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DISTRIBUTEAGREEMENT

Thiscontractismadeasofthe___dayof___,byandbetween___(Supplier),a___organizedandexistingunderthelawsof___,withitsprincipalplaceofbusinessat___,and___(Distributor),a___organizedandexistingunderthelawsof___,withitsprincipalplaceofbusinessat______

ContractNo.:

PartyA:

PartyB:

1.Definition

Therearethefollowingtermsinthiscontract:

(1)“Accessories”

AccessoriesmaybedeletedfromoraddedtoAttachment___andSuppliermaychangethecontentsofthecontract,bymailingwrittennoticeofsuchchangestoDistributor.Eachchangeshallbecomeeffectivewithin___daysfollowingthedatenoticethereofismailedtoDistributor.

(2)“Goods”

WhichmeansthoseitemsdescribedinAttachment___.GoodsmaybedeletedfromoraddedtoAttachment___,whichmaybechangedbySupplieratitssolediscretionatanytimebymailingwrittennoticeofsuchchangestoDistributor.Eachchangeshallbecomeeffectivewithin___daysfollowingthedatenoticethereofismailedtoDistributor.

(3)“SpareParts”

WhichmeansallpartsandcomponentsoftheGoodsand/oranyspecialdevicesusedinconnectionwiththemaintenanceorservicingoftheGoods.SupplierdeclaresthatacompletelistofSparePartsissetforthinAttachment___.SparepartsmaybedeletedfromoraddedtoAttachment___andtheirspecificationsanddesignmaybechangedbySupplieratitssolediscretionatanytimebymailingwrittennoticeofsuchchangestoDistributor.Eachchangeshallbecomeeffectivewithin___daysfollowingthedatenoticethereofismailedtoDistributor.

(4)“Trademark”

Whichmeansanytrademark,logo,orser-vicemark,whetherornotregistered,usedtorep-resentordescribetheProductsofSupplier,assetforthinAttachment______

.

2.AppointmentofDistributor

SupplierherebyappointsDistributorasSupplier’sExclusiveDistributorofProductsintheTerritory.ItisunderstoodthatSuppliercanlaw-fullypreventitsdistributorslocatedelsewherefromsupplyingProductsforsaleorusewithintheTerritoryandthatithasnoobligationtodoso.

3.RelationshipbetweenBothParties

DistributorisanindependentcontractorandisnotthelegalrepresentativeoragentofSupplierforanypurposeandshallhavenorightorauthority(exceptasexpresslyprovidedinthisAgreement)toincur,assumeorcreateinwritingorotherwise,anywarrantyonthepartofSupplier.SuppliershallnotexerciseanycontroloveranyofDistributor’semployees,allofwhoareentirelyunderthecontrolofDistributor.DistributorshallberesponsiblefortheactsandomissionsofDistributor’semployees.

Distributorshall,atitsownexpense,duringthetermofthisAgreementandanyextensionthereof,maintainfullinsuranceunderanyLaborLawseffectiveinthestateorotherapplicablejurisdictioncoveringallpersonsemployedbyandworkingforitinconnectionwiththeperformanceofthisAgreement,anduponrequestshallfurnishSupplierwithsatisfactoryevidenceofthemaintenanceofsuchinsurance.

4.SaleofProducts

DistributorshalluseitsbesteffortstodistributetheProductsandtofullydevelopthemarketfortheProductswithintheTerritory.Thepar-tieshaveconsultedtogetherandnowagreethatifDistributor’sbesteffortsareusedasprovidedinthisSection,aminimumof___Products(AnnualMarketPotential)willbepurchasedanddistributedintheTerritoryduringthefirstyearofthisAgreement.Atthebeginningofeachsub-sequentyearthepartieswillconsulttogetheringoodfaithandagreeontheAnnualMarketPotentialapplicabletothatyear;provided,however,thatiftheycannotagree,theAnnualMarketPotentialfortheimmediatelyPrecedingyearwillapplytothecurrentyear.

5.Advertisement

Distributorshallbeentitled,duringthetermofthedistributorshipcreatedbythisAgreementandanyextensionthereof,toadvertiseandholditselfoutasanauthorizedDistributoroftheProducts.AtalltimesduringthetermofthedistributorshipcreatedbythisAgreementandanyextensionthereof,DistributorshallusetheTrade-marksinalladvertisementsandotheractivitiesconductedbyDistributortopromotethesaleoftheProducts.DistributorshallsubmitsamplesofallproposedadvertisementsandotherpromotionalmaterialsfortheProductstoSupplierforapprovalandDistributorshallnotuseanysuchadvertisementsorpromotionalmaterialswithouthavingreceivedthepriorwrittenconsentofSuppliertodoso.Distributorshallnot,pursuanttothisAgreementorotherwise,haveoracquireanyright,titleorinterestinortoSupplier’sTrade-marks.

6.DistributorSales,ServiceandStorageFacilities

Distributorshall,atitsexpense,engageandmaintainasales,serviceandpartshandlingorganizationintheTerritory,staffedwithsuchexperiencedpersonnelasarenecessarytoenabledistributortoperformitsobligationsunderthisAgreement.

Distributorshall,atitsexpense,maintainfacilitiesandpersonnelintheTerritorythatwillenableitpromptlyandsatisfactorilytoperform,atareasonableprice,allinspection,maintenanceandothernecessaryservicingofProductssoldbyDistributor.ToassistDistributorinthedischargeofthisserviceandmaintenancefunction,Suppliershallprovideserviceandmaintenancetraining,withoutcharge,toanyreasonablenumberofDistributor’spersonnelasDistributorshalldesignate.

Distributorshall,atitsexpense,atalltimesstoreandmaintainitsinventoryofProductsinaccordancewithcurrent,applicableinstructionsissuedbySupplierfromtimetotime.Distributorshall,atitsexpense,deliveronecopyofSupplier’scurrent,applicableoperationandmaintenancemanualtoeachCustomeratthetimeofsaleand,atthattime,Distributorshall,atitsexpense,fullyexplainanddemonstratetothecustomerthepropermethodofoperatingandmaintainingtheProducts.

DistributorshallmailtoSupplier,duringthetermofthedistributorshipcreatedbythisAgreementandanyextensionthereof,promptwrittennoticeoftheaddressofeachlocationatwhichproductsarestored,andtheaddressofeachfacilityestablishedbyDistributortosellandservicetheProducts.Suppliermay,throughitsdesignatedagent,inspectallsuchlocationsandfacilitiesandtheoperationsconductedthereinatanytimeduringnormalbusinesshours.

7.SparePartsandAccessories

DistributorshallkeepinstockanadequatesupplyofSparePartsandAccessoriesfortheservicingofGoods.NoSparePartsorAccessoriesnotmanufacturedbySuppliershallbeusedinconnectionwiththeGoodsunlesstheyhavebeenapprovedinwritingbySupplier

8.ConfidentialInformation

WrittenTechnicaldata,drawings,plansandengineeringintechnicalinstructionspertainingtotheProductsarerecognizedbyDistributortobesecretandconfidentialandtobethepropertyofSupplier.ThoseitemsshallatalltimesandforallpurposesbeheldbyDistributorinaconfidentialcapacityandshallnot,withoutthepriorwrittenconsentofSupplier,(i)bedisclosedbyDistributortoanyperson,firmorcorporation,exceptingthosesalariedemployeesofDistributorwhoarerequiredtoutilizesuchitemsinconnectionwiththesale,inspection,repairorservicingofProductsduringthetermofthedistributorshipcreatedbythisAgreementoranyextensionthereof,or(ii)becopiedorusedbyDistributor,itsemployeesoragentsatanytimefollowingtheexpirationorterminationofthisAgreementoranyextensionthereof.SuppliermayrequireasaconditiontoanydisclosurebyDistributorpursuanttothisSectionthatanysalariedemployeetowhomdisclosureistobemadesignaconfidentialityagreement,enforceablebySupplier,containingtermssatisfactorytoSupplier.

9.PurchasingProduct

DistributorshallpurchaseitsrequirementsfortheProductsfromSupplier.SuchrequirementsshallincludepurchasingandmaintaininganinventoryofProductsthatissufficienttoenableDistributortoperformitsobligationshere-under,andatleast___demonstrationmodeloftheGoodsandAccessories.

SuppliershallsupplytoDistributorsufficientProductstoenableDistributortomeetthefulldemandforProductsintheTerritory.AllordersforProductstransmittedbyDistributortoSuppliershallbedeemedtobeacceptedbySupplieratthetimesuchordersarereceivedbySuppliertotheextentthattheyareincompliancewiththetermsofthisAgreementandSuppliershallperforminaccordancewithallacceptedorders.Suppliershallconfirmitsreceiptandacceptanceofeachorderwithin___daysofreceiptoftheorder.

10.BusinessProcedure

EachorderforProductsissuedbyDistributortoSupplierunderthisAgreementshallidentifythatitisanorderandshallfurthersetforththedeliverydateordatesandthedescriptionandquantityofProductswhicharetobedeliveredoneachofsuchdates.AnorderforProductsshallnotprovideadeliverydatelessthan___daysafterthedatethatorderisdeliveredtoSupplier.

11.Termination

Anypartywantstoterminatetherelationship,oranycancellationofordersbyDistributorshallbeinwriting,IfDistributorcancelsanorder,whichhasbeenacceptedbySupplier,DistributorshallreimburseSupplierforanycostincidenttosuchorderincurredbySupplierpriortothetimeitwasinformedofthecancellation.

12.PurchasePrice

ThepricesforGoods,andanydiscountsapplicablethereto,aresetforthinAttachment___.ThepricesforAccessories,togetherwithanydiscountsapplicablethereto,aresetforthinAttachment___.ThepricesforSpareParts,togetherwithanydiscountsapplicablethereto,aresetforthinAttachment___.AllpricesareFOB(theDeliveryPoint).IfthepriceforanyProductisnotsetforthonAttachmentandDistributorneverthelessorderssuchaProductfromSupplier,thepartiesherebyevidencetheirintentiontherebytoconcludeacontractforthesaleofthatProductatareasonablepricetobedeterminedbythePartiesmutuallynegotiatingingoodfaith.

13.PriceChanges

Supplierreservestheright,initssolediscretion,tochangepricesordiscountsapplicabletotheProducts.SuppliershallgivewrittennoticetoDistributorofanypricechangeatleastdayspriortotheeffectivedatethereof.ThepriceineffectasofthedateofDistributor’sreceiptofnoticeofsuchpricechangeshallremainapplicabletoallordersreceivedbySupplierpriortothateffectivedate.

14.Packing

Suppliershall,atitsexpense,packallProductsinaccordancewithSupplier’sstandardpackingprocedure,whichshallbesuitabletopermitshipmentoftheProductstotheTerritory;provided,however,thatifDistributorrequestsamodificationofthoseprocedures,SuppliershallmaketherequestedmodificationandDistributorshallbearanyreasonableexpensesincurredbySupplierincomplyingwithsuchmodifiedprocedureswhichareinexcessoftheexpenseswhichSupplierwouldhaveincurredinfollowingitsstandardprocedures.

15.Delivery

ThetitletoandriskoflossofProductsshallpassfromSuppliertoDistributorattheDeliveryPoint.

SuppliershallberesponsibleforarrangingalltransportationofProducts,butifrequestedbySupplier,Distributorshall,atSupplier’sexpense,assistDistributorinmakingsucharrangements.

16.InspectionandAcceptance

PromptlyuponthereceiptofashipmentofProducts,Distributorshallexaminetheshipmenttodeterminewhetheranyitemoritemsincludedintheshipmentareinshortsupply,defectiveordamaged.Within___daysofreceiptoftheshipment.DistributorshallnotifySupplierinwri

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