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Authorized Agent Agreement for United Arab Emirates

Authorized Agent Agreement Template for United Arab Emirates

A comprehensive legal agreement governed by UAE law that establishes and regulates the relationship between a principal company and its authorized agent in the United Arab Emirates. The document complies with UAE Federal Law No. 18 of 1981 (Commercial Agency Law) and related regulations, detailing the appointment, rights, obligations, territorial scope, compensation structure, and termination provisions. It includes specific provisions required under UAE law, such as exclusivity considerations, registration requirements with the Ministry of Economy (if applicable), and dispute resolution mechanisms in accordance with UAE jurisdiction.

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Authorized Agent Agreement

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What is a Authorized Agent Agreement?

The Authorized Agent Agreement is a critical document for businesses seeking to establish or maintain a commercial presence in the United Arab Emirates through an authorized agent. This agreement is specifically structured to comply with UAE Federal Law No. 18 of 1981 (Commercial Agency Law) and related regulations, which provide strict requirements for commercial agency relationships. It is particularly important as registered commercial agencies in the UAE receive significant legal protection, and the relationship between principal and agent must be carefully documented. The agreement covers essential elements such as territorial rights, commission structures, performance obligations, and termination provisions, while ensuring compliance with local laws regarding agency registration, exclusivity, and dispute resolution. This document is crucial for foreign companies entering the UAE market and for UAE-based companies expanding their distribution networks through authorized agents.

What sections should be included in a Authorized Agent Agreement?

1. Parties: Identification of the Principal and Agent, including full legal names, addresses, and registration details as required by UAE law

2. Background: Context of the appointment, brief description of Principal's business, and purpose of the agency relationship

3. Definitions and Interpretation: Key terms used in the agreement, including Territory, Products/Services, and specific commercial terms

4. Appointment and Scope: Express appointment of agent, specification of exclusive/non-exclusive status, and territorial scope

5. Term and Renewal: Duration of the agreement, renewal conditions, and notice periods as per UAE Commercial Agency Law

6. Agent's Rights and Obligations: Detailed responsibilities, performance standards, and reporting requirements

7. Principal's Rights and Obligations: Support, training, and information to be provided to the Agent

8. Commission Structure: Payment terms, commission rates, calculation methods, and payment schedule

9. Intellectual Property Rights: Usage rights for Principal's trademarks, trade names, and other IP

10. Confidentiality: Protection of business secrets and confidential information

11. Termination: Grounds for termination, notice requirements, and consequences

12. Post-Termination Obligations: Responsibilities and restrictions after agreement ends

13. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for disputes

What sections are optional to include in a Authorized Agent Agreement?

1. Registration Requirements: Required if the agency agreement needs registration with the UAE Ministry of Economy

2. Performance Targets: Include when specific sales or performance metrics are required

3. Marketing and Promotion: When Agent has specific marketing responsibilities

4. Training Requirements: When specific training or certification is required for the Agent

5. Compliance with Laws: Detailed section on regulatory compliance when operating in regulated industries

6. Sub-Agents: Include if Agent is permitted to appoint sub-agents

7. Insurance Requirements: When specific insurance coverage is required

8. Data Protection: When handling personal or sensitive data is part of the agency services

9. Non-Competition: When restrictions on competing activities are required

10. Force Majeure: Detailed provisions for unforeseen circumstances affecting performance

What schedules should be included in a Authorized Agent Agreement?

1. Schedule 1 - Territory Definition: Detailed description of geographical areas covered by the agreement

2. Schedule 2 - Products/Services: Comprehensive list of products or services covered by the agency

3. Schedule 3 - Commission Rates: Detailed commission structure, including any variations by product/service

4. Schedule 4 - Performance Criteria: Specific targets, KPIs, and evaluation metrics

5. Schedule 5 - Operating Procedures: Detailed procedures for order processing, reporting, and communication

6. Appendix A - Required Forms: Standard forms for reporting, ordering, and other operational processes

7. Appendix B - Brand Guidelines: Guidelines for use of Principal's branding and marketing materials

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Document Type

Agency Agreement

Cost

Free to use
Relevant legal definitions

























Clauses
































Relevant Industries

Retail

Consumer Goods

Industrial Equipment

Technology

Automotive

Healthcare

Construction

Fashion and Luxury

Food and Beverage

Electronics

Telecommunications

Professional Services

Relevant Teams

Legal

Commercial Operations

Business Development

Sales

Compliance

International Operations

Distribution

Channel Management

Contract Administration

Corporate Affairs

Relevant Roles

Chief Executive Officer

Commercial Director

Business Development Manager

Legal Counsel

Compliance Officer

Sales Director

Channel Manager

Operations Manager

Contract Manager

Regional Director

Distribution Manager

Agency Relations Manager

General Counsel

Commercial Operations Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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