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Resale Agreement Template

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Resale Agreement

Parties

This Resale Agreement (the "Agreement") is entered into as of the Effective Date set forth below by and between:

WHEREAS

WHEREAS, Seller manufactures, owns or has lawful authority to sell certain products and has the right to appoint third parties to resell those products; and

WHEREAS, Buyer desires to purchase inventory for the purpose of resale and Seller is willing to supply such inventory on the terms and conditions set forth in this Agreement.

NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth herein, the parties agree as follows:

Scope of Work

Seller will sell and Buyer will purchase the products described below for the purpose of resale in accordance with the terms of this Agreement. Seller grants Buyer a non-exclusive (unless expressly stated otherwise), revocable right to purchase and resell the products subject to the restrictions and obligations contained herein.

Payment Terms

Buyer shall pay Seller for products in accordance with the following pricing and schedule. All amounts are stated in United States dollars unless otherwise agreed in writing.

Delivery; Risk of Loss

Delivery terms shall be as specified on each purchase order. Unless otherwise agreed in writing, risk of loss passes to Buyer upon delivery to the carrier at Seller's shipping point (FOB shipping point). Buyer is responsible for insurance, import/export clearance, and any duties or taxes unless Seller expressly agrees otherwise.

Term and Termination

This Agreement commences on the Effective Date and shall continue until the End Date unless earlier terminated in accordance with this section.

Effective Date:

End Date:

Either party may terminate this Agreement immediately for cause if the other party materially breaches any obligation under this Agreement and fails to cure such breach within the notice period specified above. Upon termination, Buyer shall return or destroy confidential materials and shall pay for products shipped prior to termination.

Confidentiality

Each party acknowledges that in the course of performance it may receive Confidential Information of the other party. "Confidential Information" means non-public information designated as confidential or that reasonably should be understood to be confidential. Each receiving party shall: (a) hold Confidential Information in strict confidence using at least the same degree of care it uses with its own confidential information; (b) use Confidential Information only to perform obligations under this Agreement; and (c) not disclose Confidential Information to any third party except as required for performance and subject to confidentiality obligations. Confidentiality obligations shall survive termination for a period of three (3) years, except for trade secrets, which shall be protected for as long as they qualify as trade secrets.

Warranties; Disclaimer

Seller warrants that at the time of shipment products will conform to Seller's standard specifications. EXCEPT AS EXPRESSLY PROVIDED IN THIS AGREEMENT, THE PRODUCTS ARE PROVIDED "AS IS" AND SELLER DISCLAIMS ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.

Indemnification

Each party shall indemnify, defend and hold harmless the other party from and against third-party claims arising from its negligence, willful misconduct, or breach of this Agreement. The indemnified party shall promptly notify the indemnifying party of any claim and permit the indemnifying party to control the defense and settlement thereof.

Limitation of Liability

EXCEPT FOR LIABILITY ARISING FROM WILLFUL MISCONDUCT OR A PARTY'S INDEMNIFICATION OBLIGATIONS, NEITHER PARTY SHALL BE LIABLE TO THE OTHER FOR INDIRECT, INCIDENTAL, SPECIAL OR CONSEQUENTIAL DAMAGES, AND EACH PARTY'S AGGREGATE LIABILITY SHALL BE LIMITED TO AMOUNTS PAID OR PAYABLE BY BUYER UNDER THIS AGREEMENT DURING THE TWELVE (12) MONTHS PRECEDING THE CLAIM.

Notices

All notices must be in writing and delivered to the addresses below by certified mail, courier, or hand delivery and shall be effective when received.

Governing Law; Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of the governing_state selected by the parties below, without regard to conflict of law principles. Any dispute arising out of or relating to this Agreement shall be resolved by binding arbitration in the agreed forum unless the parties mutually agree otherwise.

Entire Agreement; Amendment; Assignment

This Agreement constitutes the entire agreement between the parties with respect to the subject matter and supersedes all prior and contemporaneous agreements and understandings. Any amendment or modification must be in writing and signed by authorized representatives of both parties. Neither party may assign this Agreement without the prior written consent of the other party, except that Seller may assign to an affiliate or in connection with a sale of substantially all of its assets.

Severability

If any provision of this Agreement is held to be invalid or unenforceable, such provision will be struck and the remaining provisions will remain in full force and effect.

Counterparts

This Agreement may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument. Electronic signatures shall have the same force and effect as original signatures.

Execution

The parties have executed this Agreement through their duly authorized representatives as of the Effective Date.

Seller Name:

By:

Date:

Buyer Name:

By:

Date:

Enter text✕

What a Resale Agreement Template Is and When It Applies

A Resale Agreement Template is a standardized contract that sets the terms under which a supplier grants a buyer the right to resell specified goods or services. It defines parties, pricing and discounts, permitted territories and channels, minimum purchase or resale commitments, intellectual property licenses and permitted marketing uses, warranties and return policies, and termination and indemnity provisions. Organizations use a template to ensure consistent commercial terms, reduce negotiation time, and capture required business and legal details for repeat transactions while preserving flexibility for deal-specific edits.

Why a Clear Resale Agreement Template Matters

A well-drafted resale agreement reduces ambiguity about pricing, territory, and permitted channels, lowering the risk of disputes and unexpected liability.

Why a Clear Resale Agreement Template Matters

Who Typically Prepares and Signs a Resale Agreement

Resale agreements are commonly prepared by procurement, sales operations, or in-house counsel and executed by authorized business signers.

  • Manufacturers and distributors using standard reseller terms across multiple partners to ensure consistent pricing and channel controls.
  • Retailers and value-added resellers who need clear return, warranty, and territory rules to avoid stock and pricing conflicts.
  • Legal and compliance teams that require consistent indemnity, IP license, and data-handling provisions across reseller contracts.

Proper role identification speeds approval and reduces downstream disputes when the agreement is enforced or audited.

Who Signs on Behalf of Each Party

Authorized Representative

A named employee with explicit authority to enter commercial contracts. That person should be listed with title and must have board or delegated authority depending on company policy; unsigned internal approvals do not substitute for signatures.

Corporate Officer

An officer such as CEO, COO, or Corporate Secretary may sign to bind a company. For incorporated entities, confirm corporate resolutions or signing authority to avoid later challenges to enforceability.

Core Sections to Include in a Professional Resale Agreement Template

Include consistent commercial, operational and legal provisions so each executed agreement contains the minimum enforceable terms for resale relationships.

Parties and Definitions

Identify full legal names, entity types, and defined terms. Precise definitions reduce ambiguity about who bears obligations and when title or risk of loss transfers during shipment and resale.

Scope and Territory

Specify permitted resale channels, exclusive or nonexclusive territory, sub-reseller rules, and any channel or customer restrictions; include clear remedies for channel conflicts or territory breaches.

Pricing and Payment

State list price, reseller discounts, invoicing cadence, payment terms, currency, tax responsibility, and consequences for late payment such as interest or suspension of supply.

Intellectual Property

Grant narrow, revocable licenses for trademarks and marketing materials. Define permitted use, approval process for marketing collateral, and ownership retention to avoid unintended IP transfers.

Warranties and Returns

Allocate responsibility for product defects, define return windows and restocking fees, and limit warranty scope where permitted by law to manage post-sale liabilities.

Termination and Remedies

List termination events, cure periods, inventory disposition rules upon termination, and liquidated damages or injunctive relief provisions to protect business interests.

Step-by-Step: How to Fill and Execute a Resale Agreement

Follow this sequence to prepare, review, and execute the agreement efficiently.

  • 01
    Prepare Draft: Populate template fields with deal-specific data and attach exhibits for SKUs and pricing.
  • 02
    Internal Review: Obtain legal and finance sign-off on pricing, warranty language, and tax allocation.
  • 03
    Send to Counterparty: Provide the draft to the reseller with clear instructions on editable sections.
  • 04
    Execute: Collect signatures from authorized signers and retain the fully signed copy for records.

How to Configure an Online Resale Agreement Workflow

Set up roles, fields, and authentication to streamline e-signature and routing for the agreement.

Field Configuration
Signer Roles Seller Signer | Reseller Signer
Authentication Method Email link by default; use SMS code or KBA for higher assurance
Required Fields Effective Date, Pricing, Product Exhibit attached
Routing Sequential: Seller then Reseller then Legal copy

Digital Signing and Delivery Considerations

Choose a platform that supports secure signing, audit trails, and the authentication level required by your compliance needs.

  • File Formats: PDF and DOCX supported
  • Integrations: CRM and cloud storage integrations
  • Compliance: Audit trail and optional HIPAA BAA

Confirm platform encryption and retention options meet internal policy and any industry regulations before executing high-volume resale agreements.

Where to Send or Store the Executed Agreement

Route the signed agreement to the appropriate internal systems and external parties for fulfillment, accounting, and legal retention.

  • Accounting: Upload signed copy to accounting system for invoicing and tax records
  • Legal: Store executed agreement in legal matter folder for dispute reference
  • Sales CRM: Attach signed agreement to customer record for commission and quota tracking
  • Cloud Archive: Retain final PDF in secure cloud storage with versioning enabled

Typical Timelines, Deadlines, and Notice Periods

Key dates and notice periods must be tracked to ensure performance, inventory planning, and orderly termination.

Effective Date:

Agreement becomes binding on the effective date entered in the signature block

Delivery Windows:

Specify shipment or delivery lead times and vendor obligations

Payment Due:

Payment terms often net 30; late fees apply after due date

Renewal Notice:

Automatic renewal or notice period for nonrenewal, commonly 30–90 days

Termination Notice:

Material breach cure period and termination notice, commonly 10–30 days

Common Mistakes When Preparing a Resale Agreement

  • Leaving pricing and discount formulas vague, which causes disputes over margin calculations and invoicing reconciliation.
  • Failing to specify permitted channels or territory, permitting resellers to sell in restricted markets or to unauthorized channels.
  • Omitting clear IP license terms for trademarks and marketing materials, leading to improper use and brand dilution.
  • Not confirming signer authority or failing to collect a corporate resolution, which risks later challenges to enforceability.

Penalties and Contractual Risks to Watch For

Breach Damages: Monetary exposure for unauthorized resale or pricing breaches
Tax Liability: Incorrect tax allocation can trigger penalties and assessments
IP Misuse: Unauthorized trademark usage risks infringement claims
Warranty Gaps: Unclear warranty limits increase product liability
Indemnity Exposure: Broad indemnities may shift significant third-party costs
Enforceability: Improper execution or missing signatures can void obligations

eSignature Vendor Pricing Snapshot for Resale Agreement Workflows

Compare starting prices and core features to match an eSignature plan to your expected volume and compliance needs.

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 No No Yes, limited Yes, limited
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
Envelope Cap No envelope cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Real-World Examples of Using a Resale Agreement Template

These short examples show how organizations applied standardized resale terms to speed deals and manage risk.

Martin Properties

Martin Properties standardized resale terms across its managed properties to reduce negotiation time.

  • The template clarified pricing and tenant obligations.
  • I can process and execute all of these documents online with 100% compliance and built-in security, improving turnaround and recordkeeping.

Tech Data

A distributor used a template to roll out reseller pricing to hundreds of partners.

  • Bulk send and template fields automated distribution.
  • Tech Data reported improved internal customer service and faster revenue recognition after centralizing contract execution and tracking.

Practical Tips to Ensure Accurate and Efficient Completion

Adopt these practices to reduce errors, speed approvals, and improve enforceability.

Use a Single Authoritative Template
Maintain a single approved template version and track changes through version control to prevent conflicting contract terms across teams.
Require Signer Authority Verification
Confirm signer capacity with a corporate resolution or authorized signatory list to avoid later enforcement challenges.
Attach Detailed Exhibits
Keep SKUs, price tables, and delivery schedules as numbered exhibits referenced in the main agreement to avoid ambiguity.
Retain an Audit Trail
Use electronic signing platforms that capture timestamps, IP addresses, and certificate data to support authenticity if disputes arise.

Essential Data Fields to Include for Compliance and Auditability

Seller Name: Full legal entity
Buyer Name: Full legal entity
Effective Date: MM/DD/YYYY
Products Listed: SKU and description
Payment Terms: Net days and currency
Governing Law: Named state jurisdiction

FAQs and Troubleshooting for the Resale Agreement Template

Answers to common questions about enforceability, electronic signing, and execution workflows for resale agreements.


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