Common use of Distribution Grant Clause in Contracts

Distribution Grant. Subject to the limitations contained in this Agreement, effective as of the Approval Date, Arius hereby grants to TEAMM the exclusive right to sell, market, promote, distribute, and otherwise transfer, dispose, provide and place (“sell”) Product for the treatment of nausea and vomiting in the Territory. TEAMM shall not sell the Product outside the Territory nor sell the Product within the Territory to a person who TEAMM knows or believes will resell the Product outside the Territory. TEAMM may, upon the prior written approval of Arius, which may be withheld in Arius’ sole discretion, distribute the Product through one or more reasonably qualified agents (“Subdistributors”); provided, however that any such permitted Subdistributors enter into a written agreement with TEAMM and Arius requiring them to assume the obligations of TEAMM under this Agreement and abide by and perform in accordance with and subject to the terms and conditions of this Agreement.