Distribution Agreement
This Agreement is made between "Industrial Rubber Innovations Inc.
of Bakersfield California, U.S.A. (IRI)" and "Shenzhen Yujiang Trade
Limited (SYTL) of Shenzhen PRC".
Whereas IRI manufactures specialty rubber and SYTL wishes to
distribute IRI's rubber in China and where both parties agree to the
following terms and conditions;
1. IRI will grant to SYTL the exclusive right to distribute all
IRI products in China.
2. The initial term of this agreement will be 12 months from the
date of signing by both parties, afterwhich both parties will
determine what their future relationship will be.
3. SYTL is to remit all monies owed to IRI within 30 days of
receipt of IRI invoice.
4. Both parties agree that SYTL's expected sales are $600,000USD
in the first 12 months, $1,200,000USD in the second 12 months
and $2,5000,000USD in the third 12 months of this agreement.
5. This agreement is exclusive to SYTL and SYTL agrees no to sell
any competitor products manufactured or produced by any other
company that are similar to IRI products or that would
otherwise be detrimental to the marketing efforts of IRI.
6. SYTL is responsible for its own marketing including hiring and
training sales staff, servicing end users and shipping and
handling.
7. IRI will provide SYTL with brochures and other marketing
material in English. SYTL will be responsible for all costs
related to translation to other languages; all translated
marketing material must be approved by Xxxxxx Xxxx of IRI.
8. SYTL agrees that should it be involved in any dispute in
relation to any matter whatsoever in China it will save
harmless IRI and IRI's name.
9. On all raw material shipped to SYTL to be manufactured into
finished product in China, IRI must approve the manufacturer
who will finish the product for quality control.
10. On all finished product manufactured directly by IRI, IRI will
be responsible for replacing any defective product. If the
product is "IRI raw material" and manufactured by another
manufacturer in China, chosen by SYTL, then the said
manufacturer will be responsible for all finished products they
manufacture.
11. Should IRI decide to change any price on either raw material or
finished product IRI will give SYTL 30 days written notice of
any change.
12. This agreement may be cancelled by either party for any reason
at an time.
Signed this 8th, day of July 1999 in Shenzhen PRC.
/s/ unknown
Industrial Rubber Innovations, Inc.
(SEAL)
/s/ unknown
Shenzhen Yujiang Trading Limited
(SEAL)
