Commercial Agency, Distribution and Franchise Agreements

Agency, distribution and franchising provide different routes to enter new markets and grow a brand. We help principals, manufacturers, suppliers, distributors and franchise operators select and document the model that fits their commercial goals and the applicable Saudi rules.

Agreement scope

• Commercial agency and exclusive or non-exclusive distribution.
• Franchise, trademark licence and operating-system agreements.
• Territorial and customer protections, sales targets and performance obligations.
• Pricing, supply, royalties, marketing contributions and reporting.
• Intellectual property use, confidentiality and restrictions on competition.
• Renewal, termination, transition, dispute resolution and post-termination duties.

We review the parties’ commercial position and conduct due diligence before drafting. The agreement is then structured to clarify responsibilities, protect the territory and brand, balance remedies, and set workable termination and exit arrangements. Where required, we advise on registration and regulatory steps.

Our process

We assess the proposed business model, identify legal and commercial risks, prepare or revise the agreement, negotiate key protections, and provide a plain-language explanation of the final terms. The result is a tailored document designed to support a durable business relationship and reduce avoidable disputes.