White label contracts and co-branding contract issues

"Cobranding, white labelling, portal, online distribution". The internet has generated new ways of doing business; companies are joining forces to offer customers seamless webs of products and services.

White label contracts can range from simple linking contracts to full cobrand integration. These cobranding contracts usually involve a "brander" or "portal" site which provides the "eyeballs" and a cobrand or white label partner which provides goods or services to the portal's customers via a website with the portal's look and feel. This is likely to involve revenue share with the portal. Often, if the portal is a serious player, it will require a guaranteed minimum commission in return for the privilege of access to the portal's customers.

Examples of white label contract issues

Here are examples of the issues which arise in white label contracts:

Exclusivity clauses

The co-brand partner is likely to require some degree of exclusivity especially if it is paying a minimum guaranteed commission.

Promotional obligations

The party providing the white label services will need clear and well defined promotional commitments by the portal partner where there is a minimum guarantee.

Data protection

The parties must ensure that the co-brand contract properly provides for use / transfer of personal data for marketing purposes in light of the legal regime for privacy / data protection.

Branding

If there is to be a cobrand site, the parties will need to be clear how this is going to work including: how it will look, which parts the portal partner is allowed to provide, who gains the co-brand traffic for the purpose of Comscore / Media Metrix web audience stats etc.

How Adlex Solicitors can you help you with your white label agreements ...

... for a free initial chat and more information, contact web lawyer Adam Taylor on +44 (0) 207 317 8404 or email.

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