Exhibit
10.38
INTERNATIONAL
SALES REPRESENTATION
AGREEMENT
1. Challenger
Powerboats, Inc. (hereinafter referred to as “we”)
hereby designates and appoints, NAUTIQUE INTERNATIONAL, INC.
(hereinafter referred to as “you”) as our sole
and exclusive sales representative for the export and sale of all
products from time to time manufactured or dealt in by us
(hereinafter referred to as “our line”) upon the
following terms and conditions.
2. You shall have the
sole and exclusive right to sell and market our line exclusively
for export inclusive of Canada, but excludes the Caribbean and
Bahamas, for those products carried in the High Performance Series
and the Family Performance Series (see Exhibit A). This right
shall include the sole and exclusive right to sell our line in all
instances in which any of the products in our line are destined for
shipment, use or service in the territory.
3. You shall give our
line the full benefit of your sales organization and aggressively
promote the sale of our line, taking into consideration import and
export restrictions, exchange controls and varying political
relations between the United States and any particular foreign
government.
4. On all orders placed
with us by you, we shall invoice direct to the customer our price
list as agreed upon by us a six (6) percent (%) sales
commission which will be granted to you on the FOB Factory value,
payable upon our receipt of payment. It is understood that
our prices are revised by us from time to time to meet competitive
conditions. We shall give you at least sixty (60) days
written notice in advance of any such change in our
price.
5. Our terms of sale
will be as mutually agreed upon per customer and all orders will be
promptly delivered.
6. You will pay all of
your operating
