11 Dec 06
25 Dec 06 12:11 am
A factor to consider in this is if the product fails to perform, what is your liability as sole distributor. If the manufacturuer carries a warranty, you need to include a caviat emptor notice that directs all claims and onus to the manufacturer.
If the manufacturer is sued and can't pay all the damages you can be dragged in, in which case you need a limited liability company to limit the amout they can claim off you.
It depends on your product and the risk of harm (loss of trade etc) it can cause, the consumer and trade laws of your state and the standing of your supplier.