Professional Salon Contract

Professional Stylist Resource, dba State Beauty Supply (“Distributor”) distributes and sells high quality lines of hair care, skin care, cosmetic, lip and nail, and bath accessories(“professional beauty products”). The professional beauty products are designed and intended for sale only in professional salons. Distributor is contractually obligated to the manufacturers from whom Distributor purchases professional beauty products to sell those products only to professional salons for use in those salons or for resale to salon clients. The undersignedsalon (“Salon”) wishes to purchase professional beauty products from Distributor and Distributor is willing to sell those professional beauty products to Salon provided that Salon agrees to the terms and conditions set further herein.

NOW THEREFORE, Distributor and Salon agree as follows:

1. All professional beauty products purchased by Salon from Distributor (a) will be used by Salon on its premises in connection with providing services to Salon customers, or (b) in the case of retail products designed for home use, will be sold only on the salon’s premises to legitimate Salon clients in such reasonable quantities as those clients may purchase for personal home maintenance use. Salon will not resell professional beauty products in bulk, nor resell professional beauty products to any diverter or redistributors of products (“collector”).

2. All professional use only beauty products, including hair coloring products, permanent waves, and other products labeled “For professional use only”, “Not for resale” or with similar languages, shall not be sold by Salon to anyone under any circumstances, but may be used only by Salon on its premises in connection with providing services to Salon customers.

3. Salon will not remove, obliterate, or tamper with the batch codes, tracking codes, serial number or other codes applied to any professional beauty products. In the event the distributor codes professional beauty products that are sold to Salon, Salon will not remove, obliterate, or tamper with said codes.

4. Salon will not resell products by use of the internet, catalog sales or other methods of distance selling. This provision does not restrict Salon from using the Internet to advertise professional services.

5. Salon acknowledges that the diversion of professional beauty products to non-salon locations seriously damages the reputation of the manufacturer of the professional beauty products involved with consumers products, and may cause confusion as to the manufacturer’s and Distributor’s approval of the sale of professional beauty products through non-salon locations. Salon also acknowledges that diversion disrupts the business relations between the manufacturers of professional beauty products, legitimate Salons and their distributors, and costs manufacturers and distributors of professional beauty productshundreds of thousands of dollars every year to police and repurchase diverted products. Accordingly, Salon agrees that, if it violates this contract, Distributor or manufacturer(s) of the professional beauty product involved shall be entitled to obtain an injunction in any court of competent jurisdiction against Salon prohibiting such violation, and that Salon will pay to Distributor or the manufacturer(s) of the professional beauty product involved in damages a sum equal to the full retail price normally charged by Salon for any of the professional beauty products sold to Salon that are resold by Salon in violation of this agreement, and that Salon will further pay as damages whatever costs are incurred by Distributor or the manufacturer(s) of the professional beauty product involved to recover any such diverted product.

6. Salon will take appropriate steps to ensure that all of its employees are made aware of this contract, and that they comply with it.

7. The parties understand and acknowledge that this agreement applies to all lines of professional beauty products which salon currently purchases from Distributor and/or which Salon may purchase from Distributor in the future.

  1. The provisions of this contract are specifically intended to benefit Salon, Distributor, and the manufacturer(s) of the professional beauty products distributed by Distributors, and any one of them may bring an action to enforce the provisions of this contract. The parties acknowledge that this agreement does not create a franchise between any party hereto. Either Salon or Distributor may terminate this agreement with respect to future purchases immediately upon notice. In the event of termination of this agreement, Salon waves any claim for damages and Distributor shall have right to repurchase any products sold to Salon by Distributor, at Salon’s cost. In the event a dispute arises between Distributor and/or the manufacturer from whom the Distributor distributes professional beauty products and Salon, the parties consent to jurisdiction in the state in which either the Distributor or manufacturer is located.

Acknowledged and Agreed to:

Distributor:______Salon:______

By:______Name:______

Title:______Date:______

Date:______