Affiliate Addendum Template for Saudi Arabia

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Key Requirements PROMPT example:

Affiliate Addendum

"I need an Affiliate Addendum under Saudi law for my e-commerce platform that will allow fashion retailers to promote our products through their social media channels, with a tiered commission structure and specific provisions for Ramadan promotional periods starting January 2025."

Document background
An Affiliate Addendum is essential when companies operating in Saudi Arabia wish to establish or modify affiliate marketing relationships within their existing contractual frameworks. This document type is particularly relevant in the context of Saudi Arabia's growing digital economy and must align with the kingdom's comprehensive regulatory framework, including the E-commerce Law (Royal Decree No. M/126) and Data Protection regulations. The Affiliate Addendum typically includes provisions for commission structures, marketing restrictions, compliance requirements, and data handling protocols, all structured to meet both Shariah principles and modern commercial practices. It's commonly used when companies want to expand their marketing reach through affiliate partnerships while ensuring compliance with Saudi Arabian regulatory requirements.
Suggested Sections

1. Parties: Identification of the principal company and the affiliate, including full legal names, registration numbers, and addresses

2. Background: Reference to the main agreement, purpose of the addendum, and context of the affiliate relationship

3. Definitions: Key terms used in the addendum, including specific affiliate marketing terminology and Saudi law references

4. Relationship to Main Agreement: Explanation of how the addendum relates to and modifies the main agreement

5. Scope of Affiliate Services: Detailed description of permitted affiliate activities, territories, and promotional methods

6. Compliance Requirements: Obligations regarding Saudi laws, particularly e-commerce and data protection regulations

7. Compensation Structure: Commission rates, payment terms, and calculation methods in compliance with Saudi banking regulations

8. Performance Standards: Required service levels, quality standards, and performance metrics

9. Intellectual Property Rights: Usage rights for trademarks, content, and marketing materials

10. Confidentiality: Protection of confidential information and trade secrets

11. Term and Termination: Duration of the addendum and termination provisions

12. Governing Law and Jurisdiction: Confirmation of Saudi law application and dispute resolution mechanisms

Optional Sections

1. Shariah Compliance: Specific provisions ensuring compliance with Islamic law principles, required when the affiliate activities involve financial services or specific regulated sectors

2. Data Processing Agreement: Detailed data handling provisions, required when significant personal data processing is involved

3. Territory-Specific Requirements: Additional provisions for specific regions within Saudi Arabia or GCC countries, needed for multi-territory operations

4. Social Media Guidelines: Specific rules for social media marketing, required when social media promotion is part of the affiliate services

5. Special Promotional Terms: Additional terms for specific promotional campaigns or seasonal activities

6. Consumer Protection Measures: Additional consumer protection provisions, required for B2C affiliate marketing

7. Anti-Money Laundering Provisions: Specific AML compliance requirements, necessary for financial services or high-value transactions

Suggested Schedules

1. Schedule 1 - Commission Structure: Detailed breakdown of commission rates, tiers, and calculation methods

2. Schedule 2 - Approved Marketing Materials: List of pre-approved marketing materials and templates

3. Schedule 3 - Technical Requirements: Technical specifications for affiliate tracking and reporting

4. Schedule 4 - Compliance Checklist: Checklist of regulatory requirements and compliance measures

5. Schedule 5 - Restricted Activities: List of prohibited marketing practices and restricted territories

6. Appendix A - Reporting Templates: Standard templates for performance and financial reporting

7. Appendix B - Brand Guidelines: Guidelines for using the principal company's brand assets

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

Clauses
Relevant Industries

E-commerce

Retail

Financial Services

Technology

Travel and Tourism

Education

Healthcare

Consumer Goods

Digital Services

Professional Services

Fashion and Apparel

Entertainment

Relevant Teams

Legal

Marketing

Commercial

Compliance

Digital

Business Development

Finance

Operations

Risk Management

Partner Relations

Relevant Roles

Legal Counsel

Commercial Director

Marketing Manager

Affiliate Program Manager

Business Development Manager

Compliance Officer

Digital Marketing Director

E-commerce Manager

Partnership Manager

Chief Marketing Officer

Chief Commercial Officer

Regulatory Affairs Manager

Industries
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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