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Commission Based Contract
"I need a Commission Based Contract for my real estate agency in Melbourne, starting January 2025, with a simple 5% commission structure for residential property sales and additional provisions for exclusive listing rights."
1. Parties: Identification of the principal and the commissioner/agent, including ABN/ACN and registered addresses
2. Background: Context of the agreement, nature of the business, and purpose of the commission arrangement
3. Definitions: Key terms used throughout the agreement, including specific industry terminology and commission-related definitions
4. Appointment and Scope: Terms of appointment, territory/market coverage, and scope of authorized activities
5. Commission Structure: Detailed explanation of commission rates, calculation methods, and qualifying criteria
6. Payment Terms: Timing of commission payments, payment methods, and handling of disputed amounts
7. Obligations of the Principal: Principal's responsibilities, including provision of information, support, and resources
8. Obligations of the Commissioner: Commissioner's duties, performance standards, and compliance requirements
9. Reporting and Records: Requirements for sales reporting, record-keeping, and audit rights
10. Term and Termination: Duration of the agreement, renewal provisions, and termination circumstances
11. Post-Termination Obligations: Handling of pending commissions and wrap-up procedures after termination
12. Confidentiality: Protection of confidential information and trade secrets
13. General Provisions: Standard legal clauses including governing law, notices, and dispute resolution
1. Non-Compete and Non-Solicitation: Restrictions on competitive activities and client solicitation, used when protecting business interests is crucial
2. Intellectual Property: IP ownership and usage rights, included when the role involves creation or use of intellectual property
3. Insurance Requirements: Specific insurance obligations, included for high-risk activities or regulatory compliance
4. Performance Targets: Minimum performance requirements and consequences, used when specific targets are essential
5. Training and Support: Details of training provided and ongoing support, included for complex products or services
6. Sub-agents: Rules regarding appointment of sub-agents, included when sub-delegation is permitted
7. Marketing and Promotion: Guidelines for marketing activities and brand usage, included when commissioner handles promotion
8. Data Protection: Specific data handling requirements, included when personal or sensitive data is involved
1. Schedule 1 - Commission Rates: Detailed breakdown of commission rates, tiers, and special incentives
2. Schedule 2 - Territory/Products: Specific definition of geographic territory and/or products/services covered
3. Schedule 3 - Reporting Templates: Standard forms and templates for regular reporting requirements
4. Schedule 4 - Performance Metrics: Detailed KPIs and measurement criteria
5. Schedule 5 - Approved Marketing Materials: List of approved marketing materials and usage guidelines
6. Appendix A - Calculation Examples: Examples of commission calculations for different scenarios
7. Appendix B - Operating Procedures: Detailed operational procedures and workflows
Authors
Commission
Commencement Date
Confidential Information
Customer
Effective Date
Eligible Sales
Excluded Sales
Force Majeure Event
Gross Sales
Initial Term
Intellectual Property Rights
Net Sales
Payment Period
Performance Targets
Principal
Products
Quarter
Representative
Revenue
Sales Territory
Services
Target Market
Term
Termination Date
Commission Period
Qualifying Transaction
Commission Rate
Commission Statement
Operating Procedures
Reporting Period
Sub-agent
Business Day
Contract Year
GST
Material Breach
Minimum Performance Requirements
Payment Date
Related Body Corporate
Sales Report
Commission Threshold
Clawback Period
Earned Commission
Lead
Marketing Materials
Opportunity
Performance Metrics
Commission Split
Territory
Term
Territory
Commission Structure
Payment Terms
Performance Requirements
Reporting Obligations
Record Keeping
Audit Rights
Confidentiality
Non-Competition
Non-Solicitation
Intellectual Property
Representations and Warranties
Indemnification
Insurance
Termination
Force Majeure
Assignment
Independent Contractor Status
Compliance with Laws
Data Protection
Dispute Resolution
Governing Law
Notices
Entire Agreement
Amendment
Severability
Third Party Rights
GST and Taxation
Marketing and Promotion
Training and Support
Sub-contracting
Customer Relationships
Product Knowledge
Commission Calculation
Commission Adjustments
Post-Termination Obligations
Account Management
Exclusivity
Brand Protection
Real Estate
Financial Services
Insurance
Retail
Technology
Manufacturing
Professional Services
Telecommunications
Automotive
Pharmaceuticals
Construction
Media and Advertising
Sales
Business Development
Legal
Finance
Compliance
Operations
Human Resources
Contract Administration
Commercial
Risk Management
Sales Director
Business Development Manager
Commission Agent
Sales Representative
Channel Partner Manager
Account Executive
Regional Sales Manager
Real Estate Agent
Insurance Broker
Financial Advisor
Commercial Director
Sales Operations Manager
Contract Administrator
Legal Counsel
Finance Manager
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