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Business & Commercial Law FAQ - An aggressive competitor is selling the full range of products which fall under my distribution agreement?

Date: March 03, 2011

Q. My company holds the total distribution rights for a particular product in Australia. Very simply, I came across an aggressive competitor who is selling the full range of products which fall under my distribution agreement. Can you help me and what can I do?

A. Yes. Your rights to some extent will depend upon your distribution agreement with the manufacturer and if goods have been acquired overseas and imported into Australia in breach of your local distribution agreement then it may amount to parallel importing. If the goods in question are not manufactured by your overseas supplier but are copies or clones, then you need to implement a passing-off action to prevent this. Apart from these there may be other considerations which also need to be addressed.

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