Agreement Between Manufacturer And Commission Agent for the United Kingdom

Agreement Between Manufacturer And Commission Agent Template for England and Wales

This agreement, governed by the laws of England and Wales, establishes a commercial relationship between a manufacturer and a commission agent. It sets out the terms under which the agent will promote and sell the manufacturer's products in exchange for commission. The document covers essential elements including territory rights, commission structure, performance obligations, reporting requirements, and termination provisions, while ensuring compliance with the Commercial Agents (Council Directive) Regulations 1993 and other relevant UK legislation.

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What is a Agreement Between Manufacturer And Commission Agent?

The Agreement Between Manufacturer And Commission Agent is essential when a manufacturer wishes to expand their sales reach through commission-based agents rather than employed salespeople. This document, governed by English and Welsh law, defines the commercial relationship, establishing clear terms for commission rates, sales territories, reporting requirements, and mutual obligations. It's particularly important for ensuring compliance with the Commercial Agents Regulations and protecting both parties' interests in the commission-based sales arrangement. The agreement provides legal certainty and clear operational guidelines while maintaining flexibility in the commercial relationship.

What sections should be included in a Agreement Between Manufacturer And Commission Agent?

1. Parties: Identification and details of the Manufacturer and Commission Agent

2. Background: Context of the agreement and relationship between parties

3. Definitions: Key terms used throughout the agreement

4. Appointment and Scope: Terms of agent's appointment and scope of authority

5. Territory: Geographical area where agent is authorized to operate

6. Commission Structure: Details of commission rates and calculation methods

7. Duties of Agent: Agent's responsibilities and obligations

8. Manufacturer's Obligations: Manufacturer's responsibilities and commitments

9. Payment Terms: Terms and timing of commission payments

10. Term and Termination: Duration of agreement and termination provisions

11. Confidentiality: Protection of confidential information

12. Governing Law: Applicable law and jurisdiction

What sections are optional to include in a Agreement Between Manufacturer And Commission Agent?

1. Intellectual Property: Provisions regarding IP rights and usage terms when relevant to the products or business relationship

2. Non-Compete: Restrictions on competitive activities when exclusivity or post-termination restrictions are required

3. Insurance: Insurance requirements and coverage specifications when specific insurance is needed

4. Data Protection: GDPR and data handling requirements when personal data processing is involved

5. Force Majeure: Provisions for extraordinary events and unforeseen circumstances

What schedules should be included in a Agreement Between Manufacturer And Commission Agent?

1. Schedule 1 - Products: List of products covered by the agreement

2. Schedule 2 - Commission Rates: Detailed commission structure and calculations

3. Schedule 3 - Territory Map: Detailed description or map of territory covered

4. Schedule 4 - Reporting Requirements: Format and frequency of agent's reports

5. Schedule 5 - Service Level Requirements: Performance metrics and standards

6. Appendix A - Standard Operating Procedures: Detailed operational procedures

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

Jurisdiction

England and Wales

Publisher

Genie AI

Document Type

Agency Agreement

Cost

Free to use
Clauses
Industries

Commercial Agents Regulations 1993: Primary UK legislation implementing EU Directive 86/653/EEC on commercial agents. Governs rights and obligations in manufacturer-agent relationships, including compensation/indemnity upon termination.

Sale of Goods Act 1979: Fundamental legislation governing sale of goods contracts, defining rights, duties and remedies in commercial transactions.

Supply of Goods and Services Act 1982: Legislation governing contracts for the supply of goods and services, including implied terms about quality and fitness for purpose.

Consumer Rights Act 2015: Relevant if end customers are consumers. Sets out consumer rights and business obligations in supply of goods and services.

Contracts (Rights of Third Parties) Act 1999: Governs when third parties can enforce terms of a contract, important for distribution chain relationships.

Competition Act 1998: Regulates anti-competitive agreements and abuse of dominant market position, crucial for territorial restrictions and exclusive arrangements.

Enterprise Act 2002: Complements Competition Act, dealing with market investigations and merger control.

Common Law Agency Principles: Legal principles established through case law governing agency relationships, including authority, duties, and rights of agents.

UK GDPR and Data Protection Act 2018: Regulations governing the processing and handling of personal data, relevant for customer information handling.

Bribery Act 2010: Anti-corruption legislation requiring adequate procedures to prevent bribery, crucial for commercial relationships.

Value Added Tax Act 1994: Tax legislation governing VAT obligations in commercial transactions and commission payments.

International Trade Laws: Various regulations governing cross-border trade, including export/import rules and currency exchange regulations if applicable.

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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