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Net Brokerage Agreement
"I need a Net Brokerage Agreement for my Indonesian manufacturing company to engage international brokers for exporting automotive parts to Southeast Asian markets, with a tiered commission structure starting from January 2025 and specific compliance requirements for cross-border trade."
1. Parties: Identification of the principal company and the broker, including their complete legal names, registration numbers, and addresses
2. Background: Context of the agreement, nature of the principal's business, and purpose of engaging a broker
3. Definitions: Definitions of key terms used throughout the agreement, including 'Net Brokerage Fee', 'Territory', 'Products', and 'Customers'
4. Appointment and Scope: Terms of the broker's appointment, exclusivity status, and defined territory or market segment
5. Broker's Obligations: Detailed responsibilities including customer service, reporting, compliance with laws, and performance standards
6. Principal's Obligations: Principal's commitments regarding product information, support, and training
7. Commission Structure: Detailed explanation of net brokerage calculation method, payment terms, and conditions for commission eligibility
8. Term and Termination: Duration of the agreement, renewal terms, and grounds for termination
9. Confidentiality: Protection of confidential information and trade secrets
10. Non-Competition and Non-Solicitation: Restrictions on competitive activities during and after the agreement
11. Intellectual Property: Rights and restrictions regarding use of trademarks, logos, and other IP
12. Governing Law and Dispute Resolution: Choice of Indonesian law and dispute resolution mechanisms
13. General Provisions: Standard clauses including force majeure, notices, and assignment
1. Performance Targets: Include when specific sales or performance metrics are required as conditions of the agreement
2. Training Requirements: Include when the broker must undergo specific training or certification programs
3. Marketing and Promotion: Include when the broker has specific marketing responsibilities or restrictions
4. Insurance Requirements: Include when specific insurance coverage is required from the broker
5. Data Protection: Include when personal data processing is involved in the broker's activities
6. Export Control: Include when products or services may be subject to export regulations
7. Anti-Corruption Compliance: Include when dealing with government clients or high-risk territories
1. Schedule A - Products and Services: Detailed list of products/services covered by the brokerage agreement
2. Schedule B - Commission Rates and Calculation Method: Detailed breakdown of commission structures, including any variations by product or customer type
3. Schedule C - Territory Definition: Detailed description of geographical areas or market segments covered
4. Schedule D - Reporting Requirements: Templates and specifications for required reports
5. Schedule E - Service Level Requirements: Specific performance metrics and service standards
6. Appendix 1 - Approved Customer List: If applicable, list of pre-approved or restricted customers
7. Appendix 2 - Required Documentation: Templates for order forms, customer agreements, and other required documentation
Authors
Real Estate
Insurance
Financial Services
Manufacturing
International Trade
Commodities
Retail
Technology
Agriculture
Construction
Energy
Telecommunications
Legal
Sales
Finance
Compliance
Business Development
Commercial Operations
Risk Management
Contract Administration
Channel Management
International Trade
Chief Commercial Officer
Sales Director
Business Development Manager
Legal Counsel
Compliance Officer
Finance Director
Sales Operations Manager
Channel Manager
Broker Relations Manager
Commercial Contracts Manager
Regional Sales Manager
Chief Financial Officer
Risk Manager
Business Development Director
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