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The narrator discusses key elements to consider when creating a distribution agreement. It emphasizes the importance of clearly identifying the products to be distributed, ensuring that both parties have a mutual understanding of the goods involved. This clarity is crucial, especially if exclusive distribution rights (e.g., in a specific region like Australia) are granted, as it prevents future disputes over distribution rights. The agreement should explicitly outline which products the distributor has the exclusive right to distribute, thus ensuring all parties are aware of the terms agreed upon.
