This Sponsorship Broker Agreement is designed for use in the Indonesian market where a rights holder wishes to engage a professional intermediary to secure sponsorship opportunities. The document is particularly relevant in today's dynamic business environment where specialized expertise is required to maximize sponsorship revenue. It comprehensively addresses the unique aspects of Indonesian business law and practice, including mandatory language requirements under Minister of Trade Regulation No. 67 of 2013 and licensing requirements under Government Regulation No. 24 of 2018. The agreement covers essential elements such as broker authority, compensation structures, compliance obligations, and risk allocation, while providing flexibility to accommodate various sponsorship opportunities and industry-specific requirements. This document is crucial for establishing clear parameters for the broker-rights holder relationship and ensuring compliance with Indonesian regulatory requirements.
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1. Parties: Identification of the contracting parties - typically the broker and the rights holder/property owner
2. Background: Context of the agreement and brief description of the parties' intentions
3. Definitions: Key terms used throughout the agreement, including 'Sponsorship Rights', 'Territory', 'Commission', etc.
4. Appointment and Scope: Terms of broker's appointment, whether exclusive or non-exclusive, and scope of authority
5. Broker's Obligations: Detailed responsibilities including marketing, negotiation, reporting, and compliance requirements
6. Rights Holder's Obligations: Responsibilities of the rights holder, including provision of materials and approval processes
7. Commission Structure: Details of broker's compensation, including commission rates and payment terms
8. Term and Termination: Duration of the agreement and circumstances for termination
9. Confidentiality: Protection of confidential information and trade secrets
10. Intellectual Property: Usage rights and protection of trademarks, logos, and other IP
11. Representations and Warranties: Standard legal assurances from both parties
12. Liability and Indemnification: Allocation of risks and responsibilities for claims
13. Governing Law and Dispute Resolution: Choice of Indonesian law and dispute resolution mechanisms
14. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. International Compliance: Required when broker will operate internationally, addressing foreign regulations and compliance
2. Digital Rights: Needed when sponsorship includes digital and social media rights
3. Sub-Brokers: Include when broker is permitted to appoint sub-brokers or agents
4. Performance Targets: Optional section setting minimum performance requirements for the broker
5. Insurance: Required for high-value sponsorships or when specific insurance coverage is needed
6. Data Protection: Include when personal data processing is involved in sponsorship activities
7. Force Majeure: Optional but recommended for long-term agreements or high-value sponsorships
8. Anti-Corruption: Required when dealing with government entities or international sponsors
1. Schedule 1 - Sponsorship Rights: Detailed description of available sponsorship rights and properties
2. Schedule 2 - Commission Rates: Detailed breakdown of commission structures for different types of sponsorships
3. Schedule 3 - Territories: List of geographical territories covered by the agreement
4. Schedule 4 - Reporting Requirements: Templates and timing for required reports
5. Schedule 5 - Approved Sub-Brokers: If applicable, list of pre-approved sub-brokers
6. Schedule 6 - Marketing Materials: Guidelines for use of marketing materials and approval processes
7. Appendix A - Power of Attorney: If required under Indonesian law for specific broker actions
8. Appendix B - Standard Sponsorship Terms: Template terms for sponsorship agreements to be used by broker
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