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Direct Selling Agreement
"I need a Direct Selling Agreement under Malaysian law for my cosmetics company that includes special provisions for e-commerce sales and social media marketing, with the agreement intended to take effect from March 2025."
1. Parties: Identification of the direct selling company and the direct seller/distributor
2. Background: Context of the agreement, brief description of the company's business and the purpose of the direct selling arrangement
3. Definitions: Definitions of key terms used throughout the agreement
4. Appointment and Territory: Terms of appointment as direct seller and defined territory of operation
5. Rights and Obligations of Direct Seller: Comprehensive list of distributor's responsibilities, including compliance with laws and company policies
6. Company's Rights and Obligations: Company's commitments, support services, and training provisions
7. Products and Pricing: Details about products/services to be sold and pricing policies
8. Orders and Delivery: Process for ordering products and delivery arrangements
9. Commission Structure: Detailed explanation of compensation plan and payment terms
10. Compliance and Training: Requirements for regulatory compliance and mandatory training
11. Term and Termination: Duration of agreement and circumstances for termination
12. Post-Termination Obligations: Rights and obligations of both parties after agreement ends
13. Confidentiality: Protection of confidential information and trade secrets
14. Non-Competition and Non-Solicitation: Restrictions on competitive activities during and after the agreement
15. Governing Law and Dispute Resolution: Applicable law and methods for resolving disputes
16. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. International Operations: Required when direct seller is authorized to operate in multiple countries
2. E-commerce Provisions: Required when online selling is permitted, including website and social media policies
3. Minimum Purchase Requirements: Include when the business model requires maintaining minimum inventory levels
4. Team Building and Downline Management: Required for multi-level marketing structures
5. Product Storage and Handling: Required for products with special storage requirements or perishable goods
6. Personal Data Protection: Detailed section required when extensive customer data collection is involved
7. Marketing Materials and Approval Process: Required when direct sellers create their own marketing materials
8. Insurance Requirements: Include when direct sellers need to maintain specific insurance coverage
1. Schedule 1: Product List: Comprehensive list of approved products/services with pricing
2. Schedule 2: Commission Structure: Detailed breakdown of compensation plan, bonuses, and qualification criteria
3. Schedule 3: Territory Map: Geographical boundaries of authorized selling territory
4. Schedule 4: Operating Procedures: Detailed company policies and procedures for direct selling activities
5. Schedule 5: Marketing Guidelines: Approved marketing practices and brand usage guidelines
6. Schedule 6: Training Requirements: Mandatory training modules and certification requirements
7. Appendix A: Registration Forms: Standard forms for distributor registration and customer orders
8. Appendix B: Compliance Checklist: Regulatory compliance requirements and verification checklist
Authors
Consumer Goods
Health and Wellness
Beauty and Cosmetics
Nutritional Supplements
Home Care Products
Personal Care Products
Household Items
Lifestyle Products
Educational Materials
Financial Services
Legal
Compliance
Sales Operations
Distribution
Business Development
Training and Development
Distributor Relations
Contract Administration
Risk Management
Regional Operations
Legal Counsel
Compliance Officer
Direct Sales Manager
Business Development Manager
Operations Director
Sales Director
Distribution Network Manager
Distributor Relations Manager
Training Coordinator
Regional Sales Manager
Compliance Manager
Contract Administrator
Sales Operations Manager
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