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Finders Fee Agreement Template for United Arab Emirates

A comprehensive legal agreement governed by UAE law that establishes the terms and conditions under which a finder or intermediary will be compensated for successfully introducing business opportunities, potential clients, or strategic partners to the principal company. The document outlines the scope of services, payment terms, and compliance requirements with UAE commercial laws, including relevant provisions from the UAE Civil Code and Commercial Code. It includes specific provisions for payment triggers, calculation methodologies, and necessary compliance with local agency and financial regulations while ensuring alignment with UAE business practices and legal requirements.

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What is a Finders Fee Agreement?

The Finder's Fee Agreement is a crucial document used in the UAE business environment when companies seek to formalize arrangements with intermediaries who facilitate valuable business connections or opportunities. This agreement type is particularly relevant in the UAE's dynamic business landscape, where networking and business introductions play a vital role in commercial success. The document addresses key aspects required under UAE law, including clear definition of services, compensation structures, and compliance with local commercial agency regulations. It's designed to protect both the principal company and the finder while ensuring transparency in business relationships. The agreement includes specific provisions required by UAE legislation regarding payment terms, dispute resolution, and applicable governing law, making it distinct from similar agreements in other jurisdictions.

What sections should be included in a Finders Fee Agreement?

1. Parties: Identification of the principal and the finder, including full legal names, addresses, and registration details

2. Background: Context of the agreement and brief description of the business relationship

3. Definitions: Key terms used throughout the agreement, including 'Successful Introduction', 'Target Business', and 'Finder's Fee'

4. Scope of Services: Detailed description of the finder's role, responsibilities, and permitted activities

5. Fee Structure: Clear outline of the finder's fee calculation method, payment triggers, and payment terms

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

7. Term and Termination: Duration of the agreement and circumstances under which it can be terminated

8. Confidentiality: Obligations regarding confidential information and trade secrets

9. Non-Circumvention: Provisions preventing direct dealings that bypass the finder

10. Representations and Warranties: Basic promises and guarantees made by each party

11. Compliance with Laws: Commitment to comply with UAE laws, including commercial agency and AML regulations

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

What sections are optional to include in a Finders Fee Agreement?

1. Exclusivity: Used when the finder is granted exclusive rights for specific targets or territories

2. Non-Solicitation: Include when parties wish to prevent poaching of employees or clients

3. Force Majeure: Added for protection against unforeseen circumstances preventing performance

4. Assignment: Include if rights under the agreement may need to be transferable

5. Limitation of Liability: Added when parties want to cap potential damages

6. Insurance: Include when finder is required to maintain specific insurance coverage

7. Shariah Compliance: Added when parties specifically require compliance with Islamic finance principles

8. Multiple Introductions: Used when addressing scenarios of multiple finders introducing the same opportunity

What schedules should be included in a Finders Fee Agreement?

1. Schedule 1 - Target Business Profile: Detailed criteria and characteristics of businesses or opportunities being sought

2. Schedule 2 - Fee Calculation Examples: Practical examples showing how fees will be calculated in different scenarios

3. Schedule 3 - Excluded Opportunities: List of pre-existing relationships or opportunities excluded from the agreement

4. Schedule 4 - Reporting Requirements: Format and frequency of progress reports required from the finder

5. Appendix A - Introduction Protocol: Formal process to be followed when making introductions

6. Appendix B - Required Documentation: List of documents required to verify successful introductions and trigger payments

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

Document Type

Fee Agreement

Cost

Free to use

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