Advertising Agency Agreement for Philippines

Advertising Agency Agreement Template for Philippines

A comprehensive legal agreement governed by Philippine law that establishes and regulates the professional relationship between an advertising agency and its client. The document outlines the scope of advertising services, creative rights, approval processes, compensation structures, and compliance requirements with Philippine advertising regulations. It includes provisions for both traditional and digital advertising services, intellectual property rights, confidentiality obligations, and specific performance metrics while ensuring adherence to the Ad Standards Council of the Philippines guidelines and relevant local legislation.

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What is a Advertising Agency Agreement?

The Advertising Agency Agreement is a crucial legal document used when a business entity in the Philippines engages a professional advertising agency for marketing and promotional services. This agreement is essential for defining the scope of advertising services, establishing clear deliverables, and protecting both parties' interests under Philippine law. It addresses key aspects such as creative development, media planning, digital marketing, and campaign execution while ensuring compliance with local advertising regulations and industry standards. The document is particularly important given the complex nature of advertising services and the need to clearly define intellectual property rights, payment terms, and performance expectations in the Philippine business context.

What sections should be included in a Advertising Agency Agreement?

1. Parties: Identification and details of the advertising agency and the client

2. Background: Context of the agreement and brief description of both parties' business

3. Definitions: Definitions of key terms used throughout the agreement

4. Appointment and Scope of Services: Formal appointment of the agency and detailed description of advertising services to be provided

5. Agency Obligations: Detailed responsibilities and duties of the advertising agency

6. Client Obligations: Client's responsibilities including providing materials, approvals, and information

7. Approval Process: Procedures for submission, review, and approval of advertising materials

8. Intellectual Property Rights: Ownership and usage rights of creative materials and existing IP

9. Fees and Payment Terms: Compensation structure, payment schedule, and related financial terms

10. Confidentiality: Protection of confidential information and trade secrets

11. Term and Termination: Duration of agreement and conditions for termination

12. Representations and Warranties: Parties' assurances regarding capacity, authority, and service quality

13. Indemnification: Mutual indemnification obligations and liability limitations

14. General Provisions: Standard legal clauses including notices, amendments, and governing law

What sections are optional to include in a Advertising Agency Agreement?

1. Digital Marketing Services: Specific terms for digital marketing and online advertising services

2. Media Buying Services: Terms specific to media planning and buying services

3. Performance Metrics: KPIs and performance measurement criteria

4. Exclusivity: Terms regarding exclusive agency appointment for specific markets or services

5. International Services: Terms for cross-border advertising services

6. Data Protection: Additional privacy and data protection provisions beyond standard confidentiality

7. Crisis Management: Procedures for handling advertising-related controversies or crises

8. Subcontracting: Terms governing the use of subcontractors or third-party services

What schedules should be included in a Advertising Agency Agreement?

1. Schedule A - Scope of Services: Detailed breakdown of advertising services to be provided

2. Schedule B - Fee Structure: Detailed pricing, commission rates, and payment terms

3. Schedule C - Key Personnel: List of key team members and their roles

4. Schedule D - Service Level Agreement: Performance standards and delivery timelines

5. Schedule E - Approval Matrix: Decision-making hierarchy and approval procedures

6. Appendix 1 - Brand Guidelines: Client's branding requirements and guidelines

7. Appendix 2 - Media Planning Template: Standard format for media plans and budgets

8. Appendix 3 - Reporting Templates: Standard formats for performance and financial reporting

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

Philippines

Publisher

Genie AI

Document Type

Agency Agreement

Cost

Free to use
Relevant legal definitions
Relevant Industries

Retail

Consumer Goods

Financial Services

Technology

Telecommunications

Healthcare

Real Estate

Automotive

Food and Beverage

Entertainment

Tourism and Hospitality

Education

E-commerce

Professional Services

Manufacturing

Relevant Teams

Legal

Marketing

Procurement

Finance

Compliance

Business Development

Creative Services

Digital Marketing

Communications

Brand Management

Commercial Operations

Relevant Roles

Chief Marketing Officer

Marketing Director

Brand Manager

Advertising Manager

Procurement Manager

Legal Counsel

Contract Manager

Commercial Director

Business Development Manager

Agency Account Director

Creative Director

Media Planning Director

Digital Marketing Manager

Communications Manager

Finance Director

Compliance Officer

Industries
Civil Code of the Philippines (Republic Act No. 386): Provides the fundamental rules governing contracts, obligations, and commercial relationships between parties in the Philippines
Consumer Act of the Philippines (Republic Act No. 7394): Regulates advertising practices to protect consumers from deceptive, unfair, and misleading advertisements
Intellectual Property Code of the Philippines (Republic Act No. 8293): Protects intellectual property rights including copyrights, trademarks, and patents that are crucial in advertising materials
Ad Standards Council Code of Ethics: Sets industry standards and guidelines for advertising content and practices in the Philippines
Data Privacy Act of 2012 (Republic Act No. 10173): Regulates the collection, processing, and use of personal information in advertising campaigns and customer data
E-Commerce Act of 2000 (Republic Act No. 8792): Governs electronic transactions and digital advertising aspects of the agreement
Code of Ethics of the Advertising Board of the Philippines: Provides ethical guidelines and standards for advertising practices in the Philippines
Fair Trade Laws (Republic Act No. 7394, Chapter VI): Ensures fair competition and prevents deceptive trade practices in advertising
National Internal Revenue Code: Governs taxation aspects of advertising services and business transactions
Special Laws on Media and Broadcasting: Regulates advertising content and placement in various media channels including TV, radio, and digital platforms
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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