The Purchasing Agent Agreement is essential for businesses operating in the UAE that wish to delegate their procurement activities to a specialized agent or representative. This document is particularly important given the UAE's position as a major trading hub and its specific legal requirements for commercial agency relationships. The agreement must comply with UAE Commercial Agency Law and related regulations while establishing clear parameters for the agent's authority, compensation, and operational procedures. The document typically includes detailed provisions for purchase approval processes, reporting requirements, and quality control measures. When implementing a Purchasing Agent Agreement, companies must ensure it aligns with both UAE legal requirements and their internal procurement policies.

1. Parties: Identification of the Principal and the Purchasing Agent, including full legal names, addresses, and registration details

2. Background: Context of the agreement, brief description of the Principal's business, and purpose of appointing the Purchasing Agent

3. Definitions: Key terms used throughout the agreement, including 'Products', 'Territory', 'Purchase Orders', 'Suppliers', etc.

4. Appointment and Scope: Express appointment of the agent and detailed scope of authority, including geographical territory and product categories

5. Agent's Authority: Specific powers granted to the agent, including maximum purchase values, approval requirements, and limitations

6. Duties and Responsibilities: Detailed obligations of the Purchasing Agent, including supplier selection, negotiation, quality control, and reporting

7. Principal's Obligations: Responsibilities of the Principal, including providing information, specifications, and timely responses to requests

8. Compensation: Fee structure, commission rates, payment terms, and expenses reimbursement policy

9. Term and Termination: Duration of the agreement, renewal provisions, and grounds for termination

10. Confidentiality: Protection of confidential information and trade secrets

11. Non-Competition and Loyalty: Restrictions on agent's activities with competitors and duty of loyalty

12. Indemnification: Mutual indemnification provisions and liability limitations

13. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for dispute resolution