In addition, the right of one of the parties to terminate the contract, including the circumstances in which the contract may be terminated, should be established. A distribution agency contract is concluded between a company and a sales representative. This agreement is necessary if the company mandates a sales representative to sell its products and services on its behalf. This agreement protects the interests of both the company and the commercial agent. It describes the conditions of sale, the terms of payment and other provisions governing the obligations and powers of the agent. It serves as a legal document in the event of a dispute between the agent and the company. PandaTip: This section of the distribution agency agreement presentation describes the processes and procedures applicable to sales and post-sales activities, including offers, support and collection of unpaid contributions by end users. Annual sales rate: The annual sales rate implies the minimum sales target that the agent must achieve for the year. Within thirty days of the entry into force of this distribution agency agreement, the undertaking may allocate to the distribution agency an annual quota deemed fair and appropriate, taking into account previous sales, the economic state of the area and any additional market situations in the area. It should be noted that in 1993, the Commercial Agents Regulations created certain duties and rights for those defined by the Regulations as commercial agents in their respective EU countries. If it is intended that the parties do not have a relationship covered by these rules, this document should not be used.
Yes, in this agreement you can set minimum revenue targets. 4. Obligations and obligations of the agent: the contract may oblige the agent to comply with the following obligations: The sales agency is responsible for all costs and expenses incurred in carrying out transactions under this sales agency contract. Many companies cover certain areas in a well-defined target market. The contract may provide that any sale must be made within a given geographical area, which limits the sale of each product within a given region. A distribution area can also consist of a particular segment of potential customers. Depending on the nature of the marketing and advertising, each agent may have an exclusive territory. The Exclusive Agency shall give an agent the exclusive right to sell the client`s products in the territory and the contracting authority undertakes not to appoint other representatives in the same territory.
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