This Commission Agreement (the "Agreement") is made and entered into as of [Date], by and between [Company Name], a corporation organized under the laws of [State/Country] with its principal place of business at [Address] ("Principal"), and [Agent Name], residing at [Address] ("Agent").
WHEREAS, Principal desires to engage Agent to promote the sale of its products/services; and
WHEREAS, Agent agrees to use reasonable efforts to solicit orders for such products/services on behalf of Principal.
NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
1. Scope of Services
The Agent shall act as an independent contractor to promote the sale of the Principal’s products/services within the territory of [Territory]. The Agent shall make reasonable efforts to secure orders for the products/services and shall provide regular reports to the Principal regarding the status of such efforts.
2. Compensation
In consideration of the services rendered by the Agent, the Principal agrees to pay the Agent a commission of [Percentage]% of the total net sales price of all products/services sold as a result of the Agent's efforts during the term of this Agreement. Payment shall be made within [Number] days after the end of each month in which such sales occurred.
3. Confidentiality
The Agent acknowledges that during the course of performing their duties under this Agreement, they may have access to confidential information belonging to the Principal. The Agent agrees to keep such information strictly confidential and not to disclose it to any third party without prior written consent from the Principal.
4. Term and Termination
This Agreement shall commence on [Start Date] and shall continue until [End Date], unless terminated earlier by either party. Either party may terminate this Agreement upon providing [Notice Period] days’ written notice to the other party. Upon termination, the Agent shall immediately cease all activities related to the promotion of the Principal’s products/services.
5. Indemnification
The Agent shall indemnify and hold harmless the Principal from and against any and all claims, damages, liabilities, costs, and expenses arising out of or in connection with the Agent’s performance under this Agreement.
6. Governing Law
This Agreement shall be governed by and construed in accordance with the laws of [Jurisdiction]. Any disputes arising out of or in connection with this Agreement shall be resolved through arbitration in accordance with the rules of [Arbitration Body].
IN WITNESS WHEREOF, the parties hereto have executed this Commission Agreement as of the date first above written.
[Company Name]
By: ___________________________
Name:
Title:
[Agent Name]
By: ___________________________
Name:
This agreement serves as a foundational document for establishing clear terms between a principal and agent in an international context. It outlines key areas such as service scope, compensation, confidentiality, termination, and legal governance, ensuring both parties understand their rights and obligations.