Legal Question in Business Law in Rhode Island

Breach of Contract

I have a signed ''Distributorship Agreement'' where I am able to perform a business using the Parent companies name, logo and vendors.

In return I pay a 10% surcharge on all purchases I make for resale.

In the agreement it states that the Parent company has developed a website with catalogue and market basket for website sales.

The Parent company after 2 years has still not developed a website that has a catalogue of items or internet sales capability.

Is the Parent Company in breach of contract?

Do I have to continue to pay the surcharge fee?

Do I have grounds for a law suit to recoup the potentially lost revenues that the internet sales would have generated?

Do I have a case to be reimbursed for the cost of the business?

Thank you.


Asked on 6/21/06, 5:18 am

1 Answer from Attorneys

Staff General Counsel LawyersCollaborative

Re: Breach of Contract

ANSWER: Maybe.

In any case where there are questions relating to respective rights, obligations, and remedies under a contract, the first step must be to read every word of the contract.

I suggest you hire a good, experienced lawyer to review the contract, so he or she may give you an informed opinion. Money invested in advance to obtain sound advice is well spent, and often much less expensive than acting without consideration and planning.

Best wishes,

Scott Summer

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Answered on 6/21/06, 6:40 am


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