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Dealer Sales Agreement Template for United Arab Emirates

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Key Requirements PROMPT example:

Dealer Sales Agreement

"I need a Dealer Sales Agreement for appointing an exclusive automotive parts dealer in Dubai and Abu Dhabi, with the agreement to commence in January 2025 and include comprehensive after-sales service obligations."

Document background
The Dealer Sales Agreement is a crucial commercial contract used when a supplier or manufacturer wishes to appoint a dealer to sell and distribute their products in the United Arab Emirates. This agreement type is particularly significant in the UAE market due to specific local laws governing commercial agencies and dealership relationships, notably Federal Law No. 18 of 1981 (Commercial Agency Law) and its amendments. The document structure must carefully balance commercial flexibility with mandatory legal requirements, as registered commercial agencies receive substantial legal protection in the UAE. The agreement typically covers essential elements such as territory definition, performance targets, support services, and termination rights, while ensuring compliance with local regulations regarding dealer protection and registration requirements.
Suggested Sections

1. Parties: Identification of the supplier and dealer, including full legal names, addresses, and registration details

2. Background: Context of the agreement, business relationship overview, and intentions of the parties

3. Definitions: Key terms used throughout the agreement, including Products, Territory, and other relevant definitions

4. Appointment and Territory: Formal appointment of dealer and definition of authorized territory

5. Rights and Obligations of the Dealer: Core responsibilities, sales targets, marketing requirements, and service standards

6. Rights and Obligations of the Supplier: Supply commitments, support services, and training obligations

7. Ordering and Delivery: Process for ordering products, delivery terms, and logistics arrangements

8. Prices and Payment: Pricing structure, payment terms, and currency provisions

9. Intellectual Property Rights: Usage of trademarks, trade names, and other IP

10. Confidentiality: Protection of confidential information and trade secrets

11. Term and Termination: Duration of agreement and termination provisions compliant with UAE law

12. Governing Law and Dispute Resolution: UAE law governance and dispute resolution mechanisms

Optional Sections

1. Exclusivity: Provisions for exclusive dealing rights, used when granting exclusive territory rights

2. Marketing and Promotion: Detailed marketing requirements and cooperative advertising, used for consumer-facing products

3. After-Sales Service: Service and warranty obligations, important for technical or complex products

4. Insurance: Insurance requirements and coverage obligations, crucial for high-value products

5. Training: Staff training requirements, essential for technical products or specialized services

6. Non-Competition: Restrictions on competing activities, subject to UAE competition law

7. Data Protection: Data handling and privacy requirements, important for digital products or services

8. Force Majeure: Provisions for unforeseen circumstances affecting performance

Suggested Schedules

1. Products Schedule: Detailed list of products covered by the agreement

2. Territory Map: Geographical definition of the authorized territory

3. Pricing Schedule: Price lists, discount structures, and payment terms

4. Performance Targets: Specific sales targets and performance metrics

5. Technical Requirements: Technical specifications and standards for product handling

6. Service Level Agreement: Detailed service standards and response times

7. Marketing Guidelines: Brand usage guidelines and marketing requirements

8. Warranty Terms: Detailed warranty terms and procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions


























Clauses





































Relevant Industries

Automotive

Electronics

Consumer Goods

Industrial Equipment

Medical Devices

Technology

Machinery

Luxury Goods

Construction Equipment

Home Appliances

Telecommunications

Sporting Goods

Relevant Teams

Legal

Commercial

Sales

Business Development

Operations

Compliance

Supply Chain

Distribution

Corporate Affairs

International Trade

Relevant Roles

Commercial Director

Sales Director

Legal Counsel

Business Development Manager

Channel Manager

Operations Director

Compliance Officer

Contract Manager

Distribution Manager

Regional Sales Manager

Chief Commercial Officer

General Counsel

Supply Chain Manager

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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