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Commission Only Contract Template for Netherlands

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Key Requirements PROMPT example:

Commission Only Contract

"I need a Commission Only Contract for appointing an independent sales representative to sell our software products in the Netherlands, with an exclusive territory arrangement and scaled commission rates starting at 15% for the first €100,000 in sales, effective from March 1, 2025."

Document background
This Commission Only Contract is designed for use in the Netherlands when establishing a pure commission-based commercial relationship between a business and an independent sales representative. It's particularly suitable for companies looking to expand their sales presence without adding fixed salary costs to their payroll. The document comprehensively addresses all aspects required under Dutch law and EU regulations, including detailed commission structures, territory assignments, performance expectations, and compliance requirements. Key provisions cover commission calculations, payment terms, reporting obligations, and termination conditions, all aligned with Dutch commercial law and the EU Commercial Agency Directive. This agreement is commonly used in various sectors where independent sales representation is prevalent, such as retail, technology, and professional services.
Suggested Sections

1. Parties: Identification of the principal company and the commission agent/representative

2. Background: Context of the agreement and brief description of the business relationship

3. Definitions: Key terms used throughout the agreement including 'Commission', 'Territory', 'Products/Services', 'Customers'

4. Appointment and Scope: Terms of appointment, territory definition, and scope of products/services covered

5. Commission Structure: Detailed explanation of commission rates, calculation methods, and payment terms

6. Performance Requirements: Minimum performance standards, sales targets, and reporting requirements

7. Rights and Obligations: Responsibilities of both parties, including reporting, support, and compliance requirements

8. Term and Termination: Duration of the agreement and conditions for termination

9. Intellectual Property: Usage rights for trademarks, logos, and other IP during the contract period

10. Confidentiality: Protection of confidential information and trade secrets

11. Data Protection: GDPR compliance and data handling requirements

12. Governing Law and Jurisdiction: Specification of Dutch law application and dispute resolution procedures

Optional Sections

1. Exclusivity Provisions: Used when the agent is granted exclusive rights in certain territories or for specific products

2. Training and Support: Include when specific training or support services will be provided by the principal

3. Post-Termination Provisions: Used when including non-compete clauses or special commission arrangements post-termination

4. Insurance Requirements: Include when specific insurance coverage is required from the agent

5. Marketing and Promotion: Used when the agent has specific marketing responsibilities or restrictions

6. Inventory Requirements: Include when the agent needs to maintain certain stock levels

7. Sub-agents: Include when the agent is permitted to appoint sub-agents

8. Force Majeure: Used when specific provisions for unforeseen circumstances are needed

Suggested Schedules

1. Schedule 1 - Commission Rates: Detailed breakdown of commission rates for different products/services

2. Schedule 2 - Territory Definition: Detailed description of geographical areas or market segments covered

3. Schedule 3 - Product/Service List: Comprehensive list of products or services covered by the agreement

4. Schedule 4 - Performance Targets: Specific sales targets and performance metrics

5. Schedule 5 - Reporting Templates: Standard forms for regular sales and activity reporting

6. Schedule 6 - Operating Procedures: Detailed procedures for order processing, customer service, and other operational matters

7. Appendix A - Company Policies: Relevant company policies that the agent must comply with

8. Appendix B - Training Requirements: Specific training requirements and certification standards if applicable

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





































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Relevant Industries

Retail

Real Estate

Insurance

Financial Services

Software and Technology

Manufacturing

Wholesale Distribution

Telecommunications

Professional Services

Consumer Goods

Industrial Equipment

Automotive

Pharmaceuticals

Fashion and Apparel

Relevant Teams

Legal

Sales

Business Development

Human Resources

Compliance

Operations

Commercial Operations

Contract Administration

Finance

Risk Management

Relevant Roles

Sales Director

Business Development Manager

Commercial Director

Sales Operations Manager

Channel Manager

Legal Counsel

HR Director

Compliance Officer

Contract Manager

Sales Representative

Business Development Representative

Commercial Agent

Regional Sales Manager

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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