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Sales And Marketing Agency Agreement for United Arab Emirates

Sales And Marketing Agency Agreement Template for United Arab Emirates

This document establishes a legal framework for appointing and managing a sales and marketing agent in the United Arab Emirates, governed by UAE Federal Law No. 18 of 1981 (Commercial Agency Law) and related regulations. It defines the rights, obligations, and commercial terms between a principal and their appointed agent, including territory rights, commission structures, performance expectations, and compliance requirements. The agreement addresses specific UAE legal requirements such as agency registration, exclusivity provisions, and termination conditions, while ensuring alignment with local commercial practices and regulatory frameworks.

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What is a Sales And Marketing Agency Agreement?

This Sales and Marketing Agency Agreement is essential for businesses looking to establish or maintain a commercial presence in the UAE market through authorized agents. The document is particularly relevant in the context of UAE's Commercial Agency Law, which provides significant protection to registered commercial agents. It is used when a principal company wishes to appoint an agent to promote, sell, and market their products or services within specified territories in the UAE. The agreement must carefully balance the principal's business objectives with the legal requirements of the UAE, including proper registration with the Ministry of Economy where applicable, clear definition of territorial rights, and compliance with local agency protection laws.

What sections should be included in a Sales And Marketing Agency Agreement?

1. Parties: Identification of Principal and Agent, including full legal names, addresses, and registration details

2. Background: Context of the agreement, brief description of parties' businesses, and purpose of the agency relationship

3. Definitions: Key terms used throughout the agreement including Products, Territory, Customers, Commission, etc.

4. Appointment and Scope: Terms of agent's appointment, territory designation, and whether exclusive or non-exclusive

5. Duration and Renewal: Term of agreement, conditions for renewal, and notice periods

6. Agent's Rights and Obligations: Detailed responsibilities including marketing, sales targets, reporting requirements, and customer service

7. Principal's Rights and Obligations: Support to be provided, product supply terms, training, marketing materials

8. Commission Structure: Commission rates, calculation methods, payment terms, and conditions for commission eligibility

9. Intellectual Property: Usage rights for trademarks, branding guidelines, and IP protection measures

10. Confidentiality: Protection of confidential information and trade secrets

11. Non-Competition: Restrictions during and after the agreement term

12. Termination: Grounds for termination, notice requirements, and consequences

13. Post-Termination: Obligations after termination, including return of materials and ongoing confidentiality

14. Governing Law and Jurisdiction: UAE law as governing law and jurisdiction for disputes

15. General Provisions: Standard boilerplate clauses including force majeure, notices, and amendment procedures

What sections are optional to include in a Sales And Marketing Agency Agreement?

1. Performance Targets: Specific sales targets and KPIs - include when performance metrics are crucial to the relationship

2. Marketing Requirements: Detailed marketing obligations and budgets - use when specific marketing activities are required

3. Sub-Agents: Terms for appointing sub-agents - include if sub-agents may be needed

4. Training: Detailed training requirements - include for complex products or services

5. Insurance: Insurance requirements - include for high-value products or specific risk scenarios

6. Data Protection: Specific data protection obligations - include when handling personal or sensitive data

7. Anti-Corruption: Anti-corruption and compliance provisions - include for international transactions

8. Bank Guarantee: Requirements for bank guarantees - include for financial security

9. Local Sponsorship: Local sponsorship requirements - include if required under UAE law for specific activities

What schedules should be included in a Sales And Marketing Agency Agreement?

1. Product Schedule: List of products/services covered by the agreement with specifications

2. Commission Schedule: Detailed commission structures, rates, and calculation methods

3. Territory Schedule: Detailed description of geographical territory and any excluded areas

4. Performance Metrics: Specific KPIs, targets, and measurement criteria

5. Marketing Guidelines: Detailed marketing and branding requirements

6. Approved Sub-Agents: List of approved sub-agents if applicable

7. Required Reports: Templates and formats for required periodic reports

8. Training Manual: Training requirements and procedures

9. Compliance Procedures: Detailed compliance requirements and procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Ƶ

Document Type

Agency Agreement

Cost

Free to use
Relevant legal definitions

























Clauses




































Relevant Industries

Consumer Goods

Retail

Technology

Manufacturing

Automotive

Healthcare

Fashion and Luxury

Industrial Equipment

Food and Beverage

Electronics

Construction Materials

Pharmaceuticals

Telecommunications

Professional Services

Relevant Teams

Legal

Sales

Marketing

Business Development

Commercial Operations

Compliance

Contract Administration

Finance

International Operations

Channel Management

Relevant Roles

Chief Executive Officer

Commercial Director

Sales Director

Marketing Director

Business Development Manager

Legal Counsel

Compliance Officer

Contract Manager

Regional Manager

Country Manager

Channel Manager

Agency Relations Manager

Sales Operations Manager

Marketing Manager

General Counsel

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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