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Referral Contract Agreement Template for India

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Key Requirements PROMPT example:

Referral Contract Agreement

"I need a Referral Contract Agreement for my IT services company based in Bangalore, establishing a non-exclusive referral program with performance-based commission structure (5-10% based on deal size) for technology consultants who refer enterprise clients to us, with the agreement starting from January 2025."

Document background
The Referral Contract Agreement is essential for businesses operating in India that wish to formalize their referral partnerships and expand their customer base through structured referral programs. This document is particularly important in the Indian business context where referral-based business development is common across various sectors. It provides a legal framework compliant with Indian contract law, establishing clear terms for commission payments, referral processes, and mutual obligations. The agreement becomes crucial when businesses want to protect their interests while engaging with referral partners, ensuring compliance with sector-specific regulations and tax requirements. It's commonly used by companies seeking to expand their market reach through partner networks, particularly in sectors like financial services, real estate, and professional services where referral relationships are integral to business growth.
Suggested Sections

1. Parties: Identification and details of the parties entering into the agreement

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Services: Detailed description of the referral services to be provided

5. Referral Process: Step-by-step process for making and tracking referrals

6. Commission Structure: Details of referral fees, commission rates, and payment terms

7. Payment Terms: Timeline and method of commission payments, including tax considerations

8. Obligations of Referrer: Duties and responsibilities of the party making the referrals

9. Obligations of Company: Duties and responsibilities of the party receiving the referrals

10. Term and Termination: Duration of the agreement and conditions for termination

11. Confidentiality: Protection of confidential information shared between parties

12. Representations and Warranties: Statements of fact and promises made by both parties

13. Indemnification: Protection against losses caused by breach of agreement

14. Governing Law: Specification of Indian law as governing law and jurisdiction

15. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

Optional Sections

1. Non-Compete: Restrictions on competing activities, used when referrer works with competing businesses

2. Data Protection: Specific provisions for handling personal data, required when dealing with consumer information

3. Training and Support: Details of any training or support provided to referrer, included when complex products/services are involved

4. Marketing Guidelines: Rules for using company branding and marketing materials, needed when referrer will conduct marketing activities

5. Performance Metrics: Specific targets or KPIs, included when performance-based incentives are part of the agreement

6. Compliance Requirements: Industry-specific compliance obligations, necessary for regulated sectors like insurance or real estate

7. Dispute Resolution: Detailed procedure for resolving disputes, including mediation or arbitration provisions

8. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in long-term agreements

Suggested Schedules

1. Schedule A - Commission Structure: Detailed breakdown of commission rates, tiers, and calculation methods

2. Schedule B - Referral Process Flow: Detailed flowchart or description of the referral process

3. Schedule C - Approved Marketing Materials: List of pre-approved marketing materials and usage guidelines

4. Schedule D - Compliance Checklist: Industry-specific compliance requirements and procedures

5. Schedule E - Territory Definition: Geographic or market segment definitions if territorial restrictions apply

6. Appendix 1 - Contact Details: Key contact persons and their details for both parties

7. Appendix 2 - Reporting Templates: Standard formats for referral reporting and tracking

8. Appendix 3 - Service Level Agreement: Specific performance standards and response times if applicable

Authors

Alex Denne

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

Relevant legal definitions













































Clauses








































Relevant Industries

Financial Services

Real Estate

Insurance

Information Technology

Professional Services

Healthcare

Education

Telecommunications

Management Consulting

Retail

E-commerce

Banking

Travel and Tourism

Business Services

Relevant Teams

Legal

Business Development

Sales

Compliance

Marketing

Partner Relations

Commercial Operations

Revenue Operations

Account Management

Strategic Partnerships

Relevant Roles

Business Development Manager

Sales Director

Channel Partner Manager

Legal Counsel

Compliance Officer

Partnership Manager

Marketing Director

Chief Revenue Officer

Account Manager

Business Partner Executive

Commercial Director

Referral Program Manager

Sales Operations Manager

Strategic Alliance Manager

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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