The Exclusive Agency Agreement is a critical commercial document used when a business (principal) wishes to appoint an exclusive representative (agent) to promote and sell their products or services within a specific territory in Malta or internationally. This agreement is particularly important in the Maltese context, where many international companies establish agency relationships for Mediterranean and European markets. The document must comply with Maltese Civil and Commercial Codes, as well as EU Directive 86/653/EEC on commercial agents. It covers essential elements including appointment terms, commission structures, performance criteria, termination provisions, and post-termination obligations. The agreement is designed to protect both parties' interests while ensuring compliance with local and EU regulations on commercial agency relationships.
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1. Parties: Identification and details of the Principal and the Agent, including registration numbers and registered addresses
2. Background: Context of the agreement, business relationship, and purpose of the exclusive agency arrangement
3. Definitions: Defined terms used throughout the agreement, including Territory, Products/Services, and Commission
4. Appointment and Scope: Terms of exclusive appointment, territory definition, and scope of agent's authority
5. Duration and Termination: Term of agreement, renewal provisions, and termination circumstances as per Maltese law
6. Agent's Rights and Obligations: Core duties, reporting requirements, and performance standards
7. Principal's Rights and Obligations: Support to be provided, information sharing, and principal's commitments
8. Commission Structure: Calculation method, payment terms, and conditions for commission entitlement
9. Exclusivity Provisions: Terms of exclusivity, restrictions on both parties, and territorial limitations
10. Confidentiality: Protection of confidential information and trade secrets
11. Intellectual Property: Usage rights of trademarks, logos, and other IP during the agency relationship
12. Post-Termination Obligations: Obligations surviving termination, including non-compete and customer protection
13. Governing Law and Jurisdiction: Confirmation of Maltese law governance and jurisdiction for disputes
14. General Provisions: Standard clauses including force majeure, notices, and entire agreement
1. Performance Targets: Specific sales or performance targets, used when the principal wants to set measurable objectives
2. Training and Support: Detailed provisions for training and support, relevant when complex products/services are involved
3. Sub-Agents: Terms for appointing sub-agents, if permitted under the arrangement
4. Insurance Requirements: Specific insurance obligations, important for high-value or high-risk products
5. Data Protection: GDPR compliance provisions, necessary when personal data processing is involved
6. Marketing and Promotion: Specific marketing obligations and cost-sharing arrangements
7. Stock Requirements: Stock holding obligations, relevant for product-based agencies
8. Dispute Resolution: Alternative dispute resolution procedures, useful for international arrangements
1. Schedule 1 - Territory Definition: Detailed description of the exclusive territory, including maps or specific boundary definitions
2. Schedule 2 - Products/Services: Comprehensive list of products or services covered by the agency agreement
3. Schedule 3 - Commission Rates: Detailed commission structure, including any variations and special rates
4. Schedule 4 - Performance Criteria: Specific KPIs, targets, and measurement methods
5. Schedule 5 - Operating Procedures: Detailed procedures for order processing, reporting, and day-to-day operations
6. Schedule 6 - Approved Marketing Materials: List of approved marketing materials and usage guidelines
7. Appendix A - Reporting Templates: Standard forms for regular reporting requirements
8. Appendix B - Compliance Requirements: Specific compliance requirements under Maltese law and industry regulations
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