Commission Agreement Between Brokers Template for United Arab Emirates

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Key Requirements PROMPT example:

Commission Agreement Between Brokers

"I need a Commission Agreement Between Brokers for a collaboration between my Dubai-based luxury residential brokerage firm and an Abu Dhabi commercial property broker, with a 60-40 commission split for cross-emirate referrals starting March 2025."

Document background
A Commission Agreement Between Brokers is essential when licensed real estate brokers in the UAE wish to formalize their collaboration and commission-sharing arrangements. This document is particularly relevant in the UAE market where cross-broker collaboration is common and strictly regulated. The agreement must comply with UAE federal laws, including UAE Federal Law No. 5 of 1985 (Civil Code) and specific emirate-level regulations such as RERA requirements in Dubai. It details commission splits, payment procedures, regulatory compliance requirements, and dispute resolution mechanisms. This type of agreement is commonly used when brokers from different firms collaborate on property transactions, want to establish long-term referral relationships, or work together on significant property portfolios.
Suggested Sections

1. Parties: Identification of the brokers entering into the agreement, including their license numbers and registration details

2. Background: Context of the agreement and the brokers' intention to collaborate and share commissions

3. Definitions: Key terms used in the agreement, including types of transactions, territory, and commission calculations

4. Scope of Collaboration: Details of how the brokers will work together and share business opportunities

5. Commission Structure: Specific breakdown of commission sharing percentages and calculation methods

6. Payment Terms: Timing and method of commission payments, including invoicing requirements

7. Obligations of the Parties: Specific duties and responsibilities of each broker

8. Regulatory Compliance: Compliance requirements with UAE federal and emirate-specific broker regulations

9. Confidentiality: Protection of confidential information shared between the parties

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

11. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for disputes

12. General Provisions: Standard clauses including notices, amendments, and entire agreement

Optional Sections

1. Territory Restrictions: Used when the collaboration is limited to specific emirates or geographic areas

2. Exclusive Cooperation: Include when the parties agree to work exclusively with each other for certain types of transactions

3. Marketing and Branding: Required when parties agree to specific marketing arrangements or co-branding

4. Training and Support: Include when one broker will provide training or support to the other's team

5. Insurance Requirements: Used when specific insurance coverage is required beyond standard broker insurance

6. Non-Compete Provisions: Include when parties agree to restrictions on competing activities

7. Force Majeure: Optional clause for circumstances beyond parties' control affecting performance

Suggested Schedules

1. Schedule 1 - Commission Rates: Detailed breakdown of commission percentages for different types of transactions

2. Schedule 2 - Territory Map: If applicable, map or description of geographic territory covered

3. Schedule 3 - Broker Licenses: Copies of current broker licenses and registrations

4. Schedule 4 - Standard Operating Procedures: Agreed procedures for collaboration and commission sharing

5. Appendix A - Contact Details: Key contact information for both parties

6. Appendix B - Required Documentation: List of documents required for commission processing

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 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

Real Estate

Commercial Property

Residential Property

Property Investment

Property Development

Property Management

Real Estate Investment Trusts (REITs)

Commercial Leasing

Retail Property

Industrial Property

Hospitality Property

Relevant Teams

Legal

Compliance

Finance

Operations

Real Estate Sales

Business Development

Property Management

Contract Administration

Risk Management

Executive Leadership

Relevant Roles

Real Estate Broker

Senior Broker

Managing Broker

Property Consultant

Real Estate Manager

Brokerage Director

Commission Manager

Compliance Officer

Legal Counsel

Operations Manager

Finance Director

Managing Director

Chief Executive Officer

Business Development Manager

Sales Director

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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