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Commission Split Agreement Template for United Arab Emirates

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Key Requirements PROMPT example:

Commission Split Agreement

"I need a Commission Split Agreement for my Dubai-based real estate agency to establish a 60-40 commission sharing arrangement with independent property consultants, including quarterly performance targets and specific provisions for international property sales."

Document background
The Commission Split Agreement is essential for businesses operating in the UAE where multiple parties collaborate in revenue-generating activities and share the resulting commissions. This document is commonly used in real estate transactions, financial services, sales partnerships, and agency relationships where commission-based compensation is standard practice. The agreement must comply with UAE Federal Law No. 5 of 1985 (Civil Code) and Federal Law No. 18 of 1993 (Commercial Code), particularly regarding commercial transactions and financial obligations. It typically includes detailed provisions for commission calculations, payment terms, party obligations, and dispute resolution mechanisms, all structured within the UAE legal framework. The agreement is crucial for establishing clear financial terms and preventing potential disputes between parties involved in commission-based business arrangements.
Suggested Sections

1. Parties: Identification and details of all parties involved in the commission split arrangement

2. Background: Context of the agreement and business relationship between the parties

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Agreement: Details of the business activities covered under the commission split arrangement

5. Commission Structure: Framework for how commissions will be calculated and split between parties

6. Payment Terms: Timing, method, and currency of commission payments

7. Obligations of Parties: Specific duties and responsibilities of each party

8. Records and Reporting: Requirements for maintaining commission records and reporting between parties

9. Term and Termination: Duration of the agreement and conditions for termination

10. Confidentiality: Protection of confidential information shared between parties

11. Governing Law and Jurisdiction: Specification of UAE law application and jurisdiction for disputes

12. General Provisions: Standard contract clauses including notices, amendments, and entire agreement

Optional Sections

1. Non-Compete: Restrictions on competitive activities, to be included when parties operate in the same industry

2. Intellectual Property: IP rights and usage terms, necessary when the commission arrangement involves branded products or services

3. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in long-term arrangements

4. Insurance: Insurance requirements, important when the business activities involve significant risks

5. Compliance with Laws: Specific regulatory compliance obligations, necessary for regulated industries

6. Data Protection: Data handling and privacy requirements, essential when personal data is processed

7. Training and Support: Terms for providing training or support, relevant for complex product/service arrangements

Suggested Schedules

1. Commission Rates Schedule: Detailed breakdown of commission percentages and calculation methods

2. Products and Services: List of specific products or services covered by the commission arrangement

3. Territory Definition: Geographic areas or market segments covered by the agreement

4. Performance Targets: Specific sales or performance goals affecting commission rates

5. Reporting Template: Standard format for periodic commission reports and calculations

6. Bank Account Details: Banking information for commission payments

7. Authorized Representatives: List of designated contacts for each party

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

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Relevant Industries

Real Estate

Financial Services

Insurance

Retail

Wholesale Distribution

Professional Services

Technology Sales

Telecommunications

Automotive

Marketing and Advertising

Manufacturing

Import/Export

Relevant Teams

Sales

Business Development

Legal

Finance

Compliance

Operations

Partner Relations

Commercial Operations

Revenue Management

Account Management

Relevant Roles

Sales Director

Business Development Manager

Real Estate Broker

Financial Advisor

Sales Agent

Channel Partner Manager

Commercial Director

Chief Revenue Officer

Partnership Manager

Commission Administrator

Legal Counsel

Compliance Officer

Finance Manager

Account Executive

Regional Sales 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,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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