The Commission Partnership Agreement is essential for businesses and individuals entering into collaborative arrangements in Hong Kong where revenue sharing through commissions forms the basis of the partnership. This document is particularly relevant when parties wish to formalize their business relationship while maintaining independence and sharing revenues based on performance. The agreement addresses key aspects required under Hong Kong law, including partnership structure, commission calculations, payment terms, partner obligations, and operational procedures. It provides necessary legal protection while ensuring compliance with Hong Kong's Partnership Ordinance and related commercial laws. The document is commonly used in various scenarios, from sales agency relationships to distribution partnerships, and can be customized to accommodate specific industry requirements while maintaining its core commission-based partnership framework.
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1. Parties: Identifies and provides full details of all parties entering into the partnership agreement
2. Background: Explains the context and purpose of the partnership and commission arrangement
3. Definitions: Defines key terms used throughout the agreement
4. Partnership Structure: Outlines the nature of the partnership relationship and roles of partners
5. Commission Structure: Details the commission calculation methodology, rates, and payment terms
6. Rights and Obligations: Specifies the rights and duties of each partner in the commission-based partnership
7. Financial Arrangements: Covers capital contributions, profit sharing, losses, and accounting procedures
8. Operations: Describes day-to-day management and decision-making processes
9. Term and Termination: Specifies duration of the agreement and conditions for termination
10. Confidentiality: Establishes obligations regarding confidential information
11. Dispute Resolution: Details procedures for resolving disputes between partners
12. Governing Law: Specifies Hong Kong law as governing law and jurisdiction
13. General Provisions: Includes standard boilerplate clauses such as notices, amendments, and severability
1. Non-Compete: Restricts partners from engaging in competing business activities - include when partners may have access to sensitive business information
2. Intellectual Property: Addresses ownership and usage of IP - include when the partnership involves creation or use of intellectual property
3. Insurance: Specifies required insurance coverage - include when business activities carry significant risks
4. Assignment and Succession: Details rules for transferring partnership interests - include when partners want specific succession arrangements
5. Marketing and Branding: Guidelines for use of business name and branding - include when partnership involves public-facing activities
6. Force Majeure: Addresses unforeseeable circumstances - include when business is susceptible to external disruptions
1. Commission Rates Schedule: Detailed breakdown of commission rates, tiers, and calculation methods
2. Territory Schedule: Definition of geographical areas or market segments covered by the partnership
3. Product/Service Schedule: List of products or services covered under the commission arrangement
4. Performance Targets: Specific targets or KPIs that affect commission rates
5. Partner Contact Details: Complete contact information and notification details for all partners
6. Operating Procedures: Detailed procedures for day-to-day operations and commission calculations
7. Bank Account Details: Banking information for commission payments and partnership operations
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