Sales Agency Agreement
Exhibit 10.6
Contracting Parties
Supplier (hereinafter "party A"): Dalian Wande Electronics Co., Ltd.
Agent (hereinafter called "party B"): Beijing DeHaier Medical Technology Co., Ltd.
I General
I.
|
Beijing DeHaier to act as JMS's product distributor for two years authorized by Party A which is the Gerneral Agent in China of JMS. The authorized products are: JMS Syringe pump & Infusion pump.
|
2.
|
According to different limits of authority, distributors can be divided as general distributors and exclusive distributors.
|
|
a.
|
General distributor: Party A authorizes Party B to distribute certain type or certain range of products from Party A in certain area, while this does not rule out the possibility that Party A authorize other distributors to distribute that type or range of products in that area.
|
|
b.
|
Exclusive distributor: Party A authorizes Party B to exclusively distribute certain type or certain range of products from Party A in certain area, while Party A will not authorize other distributor to distribute that type or range of products in that area, however, Party B has to order in time and accomplish certain amount of sales volume within certain period of time.
|
3.
|
Both Party A and Party B will not bear any legal liabilities caused by commercial activities, legal activities and operating loss of each other.
|
4.
|
Party B has the right and obligation to evaluate operations of Party A (including distribution, market and commercial activities) and give suggestions. Party A should reply in time and modify its defects and limitations.
|
5.
|
Party B should acquire necessary legal documents for distributing the products and provide a copy of corporate business license, tax registration certificate and registration certificate for medical devices with official seal. Party B should ensure the authenticity of the documents and go through yearly check in time. If there is any problem with the qualification of Party B, Party B should bear the loss or effect on Party A. If there is any change of above items, Party B should provided Party A in written form in time and provide new certificate.
|
6.
|
Both Party A and Party B should follow the rules in this agreement and supervise each other with the aim of better fulfilling of the agreement.
|
II Validity of Party B's dealership
Validity of this agreement is from November 1st, 2010 to November 1, 2012.
III Distributing Area:
Mainland of China.
IV Type of dealership
Party A authorizes Party B as its product distributor, thus Party B should explain to its customers while selling products from Party A, otherwise Party B should bear the legal liabilities. Party A will take the "order confirmation sheet" as the basis of delivery. If there is any difference between this agreement and the "order confirmation sheet", please subject to the -order confirmation sheet".
V Business indicators and settlement price of Party B
1.
|
Business indicator means the committed ordered quantity or sales volume of Party B in certain period of time.
|
2.
|
The committed ordered quantity of Party B within the validity of its dealership in above mentioned area is 100 sets.
|
3.
|
Only after Party A receives 100% payment from Party B, the ordered quantity or sales volume will be taken as Party B's sales performance.
|
VI Price System
Party B should strictly follow the price rules listed below, otherwise Party B should be considered defaulting and bear related responsibility. For the first time, Party A will inform Party B in written form, while for the second time, Party A will charge Party B RMB5,000 for defaulting. Party B's qualification of dealership will be deprived in the third time.
1.
|
If the price of the product changed within the validity of Party B's dealership, Party A should inform Party B 10 days in advance in written form.
|
2.
|
Party B should not break the price system of Party A. If Party B needs to lower the price, it should apply to Party A in written form.
|
3.
|
Party A has the righting of pricing. Both Party A and Party B should take pricing information as commercial secretes.
|
4.
|
Prices of the products distributes by Party B including: settlement price, minimum distribution price, minimum retailing price, guide price and public quoted price.
|
VII Term of Payment
Party A can accept the payment by T/T, check or cash before Party A delivery.
VIII Installation, Check and Maintenance of Products
1.
|
Within 3 days after Party B received products mentioned in this agreement, engineers with Party A will be responsible for production installation and on-site guidance.
|
2.
|
Warranty period of the products is one year, while life-long maintenance will be chargeable.
|
3.
|
After sale service will be responsible by Party A.
|
IX Obligations and Responsibilities of Party A and Party B
A. Obligations and Responsibilities of Party A
1.
|
Provide products brochure;
|
2.
|
Provide support to Party B during the ordinary sales, including human resource, information, etc.,
|
3.
|
Keep Party B with the latest products information and sales policies;
|
4.
|
Products training and market support;
|
B. Obligations and Responsibilities of Party B
1.
|
During the term of this agreement, Party B can not sell competitive products;
|
2.
|
Do not disclose the content of this agreement;
|
3.
|
Report to Party A about the market dynamic of competitors;
|
4.
|
Can not sell products across district without written permission of Party A;
|
5.
|
Provide full customers information;
|
6.
|
Can not do any hostile completive sales activities;
|
7.
|
Report to Party A the biding information in Party B's district.
|
8.
|
If the customer need to investigate the situation of the products, Party B should notice Party A in advance for arrangement.
|
X Market Support and Products Training
A. Market Support
I.
|
This support is for the exhibitions, promotion events and academic meetings in the sales area belongs to Party B.
|
2.
|
Party B will pay their own fees if Party B decide to join the above said events. Party A can decide whether provide product models for Party B according to the market requirement and Party B should pay the logistic fee.
|
3.
|
If Party B need Party A to provide technical support, all the related fees belong to Party A.
|
B. Products Training
1.
|
The training is Party A's responsibility.
|
2.
|
The products training will be divided into 4 parts and will be finished in 4 months.
|
3.
|
Before the due date, if Party B requires more training content and times, they must provide written applications.
|
C. Duties and Responsibilities of the Party A
1.
|
Marketing Dept: response to the products exhibitions and trainings;
|
2.
|
District Managers: Manage and coordinate the distributors in the same district, responsible for the training of sales skill;
|
3.
|
Offices: Coordinate the ordinary sales of Party B and supervise the sales volume promised by Party B. Provide materials and technical support to the sales of Party B and provide the initial products training.
|
4.
|
Party B can provide advice to Party A and ask for assistance.
|
Xl Others
1
|
There are attachments to this agreement for the above items.
|
2
|
These attachments is a part of this agreement and have the same legal validation.
|
3
|
Each of party A and party B holds one copy of this agreement which will be validated after been signed and stamped.
|
Party A’s signature: /s/ Xxxx Xxxx Ping
|
Party B’s signature: /s/ Xxxx Xxxx
|
Date: November 1, 2010
|