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Exclusive Selling Agency Agreement Template for Germany

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Key Requirements PROMPT example:

Exclusive Selling Agency Agreement

"I need an Exclusive Selling Agency Agreement for our German manufacturing company to appoint a commercial agent to sell industrial machinery in Bavaria and Baden-Württemberg, with a minimum sales target of €2 million annually and commission rate of 8%, starting March 2025."

Document background
The Exclusive Selling Agency Agreement is a crucial document for businesses seeking to establish a protected distribution channel in specific territories within Germany or the EU. This agreement type is particularly relevant when a principal wishes to grant exclusive rights to a commercial agent to sell products or services in a defined area, while maintaining control over the distribution strategy. The document must comply with German law, particularly the German Commercial Code (HGB) §§ 84-92c, which provides specific protections for commercial agents, as well as relevant EU regulations regarding vertical agreements and competition law. This agreement typically includes detailed provisions on exclusivity rights, commission structures, performance requirements, and termination conditions, making it essential for businesses expanding their distribution networks through agency relationships.
Suggested Sections

1. Parties: Identification of the principal and the commercial agent, including full legal names, registration details, and addresses

2. Background: Context of the agreement, brief description of the parties' businesses, and their intention to enter into an exclusive selling agency arrangement

3. Definitions: Definitions of key terms used throughout the agreement, including Territory, Products, Customers, Commission, etc.

4. Appointment and Scope: Terms of the exclusive appointment, scope of authority, and territorial restrictions

5. Duration and Term: Initial term of the agreement and any renewal provisions

6. Agent's Rights and Obligations: Detailed responsibilities of the agent, including promotion, customer service, reporting requirements, and compliance obligations

7. Principal's Rights and Obligations: Principal's commitments, including product supply, support, training, and information provision

8. Exclusivity Provisions: Detailed terms of exclusivity, including territorial protection and restrictions on both parties

9. Commission Structure: Calculation of commission, payment terms, and conditions for commission entitlement

10. Intellectual Property Rights: Usage rights and restrictions regarding trademarks, logos, and other IP

11. Confidentiality: Protection of confidential information and trade secrets

12. Data Protection: GDPR compliance and data handling requirements

13. Termination: Grounds for termination, notice periods, and consequences of termination

14. Post-Termination Provisions: Post-contractual obligations, compensation claims, and handover requirements

15. Governing Law and Jurisdiction: Confirmation of German law application and jurisdiction for disputes

Optional Sections

1. Non-Compete Obligations: Post-contractual competition restrictions, used when the principal wants to protect market position after termination

2. Minimum Performance Requirements: Specific sales targets or KPIs, included when performance metrics are crucial

3. Sub-Agents: Terms for appointing sub-agents, included when sub-agency arrangements are permitted

4. Insurance Requirements: Specific insurance obligations, included for high-value products or regulated sectors

5. Marketing and Advertising: Detailed marketing obligations and restrictions, included when specific marketing requirements exist

6. Training Requirements: Specific training obligations, included for technical products or regulated industries

7. Stock Holding: Terms for maintaining inventory, included when agent will hold stock

8. Force Majeure: Provisions for unforeseen circumstances, included for long-term or high-value agreements

Suggested Schedules

1. Schedule 1: Products: Detailed list of products covered by the agreement

2. Schedule 2: Territory: Detailed description of the exclusive territory, including maps if relevant

3. Schedule 3: Commission Rates: Detailed commission structure, including any variations by product or customer type

4. Schedule 4: Reporting Requirements: Templates and timeframes for regular reporting

5. Schedule 5: Customer List: List of existing customers and any special arrangements

6. Schedule 6: Marketing Guidelines: Detailed marketing and branding requirements

7. Schedule 7: KPIs and Performance Metrics: Detailed performance targets and measurement criteria

8. Appendix A: Standard Operating Procedures: Detailed operational procedures and requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions














































Clauses



































Relevant Industries

Manufacturing

Industrial Products

Consumer Goods

Automotive

Electronics

Chemical Products

Pharmaceuticals

Machinery and Equipment

Textile and Apparel

Food and Beverage

Construction Materials

Medical Devices

Software and Technology

Agricultural Products

Relevant Teams

Legal

Sales

Commercial

Business Development

Operations

Compliance

Finance

Distribution

International Business

Contract Management

Relevant Roles

Sales Director

Commercial Director

Business Development Manager

Legal Counsel

Contracts Manager

Sales Operations Manager

Distribution Manager

Country Manager

Regional Sales Manager

Chief Commercial Officer

Managing Director

Head of Sales

General Counsel

Compliance Officer

Commercial Agent

Sales Representative

Territory Manager

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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