The Commission Contract Agreement is a crucial legal document used in Belgian business relationships where an agent or representative promotes and sells products or services on behalf of a principal company in exchange for commission-based compensation. This agreement type is particularly relevant for businesses expanding their sales presence in Belgium or establishing distribution networks through independent agents. The document must comply with Belgian law, particularly the Law of 13 April 1995 on Commercial Agency Agreements and related regulations. It typically includes comprehensive details about commission structures, territorial rights, performance metrics, reporting requirements, and both parties' obligations. The agreement is designed to protect both the principal's business interests and the agent's right to fair compensation while ensuring compliance with Belgian commercial, tax, and social security regulations.
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1. Parties: Identification and details of the principal and the commission agent, including legal status and registration details
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions: Definitions of key terms used throughout the agreement
4. Appointment and Scope: Terms of appointment, territory, and scope of services to be provided by the commission agent
5. Commission Structure: Detailed explanation of commission rates, calculation methods, and payment terms
6. Rights and Obligations of the Principal: Principal's duties, including provision of information, support, and materials
7. Rights and Obligations of the Commission Agent: Agent's duties, reporting requirements, and performance standards
8. Term and Termination: Duration of the agreement and conditions for termination
9. Intellectual Property Rights: Protection and usage rights of trademarks, logos, and other IP
10. Confidentiality: Obligations regarding confidential information and trade secrets
11. Data Protection: GDPR compliance and data handling requirements
12. Non-Competition and Non-Solicitation: Restrictions during and after the agreement term
13. Governing Law and Jurisdiction: Specification of Belgian law application and dispute resolution
14. General Provisions: Standard clauses including notices, amendments, and severability
1. Performance Targets: Include when specific sales or performance targets are part of the agreement
2. Training Requirements: Include when the principal will provide specific training to the commission agent
3. Marketing and Promotion: Include when the agent has specific marketing responsibilities or restrictions
4. Stock Handling: Include when the agent will handle physical inventory or samples
5. Insurance Requirements: Include when specific insurance coverage is required from the agent
6. Sub-Agents: Include when the agent is permitted to appoint sub-agents
7. Minimum Sales Requirements: Include when there are minimum sales thresholds that must be met
8. Territory Exclusivity: Include when the agent has exclusive rights in specific territories
1. Schedule 1 - Commission Rates and Calculations: Detailed breakdown of commission percentages, tiers, and calculation methods
2. Schedule 2 - Territory Definition: Detailed description of geographical areas covered by the agreement
3. Schedule 3 - Products and Services: List of products or services covered by the commission agreement
4. Schedule 4 - Reporting Ƶ: Standard forms for activity reports and commission calculations
5. Schedule 5 - Performance Metrics: Detailed KPIs and measurement criteria
6. Appendix A - Code of Conduct: Guidelines for business conduct and ethical standards
7. Appendix B - Technical Requirements: Any technical specifications or systems requirements
8. Appendix C - Training Manual: Documentation of required training procedures and materials
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