Broker To Broker Referral Form

Broker To Broker Referral Form Template for Indonesia

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Key Requirements PROMPT example:

"I need a Broker to Broker Referral Form for my Jakarta-based real estate brokerage to establish a referral network with five other local brokers, including a 25% commission split and quarterly payment terms, to be implemented by March 2025."

Document background

The Broker to Broker Referral Form serves as a crucial legal instrument in Indonesia's financial and business landscape, designed to formalize referral relationships between licensed brokers across various sectors. This document becomes necessary when brokers wish to establish a systematic approach to sharing clients and opportunities while ensuring compliance with Indonesian regulations, particularly those set by the OJK (Financial Services Authority). The form typically includes detailed provisions for referral processes, fee structures, and compliance requirements, making it essential for maintaining transparent and legally sound business relationships. It's particularly important in Indonesia's regulated environment where formal documentation of business relationships is required for audit and compliance purposes.

Suggested Sections

1. Parties: Identification of the referring broker and receiving broker, including their full legal names, registration numbers, and licensed status in Indonesia

2. Background: Brief context of the referral arrangement and the purpose of the agreement

3. Definitions: Key terms used in the agreement, including 'Referred Client', 'Referral Fee', 'Successful Referral', etc.

4. Scope of Referral Arrangement: Details of what constitutes a valid referral and the services covered

5. Referral Process: Step-by-step process for making and accepting referrals

6. Compensation Terms: Structure and calculation of referral fees, payment terms, and conditions for payment

7. Obligations of Referring Broker: Responsibilities and duties of the broker making the referral

8. Obligations of Receiving Broker: Responsibilities and duties of the broker receiving the referral

9. Confidentiality: Protection of confidential information and client data

10. Term and Termination: Duration of the agreement and circumstances for termination

11. Governing Law: Specification of Indonesian law as governing law and jurisdiction

Optional Sections

1. Non-Solicitation: Prevents direct solicitation of referred clients, used when there's significant risk of client poaching

2. Dispute Resolution: Specific procedures for resolving disputes, recommended for high-value referral arrangements

3. Insurance Requirements: Specific insurance coverage requirements, needed for high-risk transactions or when required by regulatory compliance

4. Marketing and Branding: Guidelines for using each other's brands and marketing materials, important when public co-branding is involved

5. Data Protection: Additional data protection measures beyond basic confidentiality, essential when handling sensitive personal data

6. Force Majeure: Provisions for unforeseeable circumstances, recommended for long-term arrangements

Suggested Schedules

1. Schedule A - Fee Structure: Detailed breakdown of referral fees, commission rates, and calculation methods

2. Schedule B - Referral Documentation: Required forms and documentation for making referrals

3. Schedule C - Contact Details: Key contact persons and communication protocols for both parties

4. Appendix 1 - Compliance Requirements: Specific regulatory requirements and compliance procedures

5. Appendix 2 - Reporting Templates: Standard templates for tracking and reporting referrals

Authors

Alex Denne

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

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Financial Services

Real Estate

Insurance

Securities Trading

Investment Banking

Commodity Trading

Property Development

Asset Management

Wealth Management

Commercial Banking

Relevant Teams

Legal

Compliance

Business Development

Operations

Risk Management

Partnerships

Client Relations

Account Management

Financial Advisory

Business Strategy

Relevant Roles

Broker

Compliance Officer

Legal Counsel

Business Development Manager

Relationship Manager

Chief Executive Officer

Operations Manager

Risk Manager

Compliance Manager

Partnership Manager

Account Executive

Financial Advisor

Business Development Director

Head of Partnerships

Chief Operating Officer

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Authors

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