manner approved by Gungun Seeds and Agrochemicals.

2.2 Distributor further acknowledges that all advertising and promotional materials relating to the product or bearing the Trade-marks shall remain the property of Gungun Seeds and Agrochemicals who shall retain the sole and exclusive Ownership of all copyright therein.

2.4 Distributor has represented and assured to the Firm, about the ownership/ availability of the (shop/ office/ warehouse) and other existing infrastructure facilities which are available with the distributor and will be utilized in distributing, marketing, promoting, stocking and selling the product in the Principal Territory.

2.5 Distributor has represented and assured to the firm that the Distributor shall be responsible for the rent and other selling & distribution expenses of their shops/ offices/ warehouses occupied by him for the purpose of the business. Gungun Seeds and Agrochemicals will not be liable or responsible for the expenses relating to or incidental to the said Distributor.

 

ARTICLE-III

3.1 MATERIAL ORDER OR DELIVERY ORDER:

a.  During the Tenure, the Distributor shall place order of the products to meet the requirements of the market in the territory and Gungun Seeds and Agrochemicals shall deliver such product to Distributor upon and subject to the terms and conditions of the Agreement. Gungun Seeds and Agrochemicals agrees to give careful consideration to all order received from Distributor, Provided, however that any and all such orders, shall, at all times, be subject to acceptance by Gungun Seeds and Agrochemicals shall have no liability for non- acceptance of order without assigning any reason.

b. At the outset of the Agreement, Gungun Seeds and Agrochemicals shall supply Distributor with Pre packaged and Labelled product at prices Applicable thereto.

c.  All order from the distributor will be accepted only in written-“Order Form” of Gungun Seeds and Agrochemicals, App of company or on Distributor's Letter head. No verbal communication will be accepted by any distributor under any circumstances.

3.2 Delivery of the Products:

a. Unless otherwise stated, Maternal will be Supplied on F.O.R basis to the Distributor  point the local charges at Destination will be borne by the Distributor.

b. Material will be supplied by the earliest available transport; therefore distributor must provide its complete and correct address as well as contact number. Material deemed to deliver to the party on booking the same with the transport. The Distributor shall inform in writing to the marketing department of Gungun Seeds and Agrochemicals within 3 days from the date of receipt of goods otherwise it is assume that goods has been received by the distributor.

c. Distributor must knowledge the receipt of Material in good condition within 7 days and should send delivery challan to us, immediately.

d. No Order in any case will be executed if it exceeds the credit limit of made fraudulently. Therefore in order to avoid such inconvenience, strict adherence to the credit limit and business norms is requested.

e. All Supplies shall be governed by the force Measure Cause. No Claim under any circumstance shall be entertained for non-supply of Materials.

ARTICLE-IV

PRODUCT PRICING

4.1 The price to be charged to the distributor for the products shall be issued in writing by Gungun Seeds and Agrochemicals from time to time. Gungun Seeds and Agrochemicals reserves the right to amend the prices to be charged to distributor at any time upon written notice,

4.2 The maximum retail price and the maximum billing price will be communicated to the distributor. Products will be sold to the distributor at the distributor prices ruling at the time of supply All duties, Levies. taxes, octroi (if any) etc., as may be applicable, will be borne by the distributor. The prices stated in the price list (retail) of the products, are the maximum suggested retail prices.

4.3 All sates to the distributor will be subjected to the terms and conditions as mention on Gungun Seeds and Agrochemicals standard invoice, however in the event of any inconsistency between such terms & conditions and this agreement, the terms of this agreement shall prevail.

4.4 Gungun Seeds and Agrochemicals reserve the rights to change the prices of its products at its sole discretion and vary the terms and conditions of sale, if required by Business conditions /change in applicable laws or as Gungun Seeds and Agrochemicals may deemed fit.

ARTICLE-V

ADDITIONAL OBLIGATIONS OF DISTRIBUTORS

Without limiting any other duties which distributor may be liable to observe or perform contained or implied in this Agreement or any applicable law applicable to the territory or the products, the distributor agrees to perform all of the following functions relating to the sale and promotion of the products in the territory to the highest possible standards as a prudent operator:

5.1 Promote the features and benefits of the products and actively sell the products in the territory as mentioned in the Exhibit "B”.

5.2 Co-operate with Gungun Seeds and Agrochemicals in defining marketing objectives, opportunities and strategies.

5.3 Sell the forecast quantities and meet the sales targets established in conjunction with Gungun Seeds and Agrochemicals.

5.4 Maintain adequate stock of products at all times and provide excellent services and promote deliveries to all customers with due regards to the need for larger inventories during peak selling periods, and anticipated shipping delay periods.

5.5 promote the safe and proper use of the products in accordance with the material safety data sheets relevant to the products provided by Gungun Seeds and Agrochemicals as mentioned in Exhibit "C".

5.6 Promptly advice of any products and usage complaints from any customers, which come to the notice of the Distributor.

ARTICLE-VI

CASH DISCOUNTS

6.1 Cash discounts will be allowed to distributor on advance payment only on amount paid to Gungun Seeds and Agrochemicals other than conditional schemes launched by Gungun Seeds and Agrochemicals from time to time.

6.2 Parties making payments after deducting the Cash and other discounts will be awarded by way of credit note only.

6.3 cash discounts policy are given as attached.

ARTICLE-VII

SCHEMES

Gungun Seeds and Agrochemicals will announce various schemes (product related & advance scheme) from time to time. All the Schemes will be communicated through circulars in writing or will be listed on website.

ARTICLE-VIII

GOOD RETURNS POLICY

Gungun Seeds and Agrochemicals do not supply goods on consignment. Hence goods once sold against confirmed order shall not be taken back. However under certain extreme circumstances (only Paridy, Maize & Bajra), it shall be allowed, but with prior permission from Gungun Seeds and Agrochemicals and It will be at the sole discretion of the management. The procedure specified for it should be strictly followed.

8.1 All goods return will be charged to and from freight charges plus handling charges of Rs. per case/drum.

8.2 Additional Sales return charges

a. If stocks is returned within 60 days 0%

b If stock Is retuned within 61 to 90 days 4%

c. If stock is retuned within 91 to 180 days 10%

8.3 No return will be accepted if stock is less than 3 months expiry.

8.4 Loose stock/ expired stock will not be accepted under any circumstances.

8.5 No product shall be returned/given to any of the marketing staff of the firm without proper & prior written approval from higher Authorities of Gungun Seeds and Agrochemicals.

ARTICLE-1X

INCASE OF LEAKAGE CLAIMS AND SHORTAGE OF GOODS

Leakage claims shall be entertained only if the Procedure specified underneath is strictly followed:

9.1 The Distributor shall inform about damage/ leakage of goods, in writing to Gungun Seeds and Agrochemicals within 07 days from the date of receipt of material from us.

9.2 Damage/ Leakage material should not be dispatch anywhere without prior permission and physical verification by our sales staff. In case the materials have been dispatched without any prior permission and physical verification Gungun Seeds and Agrochemicals shall not be held responsible for any claims thereon.

GOODS SHORTAGE/ WRONG AND EXCESS SUPPLY:

Any claims regarding shortage of goods due to transporter's negligence shall only be accepted on submission of shortage certificate from the transporter within 07 days from the date of challan/ invoice. Any wrong/excess/short supply of material should be intimated in writing to the concerned depot/branch within 7 days.

II is sole responsibility of the Distributor to collect Challan copy from concern transporter, of goods received.

ARTICLE-X

 REPRESENTATIONS AND WARRENTIES OF THE DISTRIBUTOR

DISTRIBUTOR represents and warrants to Gungun Seeds and Agrochemicals acknowledging that Gungun Seeds and Agrochemicals is relying upon such representations and warranties in connection with distributor entering into this agreement, as follows :

10.1 The entering into of this agreement will not result in the violation of any of the terms and provisions of any agreement, written or oral, to which DISTRIBUTOR may be party.

10.2 The execution and delivery of this Agreement has been duly authorized by all necessary action on the part of DISTRIBUTOR and This Agreement, when duly executed and delivered by DISTRIBUTOR wil1 constitute a legal and binding obligation of DISTRIBUTOR enforceable in accordance with its terms.

10.3 The performance by DISTRIBUTOR of all its obligations here under, including the sale of the product, will be conducted in compliance with all applicable laws in the territory as mentioned In Exhibit “B” and

10.4 DISTRIBUTOR possesses a readily available and extensive sales network In the territory mentioned in Exhibit "B"

ARTICLE –XI

 TREDEMARKS, TRADE NAMES, LOGOS TAG LINE AND COPYRIGHT

During the term of this Agreement and subject to the Terms & Conditions specified herein firm's grants, to Distributor non- exclusive right to sell the products in the Territory Firm's trademarks, trade names, logos, tag line and copyright as necessary for Distributor to fulfil its obligations hereunder.

11.1 Use of Gungun Seed and Agrochemicals trademarks, trade names, tag line and logos by the distributor will be in accordance with Firm's policies which may change from time to time.

11.2 Distributor agrees not to attach, other than Gungun Seed and Agrochemicals trademarks, trade names, tag line and logo in products of Gungun Seed and Agrochemicals.

11.3 Distributor further agrees not to use Gungun Seed and Agrochemicals trademarks, trade names, tag line and logos, on any other similar products.

11.4 Gungun Seed and Agrochemicals reserves the right to review the planned uses of it's trademarks, trade names, tag line and logos to confirm that they are within the guideline prior to the usage of such trade marks by Distributor.

11.5 Distributor will not use Authorize or assign any one to use the name or trademark or trade name or tag line or logos owned by Gungun Seed and Agrochemicals as part of its firm, corporate or business name in any way and there after distributor agrees never to challenge the validity or the ownership of the same.

11.6 Distributor in the course of its business of sale the product acquire any goodwill or business reputation from the use of labels, advertisements and the like all such goodwill or business reputation so far as it relates to or attaches to the trade mark, shall on the termination of this agreement vast in and become the property of Gungun Seed and Agrochemicals.

ARTICLE-XII

TERMINATION OF THE AGREEMENT

12.1 This agreement will be terminated with the mutual consent of either of parties in written only.

12.2 Upon expiry or termination of this Agreement, no commissions, compensations indemnities or damages of any nature whatsoever shall be payable by Gungun Seed and Agrochemicals by reason only of termination or the unwillingness to continue this agreement, provided however, nothing herein shall prevent either party from recovering damages or other relief in the event of a breach of this agreement by the other party.

12.3 Following termination of this agreement by either party, distributor shall not be entitled for any compensation on any sales of the specified products by Gungun Seed and Agrochemicals or any agent Distributor there of whether or not to customers previously sold to or solicited by Distributor:

12.5 Upon expiry or termination of this agreement, distributor shall not represent itself to be agent or distributor of Gungun Seeds and Agrochemicals or otherwise to be authorized to act on behalf of Gungun Seeds and Agrochemicals and shall discontinue the use of Gungun Seeds and Agrochemicals trade name, trademarks and labels and other advertisement media and shall remove all signs and displays relating thereto

12.6 Notwithstanding anything herein contained, this agreement may be terminated by Gungun Seeds and Agrochemicals after giving 30 days notice at its absolute discretion without assigning any reason In the event of termination or expiry for any reason the distributor and Gungun Seeds and Agrochemicals shall settle the account and net amount owing under this agreement up to date of such termination of this agreement shall be paid by either party whoever owes such amount and the amount there of shall be received by the other party in full satisfaction and discharge of all claims and demands what over against the other party in full satisfaction and discharge of all claims and demands what over against the other party in respect of this agreement.

ARTICLE-XIII

DISPUTE RESOLUTION

13.1 Any dispute arising out of this agreement between the parties, parties shall be referred to the sole arbitration and to be appointed by the consent Gungun Seeds and Agrochemicals and the decision/ award of such arbitrator shall binding upon the parties hereto.

13.2 All dispute arising out at arty point of time will be subjected to Agra (U P) Jurisdiction only.

ARTICLE-XIV

LIMITATIONS OF LIABILITIES AND INDEMNITIES

14.1 Gungun Seeds and Agrochemicals warrants that the products sold to distributor pursuant to this Agreement meet Gungun Seeds and Agrochemicals specifications, Gungun Seeds and Agrochemicals is not however responsible for results obtained by the use of products either alone or in combination with other materials.

14.2 Subject to clause it is agreed that all conditions and warranties express or implied, whether arising by virtue of statute or otherwise are to the extent permitted by applicable law in the jurisdiction hereby expressly excluded and Gungun Seeds and Agrochemicals shall be under no liability to distributor or any other person for and distributor release and discharges Gungun Seeds and Agrochemicals from any loss or damage (including but limited to area or indirect as consequential loss) or loss of profit caused by or arising out of, relating to or Incidental in any manner to products or the supply of the products or this Agreement howsoever Caused.

14.3 Distributor assumes full responsibility for and agrees to indemnify, defend and hold harmless Gungun Seeds and Agrochemicals from and against any and all claims, actions, liabilities, losses, damages, costs and expenses arising from failure of distributor to perform any of its obligations under this agreement, or from the negligence or willful misconduct of distributor, except to the extent such claims, actions, liabilities, losses, damages, costs and expenses results from Gungun Seeds and Agrochemicals own gross negligence or willful miscount or any breach by Gungun Seeds and Agrochemicals of its obligations under the agreement.

14.4 The distributor hereby undertake & warrants that it shall not mix, replace, adulterate and tamper with any of the Products with any other local product manufactured by any other company or brand. Any such act shall be treated as a Breach of this agreement and it shall not matter whether the distributor has actually sold such adulterated/ mixed/ replaced products or any employee or labor of the distributer has performed such an act with /without the knowledge of the distributor. It shall constitute a breach under this Agreement.

ARTICLE- XV

CONTINGENCIES

15.1 Gungun Seeds and Agrochemicals shall not be liable for non -performance of this agreement arising from contingencies happenings, or causes beyond the control of the party affected or directly or indirectly caused by fire explosion, accidents flood labor trouble or shortage war act of Government indirectly to obtain suitable material, equipment fuel power or transportation or act of god

ARTICLE-XVI

AMENDMENTS

16.1 No amendment of this Agreement shall be valid unless in writing and signed by both parties

ARTICLE-XVII

COMMERCIAL TERMS & CONDITIONS

17 1 Distributor shall comply with the requirements of all acts, regulations and orders whether Central, State, Municipal or otherwise relating to its obligations hereunder and to the marketing of the products and any other laws relating to fair trading.

17.2 Distributor shall provide secure and safe storage for the product to ensure no deterioration in the quality, appearance or packing thereof.

17.3 Distributor shall exercise efforts to ensure that the products sold Pursuant to this agreement are used, handled and disposed of in accordable with the current label and applicable Central, Stale and local / Municipal Laws and Regulations.

ARTICLE-XVIII

MISCELLANOUS

18.1 This agreement together with schedule specifically referenced and attached hereto embody the entire understanding between distributor and Gungun Seed and Agrochemicals and there are no agreement, understanding, conditions. Warranties or representation, oral or written, express or implied, with reference to the subject matter hereof which are not merged herein.

18.2 This agreement shall be executed in duplicate counterparts, both of which taken together shall constitute one and the same agreement. This agreement shall become binding only when both Parties shall have executed each of the duplicate counterparts of this agreement.

18.3 Except as otherwise specially stated, no modification hereto shall be of any force or effect unless-in writing and signed by both parties hereto, expressly referred to as being modification of this agreement.

In witness whereof, the parties hereunto executed this Agreement the………………. day of .............

For  ………………                                                       For, Gungun Seeds and Agrochemicals.   

Signature…………                                                       Signature ……………….

Name…………….                                                        Name……………………

Title……………..                                                         Title…………………….

 Date: …………….                                                       Date: ..................................

Witness                                                                          Witness


1.

2.

This Agreement shall become effective as of the Effective date and shall, except as otherwise provided herein, remain in full force and effect till the Expiry Date unless termination by Gungun Seeds and Agrochemicals with or without cause. This Agreement may be further extended for such period & on such terms & conditions as may be mutually agreed between the parties in writing.

 Exhibit-A

List of Gungun Seeds and Agrochemicals Product List


https://lookmyvcard.com/Gungun-seeds-and-agrochemicals

Exhibit-B

This is to signify that we have appointed M/s, ……………………………

Address ……………………………………………………………………

For the Principle Territory ……………..…………………………………

And the near by area/region are as such mentioned above:

 

Exhibit- C

Material Safety

It will be the sole responsibility of distributor to protect the materials from rain, moisture, theft, Fire and other losses. In case, any such event happens or occurs, knowingly or unknowingly. It will be the sole responsibility of Distributor to indemnify the losses for the same.

The labels of the products which contain complete product details like its name, quantity, batch number, manufactured/ expiry date, MRP etc., and should not be deteriorate or destroyed or changed under your custody. In case, if you are returning the goods/material Via transit Gungun Seeds and Agrochemicals will not be responsible for any damage or deteriorate occur during the transit and until we take the products under our custody or our instructed destination.