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Preferred Partner Agreement Template for Germany

A comprehensive legal agreement governed by German law that establishes a preferred partnership between two or more business entities. The document outlines the special status granted to the partner, including preferential terms, exclusive rights, and mutual obligations. It incorporates specific requirements under German commercial law, including compliance with the German Civil Code (BGB) and Commercial Code (HGB), while addressing competition law considerations. The agreement details commercial terms, performance metrics, data protection requirements, and includes provisions for termination and dispute resolution under German jurisdiction.

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What is a Preferred Partner Agreement?

The Preferred Partner Agreement is a specialized commercial contract used when organizations wish to establish strategic business relationships with enhanced benefits and privileges. This document is particularly relevant in the German market and must comply with German legal requirements, including the German Civil Code (BGB) and Commercial Code (HGB). It is commonly used when companies want to formalize a privileged business relationship that goes beyond standard vendor or supplier arrangements, offering preferential treatment in areas such as pricing, access to resources, or market opportunities. The agreement typically includes detailed provisions on commercial terms, performance expectations, exclusivity (if applicable), and compliance requirements specific to German law. It's especially valuable for businesses looking to create long-term strategic partnerships while maintaining clear legal boundaries and compliance with German competition law.

What sections should be included in a Preferred Partner Agreement?

1. Parties: Identification and details of the contracting parties

2. Background: Context of the agreement and relationship between the parties

3. Definitions: Key terms used throughout the agreement

4. Partnership Scope: Details of the preferred partnership arrangement and its geographical/business scope

5. Partner Status and Rights: Specific rights, benefits, and status granted to the preferred partner

6. Commercial Terms: Pricing, payment terms, and commercial conditions of the partnership

7. Obligations of the Partners: Mutual and individual responsibilities of both parties

8. Performance Metrics: Key performance indicators and evaluation criteria

9. Term and Termination: Duration of the agreement and termination provisions

10. Confidentiality: Protection of confidential information and trade secrets

11. Intellectual Property: IP rights, usage, and protection provisions

12. Data Protection: GDPR compliance and data handling requirements

13. Competition and Exclusivity: Competition restrictions and exclusivity terms if any

14. Liability and Indemnification: Limitation of liability and indemnification provisions

15. Force Majeure: Provisions for unforeseen circumstances and force majeure events

16. Governing Law and Jurisdiction: Applicable law and dispute resolution mechanisms

17. General Provisions: Miscellaneous legal provisions including severability, entire agreement, and amendments

What sections are optional to include in a Preferred Partner Agreement?

1. Marketing and Branding: Guidelines for use of logos, joint marketing activities, and brand representation

2. Training and Support: Details of training programs and support services if offered

3. Quality Control: Quality standards and monitoring procedures if relevant to the partnership

4. Insurance Requirements: Specific insurance coverage requirements if necessary

5. Compliance with Industry Standards: Specific industry regulations or standards that must be met

6. Sustainability Requirements: Environmental and social responsibility commitments if relevant

7. Personnel and Staffing: Requirements regarding key personnel and staffing if applicable

8. Audit Rights: Provisions for auditing partner's compliance with agreement terms

What schedules should be included in a Preferred Partner Agreement?

1. Schedule 1 - Commercial Terms: Detailed pricing structures, payment terms, and commercial conditions

2. Schedule 2 - Service Levels: Specific performance metrics and service level requirements

3. Schedule 3 - Technical Requirements: Technical specifications or requirements if applicable

4. Schedule 4 - Partner Benefits: Detailed list of partner benefits and privileges

5. Schedule 5 - Approved Territories: List of geographical territories covered by the agreement

6. Schedule 6 - Contact Details: Key contacts and escalation procedures

7. Schedule 7 - Compliance Requirements: Detailed compliance requirements and procedures

8. Appendix A - Brand Guidelines: Detailed guidelines for brand usage and marketing materials

Authors

Alex Denne

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

Jurisdiction

Germany

Publisher

Ƶ

Cost

Free to use

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