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Agency To Agency Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Agency To Agency Agreement

"I need an Agency to Agency Agreement under Saudi law for appointing an exclusive distributor agency in Riyadh to represent our medical equipment business, with the agreement starting January 2025 and including strict performance targets and compliance requirements."

Document background
The Agency to Agency Agreement is a crucial document used when two commercial agencies in Saudi Arabia wish to establish a formal business relationship for representation, distribution, or service provision purposes. This agreement is particularly important in the Saudi Arabian market where commercial agency relationships are strictly regulated under the Commercial Agencies Law and must adhere to Sharia principles. The document typically outlines territorial rights, commission structures, performance requirements, and compliance obligations, while ensuring all terms align with Saudi legal requirements. It's commonly used when one agency wants to appoint another as its representative or when agencies collaborate to serve specific market segments. The agreement must be structured to facilitate registration with relevant Saudi authorities and include provisions for dispute resolution under Saudi jurisdiction.
Suggested Sections

1. Parties: Identification of both agencies, including full legal names, commercial registration numbers, and authorized representatives

2. Background: Context of the agreement, relationship between parties, and general business objectives

3. Definitions: Key terms used throughout the agreement, including specific Saudi legal and commercial terms

4. Appointment and Scope: Terms of appointment, territorial scope, and exclusive/non-exclusive nature of the arrangement

5. Rights and Obligations: Detailed responsibilities of both agencies, including compliance with Saudi regulations

6. Territory and Products/Services: Specific geographical areas and products/services covered by the agreement

7. Commission Structure: Payment terms, commission rates, and calculation methods compliant with Sharia principles

8. Term and Termination: Duration of agreement, renewal terms, and termination provisions as per Saudi law

9. Confidentiality: Protection of confidential information and trade secrets

10. Compliance: Adherence to Saudi laws, regulations, and Sharia principles

11. Dispute Resolution: Resolution process, applicable law, and jurisdiction under Saudi Commercial Courts

12. General Provisions: Standard clauses including notices, amendments, and entire agreement provisions

Optional Sections

1. Training and Support: Used when one agency provides training or technical support to the other

2. Marketing and Promotion: Include when parties share marketing responsibilities or specific promotional requirements exist

3. Intellectual Property: Required when the agreement involves licensing of trademarks, patents, or other IP rights

4. Insurance: Include when specific insurance requirements are necessary for the business activities

5. Non-Competition: Add when restricting parties from competing activities during and after the agreement

6. Force Majeure: Include specific provisions for unforeseen circumstances affecting performance

7. Data Protection: Required when handling personal or sensitive business data

8. Anti-Corruption: Include when dealing with government entities or high-risk sectors

Suggested Schedules

1. Schedule 1 - Product/Service List: Detailed list of products or services covered by the agreement

2. Schedule 2 - Commission Rates: Detailed breakdown of commission structures and payment terms

3. Schedule 3 - Territory Map: Geographical boundaries of the territory covered

4. Schedule 4 - Performance Targets: Specific KPIs and business targets if applicable

5. Schedule 5 - Required Registrations: List of necessary registrations and licenses under Saudi law

6. Appendix A - Contact Details: Key contact persons and communication protocols

7. Appendix B - Compliance Procedures: Detailed compliance requirements and procedures

8. Appendix C - Reporting Templates: Standard forms for regular business reporting

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

Distribution & Logistics

Manufacturing

Import/Export

Professional Services

Technology

Healthcare

Construction

Retail

Automotive

Industrial Equipment

Consumer Goods

Telecommunications

Relevant Teams

Legal

Commercial

Business Development

Operations

Compliance

Sales

Corporate Affairs

Regulatory Affairs

Finance

Strategic Planning

International Business

Relevant Roles

Commercial Director

Business Development Manager

Legal Counsel

Compliance Officer

Managing Director

Operations Manager

Sales Director

Contract Manager

Chief Executive Officer

Regional Manager

Commercial Agency Manager

Regulatory Affairs Manager

Business Unit Head

Partnership 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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