Manufacturers have business law issues similar to other industries, such as compliance and and IP protection. But manufacturing companies also have product liability issues with which to contend. Employee safety policies and OSHA regulations are also concerns for manufacturers, and having good legal counsel can make all the difference in the ease of operation and profitability of your business.
When you outsource some of your manufacturing to other vendors, you need a toll manufacturing agreement to ensure that the third-party is following your processes without improperly using those processes for their own benefit . Without a well-crafted toll manufacturing agreement, your business can be vulnerable to unscrupulous toll manufacturers who might use or sell your proprietary information by either disclosing them to competitors or becoming a competitor themselves. H.A. Phillips Law has experience in manufacturing and business to help you navigate the pitfalls of working with toll manufacturers. Contact us to discuss your toll manufacturing contract needs.
When qualifying new vendor partners, you must disclose certain proprietary information about your business to obtain a reliable quote. We can draft a nondisclosure agreement that will protect your proprietary information and processes from being shared with unwanted parties.
Distribution agreements must be very explicit as to where and how the distributor will market your product, and how much of their resources will be dedicated to your product’s distribution. Distribution agreements also cover whether it’s an exclusive arrangement and should give you termination rights should the agreement become unfavorable to your company.
We can help you work out contractual agreements with distributors to make sure your product gets delivered through the proper channels to reach your end users. We have deep experience with industrial and manufacturing clients as our managing partner is a chemical engineer with more than seventeen years of experience in manufacturing. Trust us to put your manufacturing company’s best interests first.
PRODUCT PURCHASE AGREEMENTS (PPAs)
No one intentionally manufactures a defective product. But a manufacturer cannot always foresee how end users will utilize their product for unintended purposes. A product purchase agreement can mitigate some of your liability with wholesalers and retailers. No one has a crystal ball to see the future of your product as it interacts with the public, so having a strong PPA in place will limit that risk. Contact Us to discuss your specific product and the product purchase agreement you would like us to draft.
EQUIPMENT LEASE AGREEMENTS
When you lease manufacturing equipment to produce your product, you will be asked to sign the manufacturer’s standard lease agreement. Before you do, let us review the contract and assist in the negotiations, so your interests are properly represented. Under a standard manufacturer’s lease, you could end up with equipment that does not perform to the standards you require, and then you could be stuck with an unusable lease. We can help you review and negotiate your lease to include metrics that ensure you get your desired ROI from the equipment you’re leasing.
With our deep experience in manufacturing and business law, H.A. Phillips Law is uniquely positioned to bring value to your manufacturing business. Contact us to discuss your manufacturing business needs.
“The level of service and the honesty that comes with Heath doesn’t exist anymore in other law practices. For example, during a litigation process, Heath told us that the legal fees involved would not be worth the outcome. Instead of letting us rack up legal bills, he advised us to walk away and save ourselves a lot of money. What lawyer gives up an opportunity to bill clients? Heath is an honest attorney.”
Kenny Lombardi, Vice President, Center Land Properties