When key products draw a fine line between strategy and conflict
In the HORECA distribution world, some products change everything. We’re talking about key products—high-turnover items, easily recognized by consumers, that can make the difference between winning or losing a client.
These products help you:
✅ Break into new accounts with an irresistible offer
✅ Protect your existing clients from competitor distributors
✅ Offer a complete service to clients who already buy almost everything from you… except that one product they find cheaper elsewhere
the problem: exclusivity that ties your hands 🚧
Many distributors sign exclusive agreements with brands that later become a trap:
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The manufacturer itself leaks the product through unofficial channels and breaks the price
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That same product shows up on platforms like RED PARALELA at lower prices
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If you buy it elsewhere to protect your margin, the brand may accuse you of breaching the contract
is it legal for an exclusive deal to make you lose money? ⚖️
Spain’s Competition Authority (CNMC) and the courts have said it clearly: exclusivity is only valid if it actually benefits the market, not if it restricts it.
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Spanish Competition Law (art. 1): bans agreements that limit or distort competition (like forcing you to buy expensive while others sell cheap)
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EU Regulation 2022/720 (art. 4): if market share exceeds 30%, blocking sales outside your territory is no longer allowed
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Spanish Civil Code (art. 1255): contracts are valid only if they don’t violate the law or public interest
Plain English: if a brand forces you to buy high and at the same time floods the market with lower prices, that clause is likely invalid—or at least renegotiable.
real cases where courts sided with the distributor 📜
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STS 317/2017 (Spain’s Supreme Court): the supplier ended deliveries without fair notice; the court granted compensation and forced them to buy back unsold stock
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STS 305/2007: the manufacturer sold through cheaper, parallel channels; the court ruled in favor of the distributor for lost profits and client base
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CNMC resolution, 6 Feb 2020 (Case S/DC/0630/18): Adidas was forced to remove restrictions that blocked online sales outside the official store
client base compensation: money to cover the value of customers you generated for the brand.
what can you do as a distributor? 🧠
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Review your contracts: watch for clauses that restrict you without real benefit
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Document leaks: take screenshots, save unofficial offers, collect proof
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Track prices: alternative prices can help you show the harm
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Negotiate with facts: share the legal precedents and possible risks with the brand
And if you need access to key products without breaking your structure, RED PARALELA offers you a secure and confidential way to do it—backed by legal support.
conclusion: strategy, not submission 🎯
An exclusive agreement should not become a prison.
A brand that plays in multiple markets can’t demand blind loyalty.
Protect your margins, your client base, and your reputation—with the tools and legal backing already in your corner.
If this situation sounds familiar or you want to discuss your case, get in touch. We’re here to help.