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Tender Agency Agreement for United Arab Emirates

Tender Agency Agreement Template for United Arab Emirates

A Tender Agency Agreement governed by UAE law establishes a formal relationship between a principal company and a local UAE-based agent for participating in tender opportunities. This agreement outlines the agent's authority to identify, prepare, and submit tenders on behalf of the principal, while ensuring compliance with UAE Commercial Agency Law (Federal Law No. 18 of 1981) and related regulations. The document details commission structures, responsibilities, compliance requirements, and tender participation procedures specific to the UAE market.

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What is a Tender Agency Agreement?

The Tender Agency Agreement is essential for companies seeking to participate in UAE tender opportunities through local representation. This document type is particularly crucial in the UAE market where local agency relationships are heavily regulated and many tender processes require or prefer local representation. The agreement, governed by UAE law, must comply with Federal Law No. 18 of 1981 (Commercial Agency Law) and related regulations. It typically includes detailed provisions on tender identification, submission procedures, commission structures, and compliance requirements. The Tender Agency Agreement serves as a comprehensive framework for managing the principal-agent relationship, ensuring clear authority delegation, risk allocation, and compliance with local procurement regulations.

What sections should be included in a Tender Agency Agreement?

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

2. Background: Context of the agreement, including the Principal's business nature and desire to participate in tenders through an agent

3. Definitions: Key terms used throughout the agreement, including 'Tender', 'Territory', 'Services', and 'Commission'

4. Appointment and Scope: Formal appointment of the agent and detailed scope of authority for tender participation

5. Term and Territory: Duration of the agreement and geographical scope of the agent's authority

6. Agent's Obligations: Detailed responsibilities including tender identification, documentation preparation, and submission procedures

7. Principal's Obligations: Support, information, and documentation to be provided by the principal

8. Commission Structure: Detailed fee arrangement, calculation method, and payment terms

9. Compliance: Obligations to comply with UAE laws, anti-bribery provisions, and tender regulations

10. Confidentiality: Protection of confidential information and tender-related data

11. Termination: Grounds for termination, notice requirements, and post-termination obligations

12. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for disputes

What sections are optional to include in a Tender Agency Agreement?

1. Exclusivity: Used when the agent is granted exclusive rights for specific tenders or sectors

2. Performance Targets: Include when minimum performance levels are required for maintaining the agency

3. Sub-Agents: Required if the agent is permitted to appoint sub-agents for specific regions or sectors

4. Insurance: Detailed insurance requirements when handling high-value tenders

5. Intellectual Property: Necessary when tender submissions involve proprietary technology or branded solutions

6. Force Majeure: Extended provisions for markets with higher political or economic instability

7. Anti-Money Laundering: Additional compliance provisions for high-risk sectors or large-value contracts

What schedules should be included in a Tender Agency Agreement?

1. Schedule 1 - Services Description: Detailed scope of agency services and tender participation procedures

2. Schedule 2 - Commission Calculation: Detailed formula and examples of commission calculations

3. Schedule 3 - Tender Documentation Requirements: List of standard documents required for tender submissions

4. Schedule 4 - Reporting Ƶ: Standard formats for periodic activity reports and tender tracking

5. Schedule 5 - Key Personnel: Details of key team members responsible for tender management

6. Appendix A - Power of Attorney: Standard format for authority delegation in tender submissions

7. Appendix B - Compliance Checklist: Regulatory and documentation compliance requirements

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

Construction & Infrastructure

Defense & Security

Healthcare

Information Technology

Oil & Gas

Transportation

Energy & Utilities

Education

Telecommunications

Government Services

Relevant Teams

Legal

Commercial

Business Development

Procurement

Compliance

Sales

Tender Management

Contract Administration

Regional Operations

Project Management

Relevant Roles

Chief Executive Officer

Commercial Director

Business Development Manager

Tender Manager

Legal Counsel

Compliance Officer

Commercial Manager

Contract Manager

Procurement Manager

Sales Director

Regional Director

Country Manager

Bid Manager

Project Director

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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