Preferred Partner Agreement

Preferred Partner Agreement for the United Kingdom

Preferred Partner Agreement Template for England and Wales

A Preferred Partner Agreement is a legal document governed by English and Welsh law that establishes a privileged commercial relationship between two or more parties. It sets out preferential terms, conditions, and obligations for business collaboration, often including exclusive arrangements, preferred pricing, and specific service levels. The agreement typically defines the scope of partnership, commercial terms, territories, and mutual obligations while ensuring compliance with UK competition law and other relevant regulations.

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What is a Preferred Partner Agreement?

The Preferred Partner Agreement is specifically designed for businesses seeking to formalize strategic partnerships under English and Welsh law. This document is particularly valuable when organizations wish to establish long-term, preferential business relationships with key suppliers, service providers, or distributors. It addresses essential aspects such as exclusivity, preferred pricing, service levels, and territorial rights, while ensuring compliance with UK competition law. The agreement is commonly used across various industries to secure advantageous commercial terms and create mutually beneficial business relationships.

What sections should be included in a Preferred Partner Agreement?

1. Parties: Details of the contracting parties and their registered addresses

2. Background: Context of the agreement and relationship between parties

3. Definitions: Key terms used throughout the agreement

4. Partnership Scope: Details of the preferred partnership arrangement and its parameters

5. Term and Termination: Duration of agreement and termination provisions

6. Commercial Terms: Key commercial arrangements including pricing and payment terms

7. Obligations of Parties: Specific responsibilities of each party

8. Intellectual Property Rights: Protection and usage of intellectual property

9. Confidentiality: Protection of confidential information and trade secrets

10. Liability and Indemnification: Limits of liability and indemnification obligations

11. Governing Law and Jurisdiction: Applicable law and jurisdiction for dispute resolution

What sections are optional to include in a Preferred Partner Agreement?

1. Exclusivity Provisions: Used when parties agree to exclusive arrangements in specific territories or markets

2. Marketing and Promotion: Include when parties agree to specific marketing obligations

3. Service Levels: Required when specific performance metrics are agreed

4. Change Control: Include for long-term partnerships requiring formal change processes

5. Data Protection: Include when personal data processing is involved in the partnership

6. Force Majeure: Include when parties want specific provisions for unforeseen circumstances

What schedules should be included in a Preferred Partner Agreement?

1. Commercial Terms Schedule: Detailed pricing, payment terms, and commercial arrangements

2. Service Level Agreement: Detailed performance metrics and measurement criteria

3. Territory Schedule: Definition of geographical scope if applicable

4. Brand Guidelines: Rules for use of parties' brands and marketing materials

5. Data Processing Agreement: Details of data processing activities and responsibilities

6. Product or Service Schedule: Detailed description of products or services covered under the agreement

Authors

Alex Denne

Head of Growth (Open Source Law) @ ��Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

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Free to use

Relevant legal definitions

Clauses

Relevant Industries

Technology
Manufacturing
Professional Services
Retail
Healthcare

Relevant Teams

Commercial
Procurement
Legal
Business Development
Finance

Relevant Roles

Chief Commercial Officer
Head of Procurement
Business Development Director
Commercial Director
Partnership Manager

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What is a Preferred Partner Agreement?

What sections should be included in a Preferred Partner Agreement?

What sections are optional to include in a Preferred Partner Agreement?

What schedules should be included in a Preferred Partner Agreement?

Authors

Alex Denne

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