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Dealer Solutions Agreement

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DEALER SOLUTIONS AGREEMENT

This Dealer Solutions Agreement (Agreement) is entered into as of Effective Date: by and between:

RECITALS

WHEREAS, Provider develops and supplies dealer services, software, integrations and related technical and consulting services designed to support automotive dealers and other resale organizations; and

WHEREAS, Dealer desires to obtain certain dealer solutions from Provider and Provider is willing to provide such services on the terms and conditions set forth in this Agreement.

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the parties agree as follows:

SCOPE OF WORK

Provider shall deliver the services, deliverables and support described below. Provider will perform services in a professional and workmanlike manner consistent with industry standards.

PAYMENT TERMS

Dealer shall pay Provider the fees specified below in consideration for the services rendered. All fees are payable in United States Dollars unless otherwise agreed in writing.

Invoices are due within days of invoice date. Late payments shall accrue interest at the lesser of 1.5% per month or the maximum rate permitted by applicable law. Provider may suspend services for failure to pay after providing written notice and a day cure period.

Late fee/interest:    Taxes: Taxes are included in fees

TERM AND TERMINATION

Term: This Agreement shall commence on Start Date: and continue until End Date: unless earlier terminated as provided herein.

Either party may terminate this Agreement for convenience upon written notice to the other party at least days prior to the effective termination date. Either party may terminate immediately for material breach that remains uncured after thirty (30) days' written notice, or sooner if injunctive relief is necessary.

Upon termination, Dealer shall pay Provider for all services performed and expenses incurred through the effective date of termination. Provider shall, upon Dealer's request and subject to payment of outstanding amounts, deliver completed deliverables and reasonable transition assistance.

CONFIDENTIALITY

"Confidential Information" means all non‑public information disclosed by a party (Disclosing Party) to the other party (Receiving Party) that is designated as confidential or that reasonably should be understood to be confidential given the nature of the information and the circumstances of disclosure. Confidential Information includes, without limitation, business plans, dealer lists, pricing, source code, trade secrets, and customer data.

The Receiving Party shall: (a) use Confidential Information solely to perform its obligations under this Agreement; (b) protect Confidential Information with at least the same degree of care it uses to protect its own confidential information, but no less than reasonable care; and (c) not disclose Confidential Information to any third party except to employees, contractors or advisors who have a need to know and are bound by obligations of confidentiality no less protective than this Agreement.

Confidentiality obligations shall continue for a period of following termination of this Agreement, except for trade secrets which shall remain protected for as long as such information qualifies as a trade secret under applicable law.

LIMITATION OF LIABILITY

EXCEPT FOR LIABILITY ARISING FROM GROSS NEGLIGENCE, WILLFUL MISCONDUCT, BREACH OF CONFIDENTIALITY, OR VIOLATION OF INTELLECTUAL PROPERTY RIGHTS, IN NO EVENT SHALL EITHER PARTY'S AGGREGATE LIABILITY ARISING OUT OF OR RELATING TO THIS AGREEMENT EXCEED THE TOTAL FEES PAID BY DEALER TO PROVIDER IN THE SIX (6) MONTHS PRECEDING THE EVENT GIVING RISE TO LIABILITY.

INTELLECTUAL PROPERTY

Provider retains all right, title and interest in and to Provider's pre-existing software, tools, methodologies and intellectual property. Unless expressly agreed in writing, Provider grants Dealer a non-exclusive, non-transferable right to use deliverables for Dealer's internal business purposes. Any custom development commissioned by Dealer shall be addressed in writing with ownership and licensing terms specified.

NOTICES

All notices required or permitted under this Agreement shall be in writing and delivered to the addresses below (or such other address as a party may designate by notice). Notices are effective upon receipt.

GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to its conflict of laws principles. The parties submit to the exclusive jurisdiction of the state and federal courts located in that state for any action arising out of or relating to this Agreement, subject to any agreed arbitration provisions.

ENTIRE AGREEMENT; AMENDMENT

This Agreement, together with any exhibits or statements of work executed by the parties, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals or representations, whether written or oral. No amendment or modification of this Agreement will be effective unless in writing and signed by authorized representatives of both parties.

MISCELLANEOUS

If any provision of this Agreement is held invalid or unenforceable, the remaining provisions will remain in full force and effect. Neither party may assign this Agreement without the prior written consent of the other party, except that Provider may assign to an affiliate or in connection with a merger or sale of substantially all of its assets. The parties are independent contractors and nothing in this Agreement creates a partnership, joint venture or agency relationship.

Provider Printed Name:

By:

Date:

Dealer Printed Name:

By:

Date:

Enter text✕

What the Dealer Solutions Agreement Is and When It Applies

A Dealer Solutions Agreement is a written contract between a dealer (distributor, reseller, or franchisee) and a solutions provider that defines rights, obligations, pricing, support, licensing, and service levels for products or services supplied to the dealer. Typical provisions cover scope of supply, pricing and payment terms, delivery and installation responsibilities, warranties, indemnities, confidentiality, data handling, termination, and dispute resolution. These agreements are used across industries where manufacturers or software providers work with channel partners and should be tailored to the commercial model, regulatory context, and applicable state law.

Why a Clear Dealer Solutions Agreement Matters

A well-drafted Dealer Solutions Agreement reduces operational ambiguity, allocates commercial risk, and protects intellectual property. It establishes service levels and dispute processes and supports compliance with applicable electronic signature laws such as ESIGN (15 U.S.C. ch. 96) and UETA where relevant.

Why a Clear Dealer Solutions Agreement Matters

Who typically completes and relies on this agreement

This agreement is prepared and signed by commercial parties involved in supply or channel relationships; multiple internal and external stakeholders will interact with it.

  • Dealership management and procurement teams who negotiate pricing, service levels, and delivery terms.
  • Vendor account executives and legal teams who provide contract templates, warranties, and data handling commitments.
  • Operations, support, and finance staff who rely on the agreement for billing, fulfillment, and service escalation.

Use this section to identify roles for negotiation, execution, and ongoing contract management.

Representative signers and reviewers

Dealer Owner

An owner or authorized officer who signs on behalf of the dealer. This person must have corporate authority to bind the dealership and should confirm billing and tax information before signing.

Vendor Contract Manager

A vendor representative—often a contracts manager or VP of Sales—who negotiates standard clauses, approves exceptions, and coordinates implementation with operations and support teams.

Key data and security items to record

Encryption: TLS 1.2/1.3
Data at rest: AES-256
Certifications: SOC 2 Type II
Audit trail: Full signing history
HIPAA support: BAA available
Access controls: Role-based permissions

Principal risks and potential penalties

Breach damages: Contractual liability exposure
Data breach fines: Regulatory penalties possible
Tax errors: Reporting penalties may apply
Warranty claims: Cost of remedy and returns
Invalid execution: Signing defects can void provisions
Delayed delivery: Lost revenue and remedies

Common preparation pitfalls to avoid

  • Using vague performance standards that invite disputes and uneven enforcement.
  • Mismatched party names or signatory authority that delay enforcement or tax reporting.
  • Failing to address data handling or privacy when sensitive customer data is processed.
  • Omitting termination mechanics or post-termination transition obligations.

How to complete a Dealer Solutions Agreement step by step

Follow a consistent sequence to prepare, review, and execute the agreement to reduce errors and ensure enforceability.

  • 01
    Draft core terms: Define scope, price, and key deliverables.
  • 02
    Assign responsibilities: Specify installation, support, and training duties.
  • 03
    Review compliance: Confirm data, export, and industry rules.
  • 04
    Execute and retain: Collect signatures and preserve audit records.

Recommended eSignature workflow settings for online completion

Set up the signing workflow to match internal approval rules and to provide a clear audit trail for all parties.

Field Configuration
Authentication Email link or SMS code
Signer order Sequential or parallel
Reminders Automated email reminders
Document retention Automatic archival after completion

Typical electronic signing flow for the agreement

Electronic execution follows predictable stages from upload to completion; audit data is retained for recordkeeping and dispute defense.

  • Upload document: Sender uploads final agreement
  • Place fields: Add signature, date, and initial fields
  • Notify signers: Send email or link to each signer
  • Complete signing: Platform records timestamps and audit trail

Technical and integration considerations for eSubmission

Choose an eSignature platform that supports required authentication, audit logs, and integration with your back-office systems.

  • Integrations: Salesforce, NetSuite, Google Workspace
  • File formats: PDF, DOCX, HTML supported
  • Authentication: Email, SMS, or advanced options

Core clauses to include in a professional Dealer Solutions Agreement

Ensure the agreement includes clauses that clearly allocate responsibilities, manage risk, and describe the commercial relationship in measurable terms.

Scope of supply

Describe products, services, quantities, and delivery timelines with specific metrics and acceptance criteria to avoid disputes.

Pricing and payment

State pricing, invoicing frequency, late fees, and currency; include remedies for disputed invoices.

Service levels

Define response times, uptime commitments, and credits or remedies for missed service levels.

Warranties and disclaimers

Set explicit warranty periods, remedy processes, and limitations of liability.

Data protection

Include data handling, encryption, breach notification, and any required BAA for healthcare data.

Termination

Specify termination for cause, convenience, cure periods, and post-termination transition obligations.

Typical timelines, deadlines, and processing expectations

Assign target dates for negotiation, approval, signature, and operational handover to keep the deal on schedule.

Negotiation window:

14–30 days typical for standard templates

Internal approvals:

Allow 3–10 business days for legal and finance review

Signature completion:

Electronic signing often completes within 24–72 hours

Implementation start:

Begin within agreed lead time after effective date

Invoice cycle:

Invoice on delivery or according to stated milestones

Key milestones from negotiation to operational handover

Follow these sequential milestones to manage expectations and track progress during onboarding and implementation.

01

Term Sheet Agreed

Finalize high-level commercial terms

02

Contract Drafting

Draft and circulate the full agreement

03

Internal Approval

Legal and finance sign-off obtained

04

Execution and Handover

Document signed; implementation begins

How a Dealer Solutions Agreement differs from similar documents

Compare commonly confused documents so parties choose the correct form and clause set for the transaction.

Document Type Purpose Typical scope
Purchase Order short-term order specific goods only
Master Services Agreement ongoing services broad service relationship
License Agreement ip rights software or content licensing
Dealer Solutions Agreement channel relationship pricing, support, resale terms

eSignature vendor pricing and capability snapshot

Costs and features vary by vendor and plan; signNow is listed first for direct feature comparison without implying endorsement or requirement.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies Varies Varies Varies
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
Envelope Cap No cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Frequently asked questions about Dealer Solutions Agreements

Answers to common execution, enforceability, and operational questions when preparing and signing these agreements.


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