DEALER AGREEMENT

DEALER AGREEMENT

This DEALER AGREEMENT (‘’this Agreement’’) is entered into between [NAME] of address [ADDRESS] (“Company”) and [NAME] of address [ADDRESS] (“dealer”) on [DATE].

NOW, THEREFORE, in consideration of the premises, and of the mutual promises and undertakings herein contained, the parties, intending to be legally bound, do agree as follows:

  • RESPONSIBILITIES OF THE DEALER
  1. The Dealer has decided to offer its own program of limited warranties, debt cancelation, extended service agreements and or other ancillary products in connection with the sale of new and or used vehicles and wants the Company to administer such programs.
  2. The price of each Agreement sold to a consumer is determined by the Dealer and the Dealer will fully disclose prices to Company.  Dealer will not modify or alter the terms of the Agreements or Forms supplied by the Company.
  3. Services to be provided under this agreement are contractual obligations and  will be performed by and paid for by the Dealer unless otherwise stated. 
  4. The dealer will remit to the Company by the 10th of each month the appropriate fees, set forth in Exhibit 1, for each agreement issued by Dealer in the preceding month.  Contracts and remittances must be received by the Company no later than 30 days from original sale date.  
  5. In the event where the dealer ceases to operate the business from which it is offering Agreements, the dealer will notify the Company in writing at least thirty (30) days prior to such event. The dealer will make adequate provisions, whether through assumption by a successor business or otherwise, for the performance of dealer’s obligations under its outstanding Agreements and this Agreement. 
  6. The dealer agrees to make effort so as to ensure fairness and promote integrity in this transaction with the company by adhering to the guidelines set forth in this agreement.
  7. Refunds: Dealer will utilize online portal to determine refund amounts and processing cancelations online.  Dealer agrees to provide refunds to Contract Holders as stated in the Contract/Agreement provided to Consumer.  Company will reimburse Dealer for net rate remitted to Company and the cancelation outlined in the canceled contract.  The Company is entitled to entire cancelation or transfer fee outlined in contract, if provided for in contract.
  8. Dealer has no authority to alter or modify the Company’s administered program or the contract. The Company may examine, during the term of this agreement and for one (1) year after the expiration of any contract issued pursuant hereto, at all reasonable times at the office of the dealer, the books, records, cost of parts, labor involved, and any and all such other information of the dealer pertaining to the rendering of covered repairs and the program hereunder. 
  9. In the event of any threat of a lawsuit in regards to the program in this contract, the dealer shall inform the company immediately via mail on the issue. 
  10. If Dealer transfers funds to any entity to finance or secure the performance of the Dealer’s obligations under the agreements, the Dealer will fully disclose details of arrangement with the Company.
  11. Dealer agrees to use procedures outlined in Exhibit 2, Claims Procedures, to process claims for agreements.

  • RESPONSIBILITIES OF THE COMPANY
  • The Company shall authorize the dealer to provide the Company’s contracts to the dealer’s customers in accordance with the Company’s terms. Under no circumstance shall the company bear any responsibility for the performance of the duties of the dealer 
  • The Company will charge a software fee for administration services and all other fees for agreements will be passed through and disclosed in detail in Exhibit 1, Payment Schedule.  The Company will continue to offer administration services as long as agreement is active and software fee is paid by Dealer as agreed. 
  1.  The Company shall administer agreements that have been completed without any modifications of the terms whatsoever. The appropriate administrative fee should be paid to Company by the 10th of the month for preceding months agreements issued by the dealer and not later than 30 days of the date the Agreement was signed by the holder. 
  2. Neither Company nor insurance carrier will have any obligation to the dealer or the contract holder in respect to any contract until the dealer shall have timely remitted to Company the full amount of the dealer cost as provided in this agreement. 
  3. In the event remittance funds are insufficient to satisfy the required dealer cost of any or a combination of contracts, the Company reserves the right to withhold moneys owed to the dealer as payment for such obligations.
  4. The Company shall reimburse the Dealer for covered repairs based on retail labor rate and flat rate manual outlined in Exhibit 2, Claims Procedures and dealer’s retail cost of replacement parts like kind and quality. Retail cost shall be manufacturer’s suggested list price.  However, if Dealer’s loss ratio is above 100% the Company at its sole discretion can modify claims reimbursement to 135% of actual cost.  Claims occurring within the first 30 days of an agreement’s effective date shall be reimbursed at 75% of amount determined above.  The Company is required to give Dealer 15 Days notice of such change.
  5. Claims not submitted to the company within 60 days from the day of repair shall not be paid by the Company or insurance carrier. Further, neither the Company nor the carrier shall be liable for such claims.
  6. The Company has the right to review the program, its rules and regulations. The dealer shall conform to any changes made upon being given sufficient notice of 30 days.
  7. The Company reserves the right to investigate suspected fraud, and may refer cases to proper authorities, or take other adverse action towards propagators, including, but not limited to, modification of reserve requirement, suspension of authority to offer contracts, or termination of agreement

  • PAYMENT SCHEDULE

The payment schedule shall be contained in exhibit 1(EXH 1) titled Payment Schedule affixed to this agreement.

  • AMENDMENTS

This Agreement may be modified or amended under the condition that any such amendment is attached and authorized by the Parties.

  • SEVERABILITY

This Agreement shall remain in effect under the circumstance a section or provision is unenforceable or invalid. All remaining sections and provisions shall be deemed legally binding unless a court rules that any such provision or section is invalid or unenforceable, thus, limiting the effect of another provision or section. In such case, the affected provision or section shall be enforced as so limited.

  • TERMINATION
  • This agreement shall be effective on the date first written above and shall continue in force until terminated by either party giving to the other not less than thirty (30) days prior written notice of such termination.
  • Termination of this agreement shall not affect the responsibilities of either party on contracts issued prior to the effective date of termination. This agreement shall be automatically reviewed and considered for termination by the company. 
  • INDEMNITY

Dealer agrees to indemnify and hold harmless the Company and company related entities and each of their employees, officers and directors against any and all losses, claims, damages, liabilities and expenses (including reasonable attorneys’ fees) arising out of or based on dealer’s failure or alleged failure to comply with its obligations under the Agreements. If any action or claim shall be brought or asserted against Company and/or a related entity with respect to the Agreements, dealer shall assume the defense thereof, including the employment of counsel and payment of expenses.

  • NOTICES

All notices pertaining to this agreement must be in writing and transmitted through the United States Postal Service, postage prepaid to the addressee set forth by the respective party.

  • GOVERNING LAWS

This Agreement shall be governed under the laws in the State of TEXAS.

  • DISPUTES

In the event of any disputes between the parties, the parties shall use arbitration as a way of solving the disputes

  • ENTIRE AGREEMENT

This Agreement, along with any attachments or addendums, represents the entire agreement between the parties.

In Witness Whereof, this Agreement is duly executed by the duly authorized representatives of the parties as set forth below:

___________________________________ ___________________________

Dealer’s Signature Date

___________________________________ ___________________________

Company Official Signature Date

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