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The terms ‘exclusive’, ‘non-exclusive’ and ‘sole’ are used frequently to describe the rights granted under both agency and distribution agreements, but these terms have no set legal meaning and so it is important to define precisely what is meant by these terms within the agreements themselves.
The common meaning of these three forms of agency relationships are:
exclusive—only the agent may sell or supply the designated products in the specified territory and the principal may not do so or appoint others to do so
sole—the principal may sell or supply the products in the territory but may not appoint other agents to do so
non-exclusive—the principal may sell or supply the contract goods in the territory and may appoint other agents to do so
For further general information on these forms of agency relationship, see
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