Document background
The Commission Agreement For Sale of Goods is a critical commercial document used in the Indian market when a company (principal) wishes to engage an independent agent to sell its products on a commission basis rather than through direct employment or distribution arrangements. This agreement type is particularly relevant in the Indian business context, where commission-based sales models are common across various industries. The document addresses key aspects required under Indian law, including commission structures, territorial rights, performance metrics, and compliance requirements. It incorporates provisions from relevant Indian legislation such as the Indian Contract Act, 1872, and the Sale of Goods Act, 1930, while also considering GST implications and commercial practices specific to the Indian market. This agreement is essential for businesses looking to expand their sales reach without establishing direct sales operations, providing a clear framework for commission-based relationships while protecting both parties' interests.
