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Service Agency Agreement
"I need a Service Agency Agreement for appointing an exclusive agent in Riyadh to represent our technology products and services, with a commission structure of 10% on all sales and a minimum performance target of SAR 2 million annually, starting March 1, 2025."
1. Parties: Identification of the Principal and Agent, including full legal names, addresses, and commercial registration details
2. Background: Context of the agreement, relationship between parties, and general purpose of the agency arrangement
3. Definitions and Interpretation: Key terms used throughout the agreement, including interpretation rules and language governance
4. Appointment and Scope: Formal appointment of agent, territory definition, and detailed scope of services
5. Term and Renewal: Duration of the agreement and conditions for renewal
6. Agent's Rights and Obligations: Detailed responsibilities, performance standards, and authority limits of the agent
7. Principal's Rights and Obligations: Principal's commitments, support provisions, and obligations to the agent
8. Compensation and Payment Terms: Commission structure, payment terms, and calculation methods
9. Compliance and Reporting: Regulatory compliance requirements, regular reporting obligations, and record-keeping
10. Confidentiality: Protection of confidential information and trade secrets
11. Non-Competition and Non-Solicitation: Restrictions on competitive activities and client solicitation
12. Termination: Grounds for termination, notice requirements, and consequences
13. Post-Termination Obligations: Duties and responsibilities after agreement termination
14. Governing Law and Dispute Resolution: Saudi law governance and dispute resolution mechanisms
15. General Provisions: Standard clauses including force majeure, notices, and amendments
1. Intellectual Property Rights: Include when the agent will handle branded products or use principal's IP
2. Training and Support: Include when principal provides specific training or technical support
3. Performance Targets: Include when setting specific sales or performance metrics
4. Insurance Requirements: Include when specific insurance coverage is required
5. Bank Guarantee: Include when financial security is required from the agent
6. Marketing and Promotion: Include when agent has specific marketing responsibilities
7. Sub-Agents: Include when agent is permitted to appoint sub-agents
8. Data Protection: Include when personal data processing is involved
9. Shariah Compliance: Include specific provisions when dealing with financial services or banking
1. Schedule 1 - Services Description: Detailed description of services to be provided by the agent
2. Schedule 2 - Territory Definition: Detailed description of geographical territory and any exclusions
3. Schedule 3 - Commission Structure: Detailed breakdown of commission calculations and payment terms
4. Schedule 4 - Performance Metrics: Specific KPIs and performance evaluation criteria
5. Schedule 5 - Required Reports: Templates and specifications for required periodic reports
6. Schedule 6 - Compliance Requirements: Specific regulatory and compliance requirements
7. Schedule 7 - Contact Details: Key contact persons and communication protocols
8. Appendix A - Power of Attorney: If required, formal power of attorney document
9. Appendix B - Required Licenses: Copies of mandatory licenses and registrations
Authors
Applicable Laws
Approved Services
Business Day
Commercial Registration
Commencement Date
Compensation
Confidential Information
Contract Year
Effective Date
Force Majeure
Governing Law
Initial Term
Intellectual Property Rights
Key Performance Indicators
Material Breach
Ministry
Notice
Party/Parties
Performance Standards
Principal
Principal's Products
Registration Requirements
Regulatory Approvals
Renewal Term
Representatives
Service Agent
Services
Sharia
Subsidiary
Term
Territory
Third Party
Trademarks
Working Hours
Commission
Reporting Period
Competitor
Dispute
Good Industry Practice
Termination Date
Affiliate
Authorized Representative
Business
Commercial Agency Law
Conflict of Interest
Control
Customer
Group
Liability
License
Records
Related Party
Saudi Arabia
Scope of Authority
Territory
Term and Duration
Agent's Obligations
Principal's Obligations
Exclusivity
Performance Standards
Compensation and Commission
Payment Terms
Regulatory Compliance
Registration Requirements
Reporting and Records
Training and Support
Marketing and Promotion
Intellectual Property
Confidentiality
Non-Competition
Non-Solicitation
Representations and Warranties
Indemnification
Limitation of Liability
Insurance
Force Majeure
Termination
Consequences of Termination
Post-Termination Obligations
Assignment and Sub-Contracting
Notices
Amendments
Entire Agreement
Severability
Waiver
Governing Law
Dispute Resolution
Language
Compliance with Laws
Anti-Corruption
Data Protection
Bank Guarantee
Sharia Compliance
Electronic Communications
Relationship of Parties
Third Party Rights
Costs and Expenses
Manufacturing
Technology
Consumer Goods
Industrial Equipment
Healthcare
Automotive
Construction
Professional Services
Telecommunications
Energy
Chemical
Retail
Logistics
Financial Services
Pharmaceuticals
Legal
Commercial
Business Development
Compliance
Operations
Senior Management
Sales
Regulatory Affairs
Corporate Secretariat
Risk Management
International Business
Contract Administration
Legal Counsel
Commercial Director
Business Development Manager
Compliance Officer
Country Manager
Managing Director
Operations Director
Contract Manager
Regional Director
Chief Executive Officer
Chief Legal Officer
Sales Director
General Manager
Regulatory Affairs Manager
Company Secretary
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