Sales Commission Agreement

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PREPARED FOR
[Agent Name]

PREPARED BY
[Sender Company Name]

Sales Commission Agreement

This Sales Commission Agreement (hereinafter referred to as the “Agreement”) is made and entered into on [Effective Date] (hereinafter referred to as the “Effective Date”), 

By and Between 

[Sender Company Name] (hereinafter referred to as the “Principal”), whose registered office is at [Sender Company Address], and the registration number is [Sender Company_Registration Number]  and; 
 
[Agent Name] (hereinafter referred to as the “Agent”) with its registered office at [Agent Address].
 
The Principal and the Agent are collectively referred to as the “Parties” and individually as the “Party.”
 
WHEREAS the Principal wishes to market the Products (hereinafter referred to as the “Products”); 
 
AND WHEREAS the Agent is willing to sell the Products of the Principal in return for a commission;
 
NOW, THEREFORE, both Parties have agreed to enter into this Agreement based on the following terms and conditions:

TERMS AND CONDITIONS.

1. SELLING RIGHTS.

The Principal grants the Agent the authority to sell its Products within [Territory] (hereinafter referred to as the “Territory”) for a period of [Time period the agent is eligible to sell products] commencing from the date of [Effective Date]. The Agent shall not sell the Products outside the Territory. 

The Agent shall use its best endeavors to promote and sell the Products for the duration mentioned above and shall furnish the Principal with detailed information. The Agent is duly authorized to sell the Products of the Principal in the course of the efforts to sell the Products and shall not sell the Products in the Agent's own name.

2. PRICING.

The Principal shall fix the selling price of the Products at [Selling Price]; the Agent shall only sell the Products at a price fixed by the Principal. The mode of payment shall be cash/card/bank transfer or any other mode of payment as mutually agreed by both Parties.

3. ORDERS.

The Agent shall obtain in writing the order of the Products from the buyers signed by them and remit the orders to the Principal.

4. COMMISSION.

The Principal shall pay the Agent a commission of [Commission Percentage] of the selling price for each part of the Products duly remitted by the Agent in accordance with this Agreement.

5. ADVERTISING AND INFORMATION MATERIALS.

The Principal shall furnish the Agent with reasonable quantities of advertising and informative materials for selling the Products.

6. CONFIDENTIALITY.

The Agent shall maintain strict confidentiality of the Principals’ business secrets and any such data that is deemed confidential. The Agent shall not disclose them to any third party.

7. TERMINATION.

Either Party may terminate/cancel this Agreement by written notice to the other Party. In case of breach of the terms and conditions herein by any Party, the Party in breach shall remedy it within [Number of days to remedy breach] day(s) upon receiving such notice of the breach. Failure to remedy the breach will lead to the termination of this Agreement without prior notice.

8. ASSIGNMENT.

The Agent shall not assign this Agreement without the prior written consent of the Principal.

9. ARBITRATION.

In the event of any dispute arising in and out of this Agreement between the Parties, it shall be resolved by Arbitration. There shall be [Number of Arbitrators] arbitrator(s), who shall be appointed by [Arbitration Appointing Party Name]. The venue of Arbitration shall be [Location of Arbitration], and the Seat shall be [State of Seat]. The Arbitrator's decision shall be final and binding on both Parties.

10. NOTICES.

Any notices required or permitted by this Agreement shall be in writing and delivered by certified mail or courier to the mentioned address.

11. SEVERABILITY.

In the event that any provision of this Agreement is deemed to be invalid or unenforceable, in whole or part, that part shall be severed from the remainder of this Agreement, and all other provisions shall remain in full force and effect as valid and enforceable.

12. MODIFICATION.

No modification of this Agreement shall be made unless in writing signed by both Parties.

13. GOVERNING LAW.

This Agreement shall be governed by and in accordance with the laws of [Governing Law].

14. ENTIRE AGREEMENT.

The Parties acknowledge that this Agreement sets forth and represents the entire Agreement between both Parties. If the Parties are willing to change/add/modify any terms, they shall be in writing and signed by both Parties.

ACCEPTANCE AND SIGNATURE.

IN WITNESS WHEREOF, the Agent and the Principal, respectively, have hereby set their hands on the day and year first above mentioned.

[Agent Name]

[Sender Company Name]

Name:

Name:

Signature:

Signature:

Date:

Date:

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