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[Chinese shoes Network] disputes rising supply distributors solving one game behind BP case distribution contract Risk Control Case Background BP can unilaterally terminate the distribution contract? many internationally renowned brands when entering the Chinese market, are accustomed to using the franchise model or our distributors. Both generally include trademarks, licenses logo, uniform shop layout, unified sales price, unified service standards and harmonization of raw material supply and so on. Under In many cases, suppliers and distributors is a good business partner. For suppliers, reducing the cost of human resources and working capital; for dealers, it is by the power of well-known brands to develop new markets, in terms of purchase price, product advertising, technical support and customer service available to providers stand by. Sometimes, however, both also have disputes, but the cause of the dispute is varied. Since 2004, BP Oil (Shanghai) Co., Ltd. (hereinafter referred to as the BP oil) Run-source Trade Co., Ltd. and Luoyang (Luoyang Run-source trade) because of the BP oil unilaterally invoke the terms of the contract termination, "the dealer contract" and litigious, Luoyang Runyuan trade has in Xi'an, Luoyang City, Henan Sanmenxia City and its affiliates with BP Castrol trading company beat nearly the lawsuit. The main issue is whether the two sides in more than two sides signed the "dealer contracts" have a permit unilateral termination of the contract "voluntary termination clause." According to the terms of the case, either party may by written notice 30 days in advance unconditional, unilateral termination of the contract. As a distributor of Luoyang Runyuan trade that "the dealer contract" voluntary termination clause is invalid, BP and Castrol oil acts unilaterally terminate the contract of a breach of contract and subject to huge compensation, while BP and Castrol oil is considered Terms empowerment of both parties to terminate the contract and other places, in line with the principle of fairness. around this issue, the past five years, the two sides in addition to the occurrence of litigation in Luoyang, the lawsuit also hit Sanmenxia in Henan, Shaanxi, Xi'an and other places, face the same contract terms, some appeals court upheld the dealers, and some Court support BP and Castrol oil, and some litigation has yet to end. Expert Weapon change distribution contract risk control In response to these similar cases, Shanghai Chinese business law firm lawyers believe that the main Ren Wangrong, multinational business management is an important feature is to emphasize the unity of the contract. For a business, on the same class of business activity, if you use a different version of the contract, it will greatly increase the difficulty of risk control and crisis management, resulting in business development disorder, triggered comparisons disputes between dealers. But if you use the same version of the contract, it has been accused of easily lead to a contract form contract. According to China's contract law, contract format (or formats terms of the contract) will result in two legal consequences, first, when the two sides understand the text applicable to the contract disagreement, it will be used to formulate contractors unfavorable interpretation; the second is Contract party liability exemption contract to develop and increase the responsibility of the other provisions will be disallowed. And to avoid this from happening, we need to save the tangible evidence of contractual terms between the two sides after a more specific and detailed consultations. "Some foreign companies will be asked to sign on behalf of the other party now with handwritten way to the important contract terms transcriptions again, in order to demonstrate its importance had each other through the provision of prompt and ask for serious consideration," Wang Rong said, "In reality, it seems to do so in a number of Chinese businessmen quirky, but foreign companies often feel helpless and do not do so, it is Cheap air jordans for sale determined that Chinese courts often contract terms because without consultation and belong to the standard terms, then further judgment Contract invalid. " In addition, with a network of distributors in more than one province or territory of the manufacturers also tend to be the face of the decision on the same issue are not the same all over the court, and sometimes encounter problems of local protectionism. In this regard, some lawyers will advise foreign clients in the arbitration clause in the contract set by the arbitration agreement so that the other seat of the Court was unable to obtain trial jurisdiction. BP and Castrol oil official said in Luoyang Runyuan trade litigation for several years after a new version of their dealer contracts lays down an arbitration clause. However, the agent many incidents similar franchise contracts and distribution contracts case of Li Shengxian, director of Henan Ding German law firm lawyers believe more risk areas or out of the dealer, the "most current distribution contract is the manufacturer organization legal and business experts developed the format of the contract. This format contracts are often from their own interests, ignoring the interests of the business rules, so it is easy to dispute. " "In addition, the contract is concerned, the most problematic of the main provisions of the agreement is unclear, for example, a distribution contract in terms of the most critical is the sales policy, such as manufacturers' delivery and time of return or exchange dealer conditions, assume the problem of advertising and promotion expenses, sales rebate rate and so on, is very prone to ambiguity as the weaker party in a contract dealers beginning to learn to avoid the possible design of a strong supplier 'contract trap'. " disputes rising supply distributors solving game bis auto: To adjust its development strategy Game Case Background between Nike and Hunan dealers "in March this year, due to the contradiction between Nike and the intensification of Hunan agents, Hunan some dealers went to Shanghai to protest." According to one dealer, the "temporary because the problem is not resolved, the second quarter Nike has Stop the agents available to Hunan's largest, after these dealers that they can not get the goods from the dealership, we went to Shanghai to 'seek explanation', once they even had the idea procession. " "This is mainly because of Nike's development strategy in the interests of Hunan and Hunan between the agents began to diverge. Nike would like to further the Hunan market layout, like large-scale development franchisees to open flagship stores in major cities, while Hunan agents and some dealers argue that if a large number of flagship store opened, the brand is 'fired', sales are likely to rise, but these profits new shop but will come down. " "large-scale development will affect the vested interests to join existing agents and distributors, so that dealers and some dealers certainly do not want." because agents in Hunan Hunan this market has been operating for many years is "a dominant", every year in Hunan sales reached more than 1 million, has been in a monopoly position in the market, Nike think the development of new agents and The words to contend, which in turn is difficult to achieve in the short term. After termination of the agency agreement late last year, Nike made no longer sign the agreement with the Hunan agents, the negotiations from the beginning to the end of last year is not over yet. Expert Weapon change strategy For this game between Nike and Hunan dealers, Li Shengxian told reporters, "This phenomenon in many dealers who have happened, which with the relevant distribution system." "Most manufacturers initially looking at regional distribution, tend to adopt a number of marketing approach, the purpose of forming a huge sales network. Once the product is stable to occupy the market, manufacturers will gradually regain control of the region. for dealers, become a brand's total distribution area, or its greatest wish, so that you ca jordan retro 14 white/fuchsia blast/black n grasp and control the overall sales in the region, you can get more return on sales. " "But it is precisely the goal of both their continuous efforts towards eventually become dominant and the intensification of contradictions. Businesses have always strived to show their sales in order to strive for an early upgrade, become general distribution, while the factory in this issue on absolute discretion, like 'Zhongxinggongyue', which makes factory in a strong position to optimize the market continues to adjust the layout. In the end, on the basis of no better understanding or common interests, the interests of dealers can not inevitably compromised. " The status quo in order to change the distribution system of the first dealers to adjust its development strategy. China Brand Research Institute researcher, independent consultant Wu believes that multinational brands people feel dizzy light shine, to learn advanced management ideas and support, as well as the temptation to seize profit opportunities, so many Chinese enterprises willing to serve these multinational brands The "pioneer officer" and "pawn", have joined the ranks of the then enviable multinational brands agents. Then according to their own understanding of the market for home-grown and their own hard work, these agents have received a lot: including honors include also managed to increase profits. The brand owners who get a huge market, strong brand recognition and loyalty and greater profits. However, the passage of time. Had "borrowed boat," the multinational brand owners who find out about the market and the local rules of war here, coupled with the policy of liberalization, they had scored on the "rattling" grinding knife, staged a the " Xiemoshalv "drama: 2005 Zegna big investment outlets in China, and they are being stopped and agent contract. May 2007, Montblanc China, said Chinese agents because the National Credit Suisse Montblanc company without permission from the establishment point of sale, decided to stop for the National Credit Suisse delivery. France Montagut 2007 China headquarters in Guangzhou, mainland business of direct management. Business contradiction 2009 Nike China and Hunan region is staged ...... As for the inside of the deep-seated reasons, Wu believes, from the dealer's point of view, the presence of one of their own is unclear, always "thought", "believes" multinational brand is with their thick and thin, Opportunities that happens to let yourself caught. Second is the fuzzy rules of the game, a power of attorney with the National Credit Suisse Montblanc signed that year, including the names of both companies, including less than 40 characters, as well as "Dawa dispute" trademark agreement initially relatively shallow. The above-mentioned problem is not solved, the contradictions between the brand and dealer and will continue to be staged, according to Reporters learned from the Nike dealers in the Nike concept of the channel in the hope that at least three or four in each region Families with powerful distributor or general agent, to form a fully competitive. Such operations can enhance brands to retailers bargaining power, while maintaining competition among dealers let purposes. Next, Nike, probably because of the same reason, Hebei and other places to get some dealers "cut." disputes rising auto supplier game solving ter learn to strong auto In fact, the relationship between suppliers (manufacturers, brand companies) and dealers is not dominated by a single party, then the most powerful way to maintain or establish what relationship marketing is the business of the salvation of the crisis? consciousness of the contract to establish distribution process in order to prevent accidents must establish contracts consciousness, and only made a clear written contract, the rights can be guaranteed, and can not guarantee a dispute can not be the burden of proof. In this regard, Li Shengxian lawyer suggested that before signing, businesses first need to understand the basic situation of manufacturers such as signing purposes, business qualifications, credit and performance and so on. Subject to careful review of each other's qualifications, ask for proof of legal representative, business license. Agent signing of the contract, ask for the power of attorney issued by the legal representative, as an agent of proof. Secondly, some basic principles must be adhered to: on all terms of the contract are skeptical, to analyze one by one until there is no doubt far; should try to cooperate with the formal large enterprises, to avoid cooperation with the weak brand; temporary contracts to be signed corporate seal affixed before the exact legal protection; sales tasks for large distribution contract can perform several times, which is smaller than the risk of a full deal. Finally, in the contract, to regulate the form and content. The contract must be clear, concrete. As "poor sales" of the specific definition of what is prescribed return to write clearly; avoid verbal commitment, subject to the terms of a written contract, a verbal commitment for manufacturers to seize the business opportunity, wrote, "the official text"; to fully Analysis of the distribution contract in understanding the content and avoid unfair standard contract manufacturers to develop. may also wish to make a strong auto "Xiemoshalv" drama staged scenes, then the dealer how to avoid such a fate it? Wu believes that a similar situation will continue to happen. Because this is the inevitable development of multinational brands - conversely when China's own brands also hope to open up overseas markets gradually grasping the initiative in their own hands, hoping to foreigners own flag inserted all over the world, earning foreign exchange ...... But because of the impact of a similar situation, "the Chinese agents' groups and by the relevant departments of the attention and some form of intervention, multinational brands will conduct public relations, will moderate" dumping ground ", will be" gentle, "" Tu ass "of. For the agents and dealers, agents it is necessary to promptly reflect and review their cooperation with multinational brands, including the agreement, including the original intention of cooperation, and both sides of "what they want" place, bring affect their long-term peer. If you have the "I like being used, because this is what I value," then we can continue to develop. Second, the initiative to express their own interests: shortly before the agreement expires or the beginning of cooperation, should take the initiative to express their opinions, and the "leader" of the dialogue in the hope long-term cooperation with each other to work together, or to become chief of stage partner, take precautions to avoid suddenly "mass annihilation" There is no chance to heal. If the joint venture operating company in China or sell their own chief, is also a good choice. The third is to develop their own forces: the use of cooperation "steal division," master of supply chain resources, taking advantage of the development to strengthen their network resources, and their downstream partners to strengthen the alliance is formed, an appropriate time to develop their own brand " conspiracy. " Sometimes the chief agents have found possible "separate bodies" has become their competitors, will consider this "donkey" is worth "kill". The fourth is "accounted phoenix bird nest" reverse takeover: For some international brands, the Chinese market to those agents, "dead" operation, it is not impossible. Italy's "back to back" perpetual right to operate in China and Macau to be "China Trends" is a very successful example of a buyout. According to their strength and brand will of God can operate. five forces are using third-party effects: for naked disputes or cooperation contract loss is bound to arbitration or appeal to the court, but this is the worst. They can form groups with other brands of agents some form of "coalition" a "weave." 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