When a Supplier and a Downstream Channel Member Agree to Exclusive

question 18

True/False

When a supplier and a downstream channel member agree to exclusive distributorship and absolute confinement,a territory is considered airtight.

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Definitions:

Drawee

The entity, often a bank, on which a check or draft is drawn and is responsible for paying the amount specified.

Depositary Bank

A financial institution that holds and manages the securities of a depositor, facilitating the exchange of securities and related transactions.

Payor Bank

A bank that is responsible for paying a check or draft on behalf of its client.

UCC

Short for Uniform Commercial Code, a set of laws that provide legal rules and regulations governing commercial or business dealings and transactions in the United States.