Commission Split Agreement Between Agents for United Arab Emirates

Commission Split Agreement Between Agents Template for United Arab Emirates

A comprehensive legal agreement governed by UAE law that establishes the terms and conditions for sharing real estate commission between two or more licensed real estate agents. The document complies with UAE Federal Laws and specific emirate-level regulations (such as RERA in Dubai), detailing the commission split arrangements, payment terms, responsibilities, and obligations of each party. It includes provisions for handling various types of real estate transactions and ensures compliance with local real estate brokerage regulations while protecting the interests of all parties involved.

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What is a Commission Split Agreement Between Agents?

The Commission Split Agreement Between Agents is essential in the UAE real estate market where collaborative deals are common and regulated by strict legal frameworks. This document is typically used when licensed real estate agents agree to work together on property transactions and need to formalize their commission-sharing arrangement. It ensures compliance with UAE Federal Law No. 5 of 1985 (Civil Code), relevant emirate-specific regulations such as Dubai's Law No. 85 of 2006, and RERA guidelines. The agreement covers commission percentages, payment terms, agent responsibilities, and dispute resolution mechanisms, providing clarity and legal protection for all parties involved in shared real estate transactions.

What sections should be included in a Commission Split Agreement Between Agents?

1. Parties: Identification of the agents entering into the agreement, including their license numbers and relevant contact details

2. Background: Context of the agreement, including the basis for collaboration and general intent of the parties

3. Definitions: Key terms used throughout the agreement, including 'Commission', 'Property Transaction', 'Client', etc.

4. Commission Split Structure: Details of how commissions will be divided between the agents, including percentages and calculation methods

5. Payment Terms: Timing and method of commission payments, including invoicing requirements and payment procedures

6. Duties and Responsibilities: Specific obligations of each agent in the collaboration

7. Term and Termination: Duration of the agreement and circumstances under which it can be terminated

8. Confidentiality: Obligations regarding confidential information and client details

9. Governing Law and Jurisdiction: Specification of UAE law application and jurisdiction for dispute resolution

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

What sections are optional to include in a Commission Split Agreement Between Agents?

1. Non-Compete Clause: Restrictions on working with each other's clients, used when agents want to protect their client base

2. Marketing and Branding: Guidelines for joint marketing efforts and brand usage, relevant when agents plan collaborative marketing

3. Dispute Resolution: Detailed procedure for handling disagreements, recommended for high-value or complex arrangements

4. Insurance Requirements: Specific insurance obligations, important when dealing with high-value properties or specific risks

5. Training and Support: Provisions for mutual training or mentoring, useful in senior-junior agent relationships

6. Referral Process: Detailed procedures for client referrals, important when referral business is a significant component

What schedules should be included in a Commission Split Agreement Between Agents?

1. Schedule A - Commission Split Matrix: Detailed breakdown of commission splits for different types of transactions or property values

2. Schedule B - Territory Definition: Geographic areas or property types covered by the agreement

3. Schedule C - Standard Operating Procedures: Detailed procedures for handling transactions and client interactions

4. Appendix 1 - Agent Licenses: Copies of current real estate broker licenses and relevant certifications

5. Appendix 2 - Commission Calculator: Formula and examples for calculating commission splits in various scenarios

6. Appendix 3 - Forms and Templates: Standard forms for commission invoicing and reporting between agents

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Genie AI

Document Type

Agency Agreement

Cost

Free to use
Relevant legal definitions
Relevant Industries

Real Estate

Property Development

Property Management

Commercial Real Estate

Residential Real Estate

Luxury Real Estate

Real Estate Investment

Property Consultancy

Relevant Teams

Legal

Real Estate Operations

Brokerage

Compliance

Sales

Business Development

Contract Administration

Property Management

Deal Advisory

Relevant Roles

Real Estate Agent

Property Broker

Real Estate Broker

Senior Real Estate Consultant

Property Sales Executive

Real Estate Sales Manager

Brokerage Manager

Real Estate Operations Manager

Compliance Officer

Legal Counsel

Contract Administrator

Business Development Manager

Real Estate Director

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,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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