Document background
The Product Exclusivity Agreement is a crucial commercial contract used when a business wishes to grant exclusive rights to another party for selling, distributing, or representing their products in a specific territory within India. This document is particularly important in industries where controlled distribution and market presence are essential for maintaining brand value and market position. The agreement must comply with Indian legislation, particularly the Competition Act, 2002, and the Indian Contract Act, 1872, while addressing key commercial terms such as territory definition, performance metrics, and quality standards. It's commonly used when launching new products, entering new markets, or establishing strategic distribution partnerships where exclusivity is a key business requirement.
