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.
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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
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
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
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