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Broker Commission Agreement
"I need a Broker Commission Agreement for our financial services firm that includes tiered commission rates based on performance and specific compliance requirements for ASIC-regulated products, with the agreement to commence from March 1, 2025."
1. Parties: Identification of the broker and the principal company entering into the agreement
2. Background: Context of the agreement, nature of the business relationship, and basic premises
3. Definitions and Interpretation: Key terms used throughout the agreement and rules for interpretation
4. Appointment and Scope: Formal appointment of the broker and detailed scope of services to be provided
5. Term and Termination: Duration of the agreement, renewal provisions, and circumstances for termination
6. Broker Services and Obligations: Detailed description of services to be provided and broker's responsibilities
7. Commission Structure: Basic commission rates, calculation methods, and payment terms
8. Payment Terms: Timing of payments, invoicing requirements, and payment procedures
9. Compliance and Regulatory Requirements: Obligations regarding licenses, permits, and regulatory compliance
10. Confidentiality: Protection of confidential information and trade secrets
11. Representations and Warranties: Standard warranties about capacity, authority, and compliance
12. Reporting and Records: Requirements for maintaining records and providing reports
13. Dispute Resolution: Process for handling disputes between parties
14. General Provisions: Standard boilerplate clauses including notices, assignment, and governing law
1. Non-Compete and Non-Solicitation: Restrictions on competitive activities, used when protecting client relationships is crucial
2. Intellectual Property: IP ownership and usage rights, included when branded materials or proprietary systems are involved
3. Insurance Requirements: Specific insurance obligations, included for high-value or high-risk transactions
4. Performance Targets: Minimum performance requirements, included when specific targets are part of the arrangement
5. Training and Support: Details of training provided to broker, included when principal provides significant support
6. Marketing and Branding: Guidelines for using principal's brand, included when broker represents the principal's brand
7. Data Protection: Specific data handling requirements, included when dealing with sensitive customer data
8. Force Majeure: Provisions for unforeseen circumstances, included for longer-term agreements
1. Schedule 1 - Commission Rates and Calculations: Detailed breakdown of commission structures, including different product types or client categories
2. Schedule 2 - Approved Products or Services: List of products or services the broker is authorized to sell or promote
3. Schedule 3 - Territory or Client Allocation: Definition of geographical areas or client segments assigned to the broker
4. Schedule 4 - Reporting Templates: Standard forms and templates for regular reporting requirements
5. Schedule 5 - Service Level Requirements: Detailed performance metrics and service standards
6. Appendix A - Compliance Procedures: Detailed compliance requirements and procedures
7. Appendix B - Document Checklist: List of required documentation for transactions
Authors
Applicable Laws
Approved Products
ASIC
Authorised Representative
Business Day
Client
Commencement Date
Commission
Confidential Information
Corporations Act
Effective Date
Eligible Transaction
Force Majeure Event
Gross Commission
GST
Intellectual Property Rights
Key Performance Indicators
Licensed Activities
Net Commission
Performance Targets
Personal Information
Principal
Products
Regulatory Requirements
Related Body Corporate
Relevant Industry
Services
Territory
Term
Transaction
Working Hours
Commission Period
Commission Rate
Completion Date
Dispute
Good Industry Practice
Material Breach
Notice
Payment Date
Performance Review Period
Professional Standards
Qualified Lead
Records
Referral
Settlement
Termination Date
Trading Hours
Scope of Services
Term and Duration
Commission Structure
Payment Terms
Obligations and Duties
Compliance Requirements
Licensing
Performance Standards
Reporting Requirements
Confidentiality
Non-Compete
Non-Solicitation
Representations and Warranties
Intellectual Property
Data Protection
Record Keeping
Audit Rights
Insurance
Indemnification
Limitation of Liability
Termination
Force Majeure
Assignment
Dispute Resolution
Governing Law
Notices
Entire Agreement
Severability
Variation
Costs
GST
Third Party Rights
Relationship of Parties
Survival
Financial Services
Real Estate
Insurance
Mortgage Broking
Commercial Property
Business Broking
Commodities Trading
Securities Trading
Equipment Leasing
Import/Export
Legal
Compliance
Sales
Finance
Operations
Risk Management
Business Development
Channel Management
Partner Relations
Distribution
Commercial
Chief Executive Officer
Commercial Director
Legal Counsel
Compliance Manager
Sales Director
Business Development Manager
Channel Manager
Broker Relations Manager
Finance Director
Operations Manager
Risk Manager
Contract Administrator
Commission Manager
Partner Manager
Distribution Manager
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