Business · Editor
Commercial Distribution Agreement
Version: Short
COMMERCIAL DISTRIBUTION AGREEMENT
In the city of Asunción, Republic of Paraguay, on [Date: e.g. 05/02/2026], appears on one side [Party A name: e.g. Juan Pérez], holder of ID No. [Party A ID: e.g. 1,234,567], domiciled at [Party A address: e.g. Asunción], hereinafter "PARTY A"; and on the other side [Party B name: e.g. María González], holder of ID/Tax ID No. [Party B ID/Tax ID: e.g. 80012345-6], domiciled at [Party B address: e.g. San Lorenzo], hereinafter "PARTY B". The parties state that they have sufficient capacity to bind themselves and agree to execute this private instrument, subject to the following clauses:
FIRST: PURPOSE
PARTY A and PARTY B agree to to appoint the DISTRIBUTOR to promote and sell [Products: e.g. cleaning products] in [Territory: e.g. Greater Asunción]. This agreement shall be interpreted in good faith, according to its economic purpose and prudent Paraguayan legal practice.
SECOND: PRICE AND PAYMENT METHOD
As consideration, price, rent, contribution or economic acknowledgment, according to the nature of the act, the parties establish the DISTRIBUTOR shall acquire products according to current list with [Suggested margin: e.g. 20%], without prejudice to authorized promotions. Every payment must be documented by receipt, bank voucher or sufficient written record.
THIRD: TERM
The term or effectiveness shall be [Term: e.g. 1 year], with quarterly evaluation of commercial objectives. Any extension, suspension or amendment must be made in writing and physically or digitally signed by the parties.
FOURTH: OBLIGATIONS OF THE PARTIES
- The SUPPLIER shall maintain quality standards, technical sheets and reasonable delivery conditions.
- The DISTRIBUTOR shall comply with brand policies, authorized minimum prices if any and after-sales service.
- The parties shall coordinate inventory, claims, returns and warranties in writing.
EIGHTH: JURISDICTION
For any dispute arising from this instrument, the parties shall seek an amicable solution. If disagreement persists, they submit to the competent ordinary courts of the Republic of Paraguay, without prejudice to mandatory rules applicable by subject matter or territory.
NINTH: ACCEPTANCE
Having read this document and as evidence of agreement, the parties sign two counterparts of the same tenor and for one single effect, at the place and date indicated above.
PARTY A signature: ___________________________
PARTY B signature: ___________________________