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Manufacturing Representative Agreement Template for Indonesia

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Key Requirements PROMPT example:

Manufacturing Representative Agreement

"I need a Manufacturing Representative Agreement for my German medical equipment company to appoint an exclusive representative in Indonesia starting March 2025, with quarterly sales targets and strict regulatory compliance requirements for medical device distribution."

Document background
The Manufacturing Representative Agreement is essential for foreign manufacturers seeking to establish a commercial presence in Indonesia without setting up a direct subsidiary. This document is particularly relevant when a manufacturer wants to appoint a local representative to promote and sell their products in the Indonesian market, while maintaining control over their brand and pricing strategy. The agreement must comply with Indonesian laws, including Law No. 7 of 2014 on Trade and relevant Ministry of Trade regulations regarding commercial representatives. It typically includes detailed provisions on territory rights, commission structures, performance targets, compliance requirements, and termination conditions. This agreement is crucial for manufacturers looking to expand their market presence in Indonesia while managing risks and ensuring regulatory compliance.
Suggested Sections

1. Parties: Identifies and provides full legal details of the manufacturer and the representative

2. Background: Explains the context of the agreement, including the manufacturer's business and desire for representation in Indonesia

3. Definitions: Defines key terms used throughout the agreement

4. Appointment and Scope: Details the appointment of the representative and scope of authority

5. Territory and Exclusivity: Defines the geographical area of representation and whether the appointment is exclusive

6. Representative's Obligations: Lists all duties and responsibilities of the representative

7. Manufacturer's Obligations: Details the manufacturer's commitments and support provisions

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

9. Intellectual Property Rights: Protects the manufacturer's IP and specifies usage rights

10. Confidentiality: Ensures protection of confidential information

11. Term and Termination: Specifies duration, renewal terms, and termination conditions

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

13. Governing Law and Dispute Resolution: Specifies Indonesian law as governing law and outlines dispute resolution process

14. General Provisions: Includes standard legal clauses like force majeure, notices, and amendments

Optional Sections

1. Performance Targets: Sets specific sales or performance goals, used when the manufacturer wants to ensure minimum performance levels

2. Training and Support: Details training programs and ongoing support, included when significant product knowledge is required

3. Insurance Requirements: Specifies required insurance coverage, included for high-value products or regulated industries

4. Compliance with Anti-Corruption Laws: Detailed anti-corruption provisions, essential when dealing with government contracts or regulated sectors

5. Sub-Representatives: Rules for appointing sub-representatives, included when the territory is large or complex

6. Marketing and Promotion: Specific requirements for marketing activities, included when the representative has significant marketing responsibilities

7. Product Warranty Handling: Procedures for warranty claims, included for technical or consumer products

8. Non-Competition: Restrictions on representing competing products, included when exclusivity is important

Suggested Schedules

1. Schedule 1 - Products: Detailed list of products covered by the agreement

2. Schedule 2 - Territory Definition: Detailed description of geographical territory, including any excluded areas

3. Schedule 3 - Commission Rates: Detailed commission structure, including any variations by product or customer type

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

5. Schedule 5 - Trademark Usage Guidelines: Rules and guidelines for using manufacturer's trademarks

6. Schedule 6 - Reporting Templates: Standard forms for regular reporting requirements

7. Appendix A - Required Licenses: List of required regulatory licenses and permits

8. Appendix B - Customer Service Standards: Minimum customer service standards and procedures

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

Relevant legal definitions













































Clauses









































Relevant Industries

Manufacturing

Industrial Equipment

Consumer Goods

Electronics

Automotive

Medical Devices

Construction Equipment

Agricultural Equipment

Chemical Products

Textile Manufacturing

Food and Beverage Manufacturing

Pharmaceutical Manufacturing

Technology Hardware

Relevant Teams

Legal

Sales

Business Development

International Operations

Compliance

Commercial Operations

Contract Administration

Regulatory Affairs

Export

Channel Management

Relevant Roles

Sales Director

Business Development Manager

Commercial Director

Legal Counsel

Compliance Officer

Country Manager

Export Manager

Regional Sales Manager

Managing Director

Contract Administrator

International Business Manager

Channel Manager

Operations Director

Chief Commercial Officer

Regulatory Affairs 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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