The Revenue Share Partnership Agreement is a crucial document for businesses entering into collaborative arrangements where revenues are to be shared between partners. This agreement type is particularly relevant under German law, where it must comply with specific requirements of the German Commercial Code (HGB) and Civil Code (BGB). It is commonly used when companies wish to combine their resources, expertise, or market access while sharing the resulting revenue stream rather than forming a traditional joint venture. The document typically includes detailed mechanisms for revenue calculation, distribution procedures, reporting requirements, and audit rights. It's essential for businesses engaging in platform economies, digital partnerships, distribution arrangements, or any business model where revenue sharing is a key component of the collaboration. The agreement should be carefully structured to ensure compliance with German partnership law, tax regulations, and if applicable, EU-wide requirements.
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1. Parties: Identification and details of the contracting parties
2. Background: Context of the agreement and brief description of parties' business activities
3. Definitions: Detailed definitions of key terms, including 'Revenue', 'Net Revenue', 'Accounting Period', and other relevant terms
4. Partnership Scope: Definition of the partnership's scope, objectives, and territories covered
5. Revenue Share Structure: Detailed breakdown of revenue sharing percentages and calculation methodology
6. Payment Terms: Payment schedules, currency, payment methods, and banking details
7. Accounting and Reporting: Requirements for financial reporting, audit rights, and record-keeping obligations
8. Representations and Warranties: Standard and specific warranties from each party
9. Obligations of the Parties: Detailed responsibilities and commitments of each party
10. Term and Termination: Duration of agreement and circumstances for termination
11. Confidentiality: Protection of confidential information and trade secrets
12. Intellectual Property Rights: Ownership and usage rights of IP in the partnership
13. General Provisions: Standard clauses including notices, amendments, assignment, severability
14. Governing Law and Jurisdiction: Specification of German law as governing law and jurisdiction for disputes
1. Non-Competition: Restrictions on competing activities - include when parties operate in similar markets
2. Marketing and Promotion: Include when parties need to coordinate on marketing efforts
3. Data Protection: Include when partnership involves processing personal data
4. Force Majeure: Include for long-term partnerships or when external factors could significantly impact performance
5. Dispute Resolution: Include detailed arbitration or mediation procedures when parties prefer alternative dispute resolution
6. Change of Control: Include when stability of party ownership is crucial to the partnership
7. Insurance Requirements: Include when activities carry significant operational risks
8. Personnel and Staffing: Include when partnership requires dedicated staff or shared resources
1. Schedule 1 - Revenue Calculation Methodology: Detailed formulas and examples of revenue calculations
2. Schedule 2 - Reporting Template: Standard format for regular financial reports
3. Schedule 3 - Product or Service Specification: Details of products or services covered by the revenue sharing arrangement
4. Schedule 4 - Key Performance Indicators: Metrics for measuring partnership performance
5. Schedule 5 - Territory Definition: Detailed description of geographical areas covered
6. Appendix A - Initial Business Plan: Initial projections and business strategy
7. Appendix B - Contact Details: Key contacts and escalation procedures
8. Appendix C - Technical Requirements: Any technical specifications or requirements for revenue tracking and reporting
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