The following is not meant to be legal advice.
Exclusivity clauses are alright when it is the other party requesting exclusivity. For instance, a party cannot enter into substantially the same relationship with a competitor or offer substantially similar titles or products from a competitor. There is no need to list the competitors when a company’s market share is not large enough. This is when the company is in a new industry. There is low risk that there is an antitrust concern when the agreement has an exclusivity or non-compete clause.
On the other hand, exclusive requirements on one’s own company should go through management approvals. For instance, a distributor may ask for exclusivity. Under exclusive distributor agreements, the distributor may be entitled to a certain allocation of revenue for the deals in its territory. If the distributor does not get an exclusive relationship, the finance terms of the agreement may need to change in order to merit the revenue allocation method.
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