The Brokerage Contract serves as the primary legal instrument for formalizing intermediary relationships in Malta, whether in financial services, real estate, or other commercial sectors. This document is essential when engaging a professional broker or brokerage firm to act as an intermediary in transactions, investments, or property dealings. It ensures compliance with Maltese regulatory requirements, including those under the Trading Licences Act, Financial Markets Act, and sector-specific regulations. The contract typically includes detailed provisions on service scope, commission structures, compliance obligations, and risk allocation, while incorporating necessary safeguards for both parties. It's particularly important in Malta's robust financial services and property sectors, where regulatory oversight is significant and specific licensing requirements apply.
Brokerage Contract for Malta
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Brokerage Contract
"I need a Brokerage Contract under Maltese law for a real estate brokerage firm providing exclusive services to high-net-worth international clients, with specific provisions for GDPR compliance and anti-money laundering procedures."
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1. Parties: Identification of the broker and the client, including full legal names, registration numbers, and registered addresses
2. Background: Context of the agreement and brief description of the parties' intentions
3. Definitions: Definitions of key terms used throughout the agreement
4. Appointment and Scope: Terms of broker's appointment and detailed scope of brokerage services
5. Broker's Obligations: Detailed responsibilities and duties of the broker
6. Client's Obligations: Responsibilities and duties of the client
7. Commission and Payment Terms: Structure and timing of commission payments, including calculation methods
8. Term and Termination: Duration of the agreement and circumstances for termination
9. Confidentiality: Obligations regarding confidential information handling
10. Regulatory Compliance: Compliance with relevant Maltese laws and regulations
11. Liability and Indemnification: Extent of broker's liability and mutual indemnification provisions
12. Notices: Process and requirements for formal communications between parties
13. Governing Law and Jurisdiction: Confirmation of Maltese law application and jurisdiction
1. Exclusivity: Terms of exclusive brokerage rights, used when broker has sole rights
2. Sub-Brokers: Provisions for appointment of sub-brokers, if permitted
3. Insurance Requirements: Specific insurance obligations, particularly relevant for high-value transactions
4. Data Protection: Detailed GDPR compliance provisions, essential when handling personal data
5. Anti-Money Laundering: Specific AML provisions, particularly important for financial and real estate brokers
6. Marketing and Promotion: Terms regarding marketing of client's products/services, if applicable
7. Performance Targets: Specific performance metrics and consequences, if required
1. Schedule 1 - Services Description: Detailed breakdown of brokerage services to be provided
2. Schedule 2 - Commission Structure: Detailed commission calculations and payment scenarios
3. Schedule 3 - Required Licenses: List of regulatory licenses and certifications held by broker
4. Schedule 4 - Reporting Requirements: Format and frequency of performance reports
5. Appendix A - Communication Protocols: Agreed communication procedures and contact details
6. Appendix B - Compliance Procedures: Detailed compliance procedures and checklists
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Broker
Compliance Officer
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Business Development Manager
Financial Services Director
Real Estate Agent
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Investment Advisor
Commercial Director
Operations Manager
Contracts Manager
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