Legal Question in Business Law in Michigan

Purchasing Agency

My company operates as an agent for customers looking to sell or buy used office furniture in the secondary market.

I have bee approached by a major office furniture manufacturer we do business with, to consider entering into an agreement with them that would have us function as a purchasing agent for new competitive manufacturer office furniture for several of their service contract customers where they provide all furniture related services to this customer.

The situation is their services contract calls for them to facilitate the purchase of competitive manufacturers new furniture products as well as used furniture products.

As furniture manufacturers (or their respective dealers), will not sell directly to competitive manufactures (or their dealers) to support the furniture requirements of a specific customer. I am being asked to consider acting as the purchasing agent arm in this arrangement for new furniture along with used.

I need to consider what that agreement would look like to determine my liability and the specifics of responsibility as well as how to position with the competitive manufactures.

Can you advise on what agreement form or format I should be looking at as my foundation.


Asked on 2/15/07, 11:46 am

1 Answer from Attorneys

Patrick Tracy Patrick J. Tracy, Esq, P.E.,

Re: Purchasing Agency

I believe that this is a significant enough matter that you should hire a commercial attorney or law firm to prepare this agreement. It could tend to be complicated especially with regard to the applicability of the UCC.

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Answered on 2/15/07, 12:02 pm


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