The Participating Affiliate Agreement is essential for businesses operating affiliate marketing programs in Malaysia. It is typically used when a company wishes to expand its marketing reach through third-party affiliates who promote their products or services in exchange for commission-based compensation. The agreement must comply with Malaysian legal requirements, including the Contracts Act 1950, Electronic Commerce Act 2006, and Personal Data Protection Act 2010. This document outlines commission structures, marketing guidelines, technical requirements, data protection protocols, and compliance obligations. It's particularly relevant for e-commerce and digital businesses but applies to any sector utilizing affiliate marketing strategies in Malaysia.
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1. Parties: Identification and details of the principal company and the participating affiliate
2. Background: Context of the agreement and brief description of the affiliate program
3. Definitions: Definitions of key terms used throughout the agreement
4. Appointment and Scope: Terms of affiliate appointment and scope of authorized activities
5. Affiliate Obligations: Key responsibilities and commitments of the affiliate
6. Principal Company Obligations: Key responsibilities and commitments of the principal company
7. Commission Structure: Details of commission rates, calculation methods, and payment terms
8. Intellectual Property Rights: Usage rights and restrictions regarding trademarks, logos, and marketing materials
9. Confidentiality: Obligations regarding confidential information protection
10. Data Protection: Compliance with PDPA 2010 and data handling requirements
11. Term and Termination: Duration of agreement and termination provisions
12. General Provisions: Standard legal provisions including governing law, notices, and assignment
1. Exclusivity: Terms of exclusive arrangement, if applicable
2. Performance Targets: Specific performance metrics and consequences of not meeting them
3. International Operations: Additional terms for cross-border activities
4. Compliance with Specific Industries: Additional requirements for regulated industries (e.g., financial services, healthcare)
5. Force Majeure: Provisions for unforeseen circumstances affecting performance
6. Insurance Requirements: Specific insurance coverage requirements for the affiliate
7. Audit Rights: Terms allowing audit of affiliate's activities and records
1. Schedule 1 - Commission Rates: Detailed breakdown of commission structures and rates
2. Schedule 2 - Approved Marketing Materials: List and examples of approved marketing materials and usage guidelines
3. Schedule 3 - Technical Requirements: Technical specifications for implementing affiliate tracking and reporting
4. Schedule 4 - Compliance Requirements: Detailed compliance requirements and procedures
5. Schedule 5 - Reporting Templates: Standard formats for performance and financial reporting
6. Appendix A - Brand Guidelines: Detailed guidelines for brand usage and marketing standards
7. Appendix B - Data Processing Agreement: Specific terms for handling personal data in compliance with PDPA 2010
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