The Independent Sales Rep Contract is essential for companies looking to expand their sales presence in Belgium through independent representatives rather than employed sales staff. This agreement is specifically designed to comply with Belgian Commercial Agency Law and related regulations, providing a comprehensive framework for the commercial relationship. It addresses key aspects such as territory definition, commission structures, performance expectations, and termination provisions. The document is particularly important as it helps establish clear boundaries between employment and independent contractor status, crucial under Belgian law. Used when a company wants to engage sales representatives without creating an employment relationship, it includes detailed provisions for commission calculations, reporting requirements, and territorial rights while ensuring compliance with Belgian commercial agency regulations.
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1. Parties: Identification of the Principal and the Sales Representative, including full legal names, registration numbers, and registered addresses
2. Background: Context of the agreement, nature of the Principal's business, and general purpose of the appointment
3. Definitions: Key terms used throughout the agreement, including Products, Territory, Customers, Commission, etc.
4. Appointment and Scope: Formal appointment of the Sales Representative, specification of exclusive/non-exclusive nature, and territorial scope
5. Independent Contractor Status: Clear statement of independent contractor relationship and explicit exclusion of employment relationship
6. Rights and Obligations of the Sales Representative: Detailed responsibilities including promotion of products, reporting requirements, and professional conduct standards
7. Rights and Obligations of the Principal: Principal's commitments regarding product information, support, and training
8. Commission Structure: Detailed commission calculations, payment terms, and conditions for commission entitlement
9. Intellectual Property Rights: Protection of Principal's IP and terms of Sales Representative's usage rights
10. Confidentiality: Protection of confidential information and trade secrets
11. Term and Termination: Duration of agreement, notice periods, and grounds for termination as per Belgian law
12. Post-Termination Provisions: Obligations after termination, including commission settlements and return of materials
13. Governing Law and Jurisdiction: Specification of Belgian law as governing law and jurisdiction for disputes
14. General Provisions: Standard clauses including severability, entire agreement, and amendments
1. Non-Compete Obligations: Restrictions on competing activities during and after the agreement, used when protecting specific market interests
2. Customer Transfer: Procedures for handling customer relationships post-termination, relevant for established customer bases
3. Performance Targets: Specific sales targets and consequences of meeting/missing them, used for performance-based relationships
4. Marketing and Advertising: Specific provisions regarding marketing activities and cost sharing, relevant for extensive marketing involvement
5. Sub-Agents: Terms for appointing sub-agents, if permitted
6. Insurance Requirements: Specific insurance obligations, used when handling valuable products or high-risk activities
7. Data Protection: Detailed GDPR compliance provisions, necessary when handling significant personal data
8. Product Training: Specific training requirements and procedures, relevant for technical or complex products
1. Schedule 1 - Products: Detailed list of products/services the Sales Representative is authorized to sell
2. Schedule 2 - Territory: Detailed description of geographical territory and any excluded areas
3. Schedule 3 - Commission Rates: Detailed commission structure, including any variations by product or customer type
4. Schedule 4 - Reporting Templates: Standard forms for activity reporting and commission calculations
5. Schedule 5 - Customer List: List of existing customers and any special arrangements
6. Appendix A - Sales Targets: Specific sales targets and evaluation criteria
7. Appendix B - Operating Procedures: Detailed procedures for order processing, customer service, and administrative matters
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