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Authorization Letter From Manufacturer To Supplier for Malaysia

Authorization Letter From Manufacturer To Supplier Template for Malaysia

A Manufacturer's Authorization Letter is a formal document used in Malaysia that establishes an official relationship between a manufacturer and a supplier, granting the supplier specific rights to distribute, sell, or represent the manufacturer's products. The document complies with Malaysian commercial law, particularly the Contracts Act 1950 and Trade Descriptions Act 2011, and serves as official confirmation of the supplier's authority to act on behalf of the manufacturer within specified parameters. This document is crucial for establishing legitimate distribution channels and protecting both parties' interests while ensuring compliance with local trade regulations.

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What is a Authorization Letter From Manufacturer To Supplier?

The Authorization Letter From Manufacturer To Supplier is a critical business document used in the Malaysian market to establish legitimate distribution channels. This document is necessary when a manufacturer wishes to formally authorize a supplier to act as their official distributor, reseller, or representative in specified territories. It serves multiple purposes: confirming the authenticity of the business relationship, protecting against unauthorized distribution, meeting regulatory requirements, and providing clarity on the scope of authorization. The letter needs to comply with Malaysian commercial laws, including the Contracts Act 1950 and relevant trade regulations. It typically includes specific details about authorized products, territorial rights, duration of authorization, and any conditions or restrictions on the supplier's activities. This document is particularly important for customs clearance, government tenders, and establishing credibility with end customers.

What sections should be included in a Authorization Letter From Manufacturer To Supplier?

1. Letter Header: Company letterhead of the manufacturer, including full legal name, registration number, and complete address

2. Date and Reference: Current date and any reference number for tracking purposes

3. Recipient Details: Full legal name and address of the authorized supplier

4. Subject Line: Clear indication that this is a Manufacturer's Authorization Letter

5. Opening Statement: Formal introduction confirming the manufacturer's identity and authority to issue this authorization

6. Authorization Declaration: Clear statement of authorization granted to the supplier, including the supplier's full legal name and registration details

7. Scope of Authorization: Specific details of what the supplier is authorized to do (sell, distribute, market, etc.)

8. Duration of Authorization: Clear statement of the validity period of the authorization

9. Territory Coverage: Specific geographical areas where the authorization is valid

10. Manufacturer's Undertaking: Confirmation of product authenticity and quality assurance

11. Closing Statement: Standard closing confirming the letter's validity

12. Signatory Section: Space for authorized signatory's name, title, signature, and company stamp

What sections are optional to include in a Authorization Letter From Manufacturer To Supplier?

1. Quality Standards Commitment: Include when dealing with regulated products or industries with specific quality requirements

2. Warranty Statement: Include when the manufacturer wants to specify warranty terms that the supplier must honor

3. Non-Transfer Clause: Include when the authorization needs to be explicitly non-transferable

4. Termination Conditions: Include when specific conditions for termination need to be stated

5. Confidentiality Statement: Include when sensitive product or business information is involved

6. Compliance Requirements: Include when there are specific regulatory or industry compliance requirements

What schedules should be included in a Authorization Letter From Manufacturer To Supplier?

1. Product List: Detailed list of products covered under the authorization, including model numbers and specifications

2. Territory Map: Visual representation or detailed list of authorized geographical territories

3. Authorized Locations: List of specific locations/branches of the supplier authorized to sell/distribute products

4. Brand Guidelines: Guidelines for using manufacturer's trademarks and branding elements

5. Quality Certificates: Copies of relevant quality certifications and standards compliance documents

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

Jurisdiction

Malaysia

Publisher

Ƶ

Document Type

Letter of Authority

Sector

Banking

Cost

Free to use
Relevant legal definitions
























Clauses




















Industries

Contracts Act 1950: Fundamental law governing contractual relationships in Malaysia, essential for establishing the legal validity of the authorization letter and defining the rights and obligations between manufacturer and supplier

Trade Descriptions Act 2011: Ensures accurate representation of goods and prevents false trade descriptions, crucial for authorizing suppliers to represent manufacturer's products

Consumer Protection Act 1999: Protects consumer interests and sets standards for product quality and safety, relevant when authorizing suppliers to distribute products

Sale of Goods Act 1957: Governs the sale of goods and commercial transactions, important for defining terms of supply and distribution

Registration of Businesses Act 1956: Ensures both manufacturer and supplier are properly registered entities eligible to conduct business in Malaysia

Control of Supplies Act 1961: Regulates the distribution and supply of certain controlled goods, relevant if the products fall under controlled categories

Companies Act 2016: Governs corporate entities and their authority to enter into business relationships and agreements

Trademarks Act 2019: Protects manufacturer's trademarks and branding when authorizing suppliers to use them in the course of distribution

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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