Contract Dispute Between a Medical Device Company in Fujian and Its Distributor
Case Summary
The plaintiff, a medical device manufacturer based in Fujian, entered into an "Exclusive Agency Agreement" with the defendant, a trading company in Xiamen. The agreement authorized the defendant as the exclusive agent for selling and promoting the plaintiff's medical devices within the Xiamen region and explicitly prohibited cross-regional sales (channel violations). During its operation, the defendant sold significant volumes of products to unauthorized areas such as Quanzhou and Zhangzhou, disrupting the plaintiff's national pricing structure and triggering multiple complaints from other regional agents. The plaintiff filed a lawsuit seeking contract termination, payment of liquidated damages by the defendant, and compensation for losses to market order.
Key Dispute
Case Strategy
Processing Result
The court ruled to terminate the "Exclusive Agency Contract" signed by both parties, revoked the defendant's exclusive agency qualification in the Xiamen region, and ordered the defendant to pay a penalty of 50 ten thousand yuan and compensate for market order losses of 20 ten thousand yuan, totaling 70 ten thousand yuan. The defendant shall bear all litigation costs for this case.
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