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Broker To Broker Commission Agreement
"I need a Broker to Broker Commission Agreement for a partnership between a mortgage broker and an insurance broker in Sydney, with a 60-40 commission split on cross-referrals and specific provisions for trailing commissions on mortgage products."
1. Parties: Identification of the brokers entering into the agreement, including their legal names, ABN/ACN, addresses, and relevant license numbers
2. Background: Context of the agreement, including the nature of the broking services and the purpose of the commission-sharing arrangement
3. Definitions: Detailed definitions of key terms used throughout the agreement, including types of commission, clients, and services
4. Scope of Agreement: Defines the specific services and transactions covered by the commission-sharing arrangement
5. Regulatory Compliance: Acknowledgment and commitment to comply with relevant financial services laws and regulations
6. Commission Structure: Details of commission calculations, splitting arrangements, and payment terms
7. Payment Terms: Specifics about payment timing, method, and handling of disputes
8. Obligations of the Parties: Specific duties and responsibilities of each broker
9. Confidentiality: Protection of confidential information and client data
10. Term and Termination: Duration of the agreement and circumstances for termination
11. Dispute Resolution: Process for handling disagreements between the parties
12. General Provisions: Standard contract clauses including governing law, notices, and amendments
1. Cross-Border Transactions: Include when brokers operate across different jurisdictions or states
2. Professional Indemnity Insurance: Details of required insurance coverage when dealing with high-value transactions
3. Marketing and Branding: Include when parties need to specify how each broker's brand can be used
4. Training Requirements: Include when specific training or certification requirements need to be maintained
5. Data Protection: Detailed section on data handling when extensive client information sharing is involved
6. Non-Solicitation: Include when parties want to prevent poaching of clients or staff
7. Force Majeure: Include for protection against unforeseen circumstances affecting performance
8. Assignment Rights: Include when transfer of rights needs to be specifically addressed
1. Schedule 1 - Commission Rates: Detailed breakdown of commission rates for different products or services
2. Schedule 2 - Approved Products: List of financial products covered under the agreement
3. Schedule 3 - Service Level Requirements: Specific performance metrics and service standards
4. Schedule 4 - Compliance Procedures: Detailed compliance requirements and procedures
5. Schedule 5 - Reporting Templates: Standard forms for commission reporting and reconciliation
6. Appendix A - Required Licenses: Copies or details of required regulatory licenses and authorizations
7. Appendix B - Contact Details: Key personnel and escalation points for both parties
Authors
AFSL
ASIC
Authorized Representative
Business Day
Client
Commission
Commission Period
Commencement Date
Confidential Information
Corporations Act
Dispute
Effective Date
Eligible Transaction
Excluded Transaction
Financial Product
Financial Service
Force Majeure Event
Gross Commission
Intellectual Property Rights
Licensed Activities
Material Breach
Net Commission
Notice
Payment Date
Personal Information
Privacy Laws
Professional Standards
Referral
Regulatory Requirements
Related Body Corporate
Representative
Services
Share of Commission
Term
Territory
Transaction
Working Hours
Written Notice
Commission Split
Trailing Commission
Upfront Commission
Client Data
Compliance Manual
Service Level Requirements
Professional Indemnity Insurance
Regulatory License
Commission Statement
Appointment
Term
Regulatory Compliance
Licensing Requirements
Commission Structure
Payment Terms
Calculation Method
Commission Adjustments
Reporting Requirements
Confidentiality
Data Protection
Privacy
Representations and Warranties
Obligations
Performance Standards
Record Keeping
Audit Rights
Intellectual Property
Non-Solicitation
Non-Competition
Indemnification
Insurance
Termination
Force Majeure
Dispute Resolution
Governing Law
Assignment
Notices
Amendment
Severability
Entire Agreement
Third Party Rights
Counterparts
Client Protection
Commission Clawback
Service Standards
Compliance Monitoring
Professional Standards
Referral Process
Financial Services
Insurance
Mortgage and Lending
Investment Banking
Securities Trading
Wealth Management
Real Estate
Commercial Finance
Asset Management
Corporate Finance
Legal
Compliance
Finance
Operations
Risk Management
Business Development
Partnerships
Commission Processing
Broker Relations
Account Management
Financial Broker
Insurance Broker
Mortgage Broker
Securities Broker
Investment Broker
Commercial Finance Broker
Compliance Officer
Legal Counsel
Chief Financial Officer
Business Development Manager
Partnership Manager
Operations Manager
Risk Manager
Commission Manager
Relationship Manager
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