Distributorship Services Clause Samples

Distributorship Services. Amer Group agrees to appoint ANTA Group as a distributor to sell and distribute Amer Group’s products in different territories from time to time pursuant to the respective feeder agreements and/or purchase orders to be entered into from time to time in accordance with the requirements set for in Section 2.9 hereof. The Parties agree that each of the feeder agreements to be entered into from time to time pursuant to Section 2.9 hereof for the distributorship services contemplated under this Section 2.4 shall prescribe the following key terms: (i) the prices of the relevant products purchased by ANTA Group as distributor shall be equal to Amer Group’s current distributor price for the relevant products for the relevant territory, and shall in no event be higher than [***] of the recommended retail price of any given product unless as otherwise agreed by the Parties subject to the requirements of Section 2.9; and (ii) in the event that ANTA Group’s total purchases of the relevant products for the relevant territory exceed the minimum total purchases for a particular contract year as prescribed in a given feeder agreement, ANTA Group as the distributor shall be entitled to rebates provided by Amer Group in respect to each such contract year during the term of such given feeder agreement, the amount of which is to be determined annually based on the following formula: (Y – X) × Z, where X shall be [***] of the aggregate recommended retail prices of the relevant products representing Amer Group’s total “B2B” gross sales in the relevant territory for the financial year ending December 31, 2023; Y shall be the total purchases of the relevant products by ANTA Group as a distributor for the given contract year; Z shall be a percentage between [***] to [***] to be determined by the Parties based on arm’s length negotiation.