Sales Agency Agreement - Short Form

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This UK Agreement allows one party (the Agent) to sell products (goods or services) on behalf of another (the Principal) in return for commission payments.

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An agency situation arises when a supplier appoints a person to sell goods on his behalf. This UK Sales Agency Agreement allows one party (the Agent) to sell products (goods or services) on behalf of another (the Principal) in return for commission payments. The Agency Agreement includes reference to the Commercial Agents (Council Directive) Regulations 1993 as required by European Law.

Among others, this form includes the following key provisions:
  • Appointment of Agent
  • Agent's Duties
  • Definition and Prices for Products
  • Territory
  • Payment of commission
  • Non-compete obligations
  • Termination of the Agreement
  • and much more
Besides this simpler version of our Sales Agency Agreement (to be used for agents selling low cost items) we also offer a more detailed and complex Sales Agency Agreement form for the more complex and long term business relationships.

This Sales Agency Agreement has been created by UK lawyers for use in England and Wales.
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.













Short Form Sales Agency Agreement
(England and Wales)











This Packet Includes:
1. Information
2. Short Form Sales Agency Agreement





Information
Short Form Sales Agency Agreement

An agency situation arises when a supplier appoints a person to sell goods on his behalf.

As with all our agreements, the Sales Agency Agreement is self explanatory and written in clear, simple English.

However this agreement is simpler than most. It is an informal agency agreement which is really simple to use and to be used for agents selling low cost items.

This agreement is truly self explanatory.



We would however draw your attention to clause 4 where the parties will need to state what the Territory is.  The Agent will only be allowed to sell goods within this area so careful thought will need to be given to this area. If it is intended that the Principle will appoint several agents then he will need to ensure that each agent has his own unique territory. An example of a Territory would be the area with the M25, The county of Essex, England or a specific post code.




DISCLAIMER:

FindLegalForms, Inc. (“FLF”) is not a law firm and does not provide legal advice.  The use of these materials is not a substitute for legal advice.     Only a lawyer/solicitor/barrister can provide legal advice.  A lawyer/solicitor/barrister should be consulted for all serious legal matters. No Lawyer-Client / Solicitor-Client relationship is created by use of these materials.  



THESE MATERIALS ARE PROVIDED “AS-IS.  FLF DOES NOT GIVE ANY EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY, SUITABILITY OR COMPLETENESS FOR ANY OF THE MATERIALS FOR YOUR PARTICULAR NEEDS.  THE MATERIALS ARE USED AT YOUR OWN RISK.  IN NO EVENT WILL:  I) FLF, ITS AGENTS, PARTNERS, OR AFFILIATES; OR II) THE PROVIDERS, AUTHORS OR PUBLISHERS OF ITS MATERIALS, BE RESPONSIBLE OR LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES; LOSS OF USE, DATE OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER USED AND ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE OF THESE MATERIALS. 


SALES AGENCY AGREEMENT (Short Form)



Date:                         20

Parties:

1     “The principal”: [        ] corporation organised and existing under the laws of [        ], whose principal place of business is at [        ].


2     “The agent”: [        ] a company incorporated in England, whose registered office is at [        ]



1   Appointment

The principal hereby appoints the agent as non-exclusive agent for the purpose of canvassing for and negotiating orders for the principals products covered by this agreement and transmitting promptly to the principal all such orders when obtained.

2   Definition of Products

The products covered by this agreement (the “Products”) are all the principals Products for which the principal has from time to time provided the agent with a price list or pricing guidelines and in respect of which the agent has agreed to act as agent in accordance with the relevant price list or pricing guideline.

3   Prices for the Products

The initial set of such price lists and pricing guidelines (the “Initial Set”) is attached hereto and signed by the parties for the purposes of identification. The parties may from time to time by agreement add further price lists and guidelines to or amend or delete existing price lists or guidelines from the Initial Set by means of an exchange of letters.

4   The territory

The agent is free to canvass for orders for the Products from any customers in the area of [                ].

5   Principals right to refuse orders

The principal reserves the right to refuse any order for the Products on any grounds; but shall, if required by the agent, supply to the agent the reasons for such refusal.

6   Acceptance of orders and rates of commission
 
The principal will pay to the agent commission on orders for the Products negotiated by the agent and accepted by the principal. The rate of commission to be paid may vary according to the circumstances of the sale and the Product sold, the appropriate rate of commission being specified in the relevant price list or guidelines. The principal shall, at the time of its acceptance, notify the agent of each order so accepted, and send to the agent together with such notification a statement of the commission payable to the agent in respect of that order. The agent may (subject to reasonable notice) inspect the principals accounting records to verify such statements and the commission due to him.

7   Payment of commission

Commission together with any value added tax due thereon if applicable will be paid in respect of each order accepted by the principal at the end of the month following the month in which the principal accepts that order, provided that:

7.1   the agent has in respect of such order previously submitted to the Principal a value added tax invoice requiring payment of the relevant commission together with the value added tax due thereon; and

7.2   in the event of refusal of any order by the principal, or upon subsequent cancellation of any order by either the customer or the principal, but in the case of any such cancellation only where the same has not occurred because of default of the principal, then the principal reserves the right to vary the commission due for that order or to pay no commission at all. In the event that commission may have already been paid, then this may become refundable and the principal reserves the right to offset such commission against any other commission that may be payable to the agent.

8   Principal dealing directly or through other agents

If the principal deals directly or through another agent with a customer generated by the agent, the agent shall be entitled to [half] of the normal commission on the transaction. If the agent negotiates an order from a customer generated by another agent of the principal (who is either currently appointed as such or else whose appointment has terminated, but who is entitled to commission under a provision in his agency agreement equivalent to clause 14) the agent shall be entitled to such proportion, if any, as is equitable of the normal commission on that transaction, the balance of such commission being paid to the other agent.

9   Samples and information to be provided by principal

The principal shall provide all necessary samples, order books, contract forms, leaflets and brochures and other documents relating to the Products provided by the principal (the “Documents”) and the same shall remain the property of the principal. The Documents shall be maintained in good condition and returned to the principal at any time when requested.

10   Agents expenses

The agent shall be responsible for all his operating expenses, shall provide his own transport suitably insured for the conduct of the principals business in the Products and shall indemnify the principal against any loss or claim arising from the use of any vehicle in the conduct of such business.

11   Non-compete obligations

It is agreed that, while acting as an agent for the principal, the agent will not act as agent for or otherwise directly or indirectly deal in any items which are similar to or compete or are likely to compete with any of the Products.

12   Agent not an employee

Nothing in this agreement, or otherwise, shall make the agent an employee of the principal.

13   Limitations on agents authority to commit principal

Nothing in this agreement or otherwise shall entitle the agent to make any representations or warranties on behalf of the principal (save to confirm or communicate any terms conditions or information contained in the Documents) or enter into any contract or agreements on behalf of the principal, or pledge the credit of the principal.

14   Termination by notice

This agreement may be terminated by either party giving one months notice in writing in the first year thereof, two months notice in the second year thereof, and thereafter by three months notice in writing. The agent shall following such termination be entitled to commission on all orders which reached him or the principal prior thereto, and on all orders concluded during a reasonable period subsequent thereto, if they were mainly attributable to his efforts prior to such termination. Where the principal has appointed a new agent after such termination, the agent shall be entitled to commission on all of the foregoing at such proportion, if any, as is equitable of the normal rate, the balance of such commission being paid to the new agent.

15   Summary termination

Without prejudice to any remedy it may have against the agent for breach or non-performance of this agreement, the principal shall have the right summarily to terminate this agreement in the event of the agent committing any such breach or non-performance or neglect of his duties under this agreement or being guilty of dishonest conduct.

16   Governing law

The construction, performance and validity of this agreement shall be governed by the Laws of England.


   

            …..
The Principal                     The Agent
Number of Pages5
DimensionsDesigned for Letter Size (8.5" x 11")
EditableYes (.doc, .wpd and .rtf)
UsageUnlimited number of prints
Product number#32255
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.













Short Form Sales Agency Agreement
(England and Wales)











This Packet Includes:
1. Information
2. Short Form Sales Agency Agreement





Information
Short Form Sales Agency Agreement

An agency situation arises when a supplier appoints a person to sell goods on his behalf.

As with all our agreements, the Sales Agency Agreement is self explanatory and written in clear, simple English.

However this agreement is simpler than most. It is an informal agency agreement which is really simple to use and to be used for agents selling low cost items.

This agreement is truly self explanatory.



We would however draw your attention to clause 4 where the parties will need to state what the Territory is.  The Agent will only be allowed to sell goods within this area so careful thought will need to be given to this area. If it is intended that the Principle will appoint several agents then he will need to ensure that each agent has his own unique territory. An example of a Territory would be the area with the M25, The county of Essex, England or a specific post code.




DISCLAIMER:

FindLegalForms, Inc. (“FLF”) is not a law firm and does not provide legal advice.  The use of these materials is not a substitute for legal advice.     Only a lawyer/solicitor/barrister can provide legal advice.  A lawyer/solicitor/barrister should be consulted for all serious legal matters. No Lawyer-Client / Solicitor-Client relationship is created by use of these materials.  



THESE MATERIALS ARE PROVIDED “AS-IS.  FLF DOES NOT GIVE ANY EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY, SUITABILITY OR COMPLETENESS FOR ANY OF THE MATERIALS FOR YOUR PARTICULAR NEEDS.  THE MATERIALS ARE USED AT YOUR OWN RISK.  IN NO EVENT WILL:  I) FLF, ITS AGENTS, PARTNERS, OR AFFILIATES; OR II) THE PROVIDERS, AUTHORS OR PUBLISHERS OF ITS MATERIALS, BE RESPONSIBLE OR LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES; LOSS OF USE, DATE OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER USED AND ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE OF THESE MATERIALS. 


SALES AGENCY AGREEMENT (Short Form)



Date:                         20

Parties:

1     “The principal”: [        ] corporation organised and existing under the laws of [        ], whose principal place of business is at [        ].


2     “The agent”: [        ] a company incorporated in England, whose registered office is at [        ]



1   Appointment

The principal hereby appoints the agent as non-exclusive agent for the purpose of canvassing for and negotiating orders for the principals products covered by this agreement and transmitting promptly to the principal all such orders when obtained.

2   Definition of Products

The products covered by this agreement (the “Products”) are all the principals Products for which the principal has from time to time provided the agent with a price list or pricing guidelines and in respect of which the agent has agreed to act as agent in accordance with the relevant price list or pricing guideline.

3   Prices for the Products

The initial set of such price lists and pricing guidelines (the “Initial Set”) is attached hereto and signed by the parties for the purposes of identification. The parties may from time to time by agreement add further price lists and guidelines to or amend or delete existing price lists or guidelines from the Initial Set by means of an exchange of letters.

4   The territory

The agent is free to canvass for orders for the Products from any customers in the area of [                ].

5   Principals right to refuse orders

The principal reserves the right to refuse any order for the Products on any grounds; but shall, if required by the agent, supply to the agent the reasons for such refusal.

6   Acceptance of orders and rates of commission
 
The principal will pay to the agent commission on orders for the Products negotiated by the agent and accepted by the principal. The rate of commission to be paid may vary according to the circumstances of the sale and the Product sold, the appropriate rate of commission being specified in the relevant price list or guidelines. The principal shall, at the time of its acceptance, notify the agent of each order so accepted, and send to the agent together with such notification a statement of the commission payable to the agent in respect of that order. The agent may (subject to reasonable notice) inspect the principals accounting records to verify such statements and the commission due to him.

7   Payment of commission

Commission together with any value added tax due thereon if applicable will be paid in respect of each order accepted by the principal at the end of the month following the month in which the principal accepts that order, provided that:

7.1   the agent has in respect of such order previously submitted to the Principal a value added tax invoice requiring payment of the relevant commission together with the value added tax due thereon; and

7.2   in the event of refusal of any order by the principal, or upon subsequent cancellation of any order by either the customer or the principal, but in the case of any such cancellation only where the same has not occurred because of default of the principal, then the principal reserves the right to vary the commission due for that order or to pay no commission at all. In the event that commission may have already been paid, then this may become refundable and the principal reserves the right to offset such commission against any other commission that may be payable to the agent.

8   Principal dealing directly or through other agents

If the principal deals directly or through another agent with a customer generated by the agent, the agent shall be entitled to [half] of the normal commission on the transaction. If the agent negotiates an order from a customer generated by another agent of the principal (who is either currently appointed as such or else whose appointment has terminated, but who is entitled to commission under a provision in his agency agreement equivalent to clause 14) the agent shall be entitled to such proportion, if any, as is equitable of the normal commission on that transaction, the balance of such commission being paid to the other agent.

9   Samples and information to be provided by principal

The principal shall provide all necessary samples, order books, contract forms, leaflets and brochures and other documents relating to the Products provided by the principal (the “Documents”) and the same shall remain the property of the principal. The Documents shall be maintained in good condition and returned to the principal at any time when requested.

10   Agents expenses

The agent shall be responsible for all his operating expenses, shall provide his own transport suitably insured for the conduct of the principals business in the Products and shall indemnify the principal against any loss or claim arising from the use of any vehicle in the conduct of such business.

11   Non-compete obligations

It is agreed that, while acting as an agent for the principal, the agent will not act as agent for or otherwise directly or indirectly deal in any items which are similar to or compete or are likely to compete with any of the Products.

12   Agent not an employee

Nothing in this agreement, or otherwise, shall make the agent an employee of the principal.

13   Limitations on agents authority to commit principal

Nothing in this agreement or otherwise shall entitle the agent to make any representations or warranties on behalf of the principal (save to confirm or communicate any terms conditions or information contained in the Documents) or enter into any contract or agreements on behalf of the principal, or pledge the credit of the principal.

14   Termination by notice

This agreement may be terminated by either party giving one months notice in writing in the first year thereof, two months notice in the second year thereof, and thereafter by three months notice in writing. The agent shall following such termination be entitled to commission on all orders which reached him or the principal prior thereto, and on all orders concluded during a reasonable period subsequent thereto, if they were mainly attributable to his efforts prior to such termination. Where the principal has appointed a new agent after such termination, the agent shall be entitled to commission on all of the foregoing at such proportion, if any, as is equitable of the normal rate, the balance of such commission being paid to the new agent.

15   Summary termination

Without prejudice to any remedy it may have against the agent for breach or non-performance of this agreement, the principal shall have the right summarily to terminate this agreement in the event of the agent committing any such breach or non-performance or neglect of his duties under this agreement or being guilty of dishonest conduct.

16   Governing law

The construction, performance and validity of this agreement shall be governed by the Laws of England.


   

            …..
The Principal                     The Agent

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