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Commercial Broker Agreement
"I need a Commercial Broker Agreement for appointing an exclusive broker to represent our technology products in Saudi Arabia's Western Region, with specific performance targets and a 5% commission structure, to commence from January 2025."
1. Parties: Identification of the principal and broker, including full legal names, commercial registration numbers, and authorized representatives
2. Background: Context of the agreement and brief description of the parties' business relationship
3. Definitions: Key terms used throughout the agreement, including specific commercial and legal terminology
4. Appointment and Scope: Formal appointment of broker and detailed description of authorized services and territories
5. Rights and Obligations of Broker: Detailed responsibilities, reporting requirements, and performance standards
6. Rights and Obligations of Principal: Principal's commitments, support obligations, and information provision requirements
7. Commission Structure: Detailed breakdown of commission calculations, payment terms, and conditions for earning commission
8. Compliance Requirements: Obligations regarding Saudi laws, regulations, and Sharia principles
9. Confidentiality: Protection of confidential information and trade secrets
10. Term and Termination: Duration of agreement, renewal provisions, and termination rights
11. Dispute Resolution: Process for resolving disputes under Saudi law and jurisdiction
12. General Provisions: Standard legal provisions including notices, amendments, and governing law
1. Non-Competition: Restrictions on broker's ability to represent competitors, used when broker has access to sensitive market information
2. Performance Targets: Specific sales or performance goals, included when broker's continuation is tied to achieving certain targets
3. Marketing and Promotion: Requirements for marketing activities and brand representation, relevant for customer-facing brokers
4. Training Requirements: Obligations for training and certification, important for technical or specialized products
5. Insurance Requirements: Specific insurance coverage requirements, necessary for high-value transactions or regulated industries
6. Sub-Agents: Terms for appointing sub-agents, included when broker may need to delegate responsibilities
7. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in long-term arrangements
1. Schedule 1 - Commission Structure: Detailed commission rates, calculation methods, and payment terms
2. Schedule 2 - Territory Definition: Specific geographical areas or market segments covered by the agreement
3. Schedule 3 - Product/Service List: Detailed list of products or services the broker is authorized to represent
4. Schedule 4 - Reporting Templates: Standard forms for regular activity and performance reporting
5. Schedule 5 - Compliance Procedures: Detailed compliance protocols and checklists
6. Appendix A - Required Licenses: Copies of mandatory licenses and registrations
7. Appendix B - Key Performance Indicators: Detailed metrics for evaluating broker performance
Authors
Real Estate
Industrial Manufacturing
Oil and Gas
Consumer Goods
Technology
Healthcare
Construction
Financial Services
Automotive
Telecommunications
Import/Export
Professional Services
Legal
Commercial
Business Development
Compliance
Sales
Operations
Contract Administration
Regulatory Affairs
Finance
Risk Management
Legal Counsel
Commercial Director
Business Development Manager
Compliance Officer
Sales Director
Contract Manager
Chief Commercial Officer
Regional Manager
General Counsel
Operations Director
Managing Director
Regulatory Affairs Manager
Business Development Director
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