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Non Exclusive Agency Agreement
"I need a Non-Exclusive Agency Agreement for my UK-based medical devices company to appoint a Riyadh-based agent starting March 2025, with specific provisions for product registration requirements and a commission structure based on achieving quarterly sales targets."
1. Parties: Identification of Principal and Agent, including full legal names, commercial registration numbers, and authorized representatives
2. Background: Context of the agreement, business objectives, and confirmation of Agent's capabilities
3. Definitions: Key terms used throughout the agreement, including Territory, Products, and Commission structure
4. Appointment and Scope: Clear statement of non-exclusive appointment, territory definition, and permitted activities
5. Term and Renewal: Duration of the agreement and conditions for renewal
6. Agent's Rights and Obligations: Detailed responsibilities including promotion, reporting, and compliance with local laws
7. Principal's Rights and Obligations: Support, training, and product supply obligations
8. Commission Structure: Calculation method, payment terms, and currency specifications
9. Intellectual Property Rights: Usage rights and restrictions regarding Principal's trademarks and materials
10. Confidentiality: Protection of business secrets and confidential information
11. Compliance with Laws: Obligation to comply with Saudi laws, including Commercial Agencies Law and Sharia principles
12. Termination: Grounds for termination, notice requirements, and consequences
13. Post-Termination Obligations: Return of materials, outstanding payments, and transition arrangements
14. Governing Law and Jurisdiction: Saudi law as governing law and dispute resolution mechanisms
15. General Provisions: Standard clauses including notices, amendments, and severability
1. Performance Targets: Specific sales or performance goals, used when Principal wants to set measurable objectives
2. Sub-Agents: Terms for appointment of sub-agents, if permitted
3. Training Requirements: Detailed training obligations, when specific product knowledge is crucial
4. Marketing and Advertising: Specific requirements for marketing activities and cost sharing
5. Insurance: Insurance requirements, when dealing with high-value products or specific risks
6. Bank Guarantee: Requirements for financial security, used in high-value agreements
7. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in international trade
8. Anti-Corruption: Detailed anti-corruption provisions, especially important for international principals
9. Data Protection: Specific data handling requirements, when dealing with personal or sensitive data
1. Schedule 1 - Products: Detailed list of products covered by the agreement
2. Schedule 2 - Territory: Detailed description of geographical territory and any exclusions
3. Schedule 3 - Commission Rates: Detailed commission structure, including any variations by product or customer type
4. Schedule 4 - Performance Criteria: Specific performance metrics and evaluation criteria
5. Schedule 5 - Trademark Usage Guidelines: Specific rules for use of Principal's trademarks and branding
6. Schedule 6 - Reporting Templates: Standard forms for regular reporting requirements
7. Schedule 7 - Compliance Requirements: Specific local law compliance requirements and procedures
8. Appendix A - Required Documentation: List of documents required for Commercial Agency registration in Saudi Arabia
9. Appendix B - Contact Details: Key contact persons and communication protocols
Authors
Manufacturing
Consumer Goods
Industrial Equipment
Technology and Software
Pharmaceuticals
Automotive
Construction Materials
Medical Devices
Fashion and Luxury Goods
Food and Beverages
Electronics
Telecommunications
Professional Services
Chemical Products
Agricultural Products
Legal
Commercial Operations
Business Development
Sales
Compliance
International Operations
Contract Administration
Corporate Strategy
Distribution
Regional Management
Commercial Director
Business Development Manager
Legal Counsel
Compliance Officer
Sales Director
Managing Director
Country Manager
Operations Manager
Contract Manager
Chief Executive Officer
Regional Director
Distribution Manager
Agency Relations Manager
Strategy Director
Commercial Operations Manager
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