Title: Foreign Sales Representatives and Distributors http:www'cohenlaw'com
1Foreign Sales Representatives and Distributors
http//www.cohenlaw.com/
- by Bruce H. Chiu, Esq.
- Cohen Grigsby, P.C.
2Sales Representatives versus Distributors
Sales representatives - commission basis
Distributors - title to goods
3Commissions
Should not accrue until U.S. company receives
full and final payment
Sales representatives should share risk
4Scope and Duration of Agreement
Warning may be wed for life
Difficult to terminate or change relationship
5Registration of Agreement
No registration, no enforceability
Additional obstacle to termination
6Trademark Protection
Trademark piracy and hijacking are common
First-to-file trademark registrations systems
Register your trademarks abroad
Register before engaging in trade
7Employment Laws
Avoid language seeking to control day-to-day
operations of foreign sales representatives or
distributors
8http//www.cohenlaw.com/
9http//www.cohenlaw.com/ibg/
10cohengrigsby
11Export Control
Classify your product or service
Know your customer - Red Flags
End-User or Middle Person?
Destination Country
Ultimate End Use
12Terms and Conditions of Sale
Payment Terms
Transportation, Insurance and Risk of Loss
Force Majeure