Referral Contract Agreement Template for England and Wales

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Key Requirements PROMPT example:

Referral Contract Agreement

"I need a Referral Contract Agreement for my financial advisory firm to establish a referral arrangement with a mortgage broker, with a 20% commission structure and specific compliance requirements for FCA regulations, starting from March 2025."

Document background
A Referral Contract Agreement is essential when businesses wish to formalize arrangements for referring clients or opportunities. Under English and Welsh law, this agreement defines the referral relationship, protecting both parties' interests while ensuring compliance with UK regulations including data protection and industry-specific requirements. The document typically includes detailed provisions on referral processes, compensation structures, confidentiality obligations, and compliance requirements. It's particularly important in regulated industries where formal documentation of referral arrangements is mandatory.
Suggested Sections

1. Parties: Identification and details of the contracting parties

2. Background: Context and purpose of the referral arrangement

3. Definitions: Key terms used throughout the agreement

4. Referral Terms: Core obligations regarding referral process and requirements

5. Compensation: Payment terms, fees, and calculation methods

6. Term and Termination: Duration and termination provisions

7. Confidentiality: Protection of confidential information

Optional Sections

1. Regulatory Compliance: Additional provisions for compliance with industry-specific regulations when referrals involve regulated industries

2. Non-Solicitation: Restrictions on soliciting referred clients, typically used in professional services or high-value referral arrangements

3. Service Levels: Performance standards for handling referrals, used in volume-based or systematic referral arrangements

Suggested Schedules

1. Referral Fee Schedule: Detailed breakdown of fee structure and calculations

2. Referral Process: Step-by-step process for making and handling referrals

3. Data Processing Agreement: GDPR-compliant data processing terms for handling personal data

4. Service Level Agreement: Detailed performance metrics and standards for complex referral arrangements

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

Clauses
Relevant Industries
Relevant Teams
Relevant Roles
Industries

Common Law Contract Principles: Fundamental principles governing contract formation, offer, acceptance, consideration, and intention to create legal relations under English common law

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract to which they are not a direct party

Unfair Contract Terms Act 1977: Controls the use of exclusion and limitation clauses in contracts, ensuring fairness in contractual relationships

UK General Data Protection Regulation (UK GDPR): Post-Brexit data protection regulation governing the processing of personal data in the UK

Data Protection Act 2018: The UK's implementation of data protection laws, working alongside UK GDPR to regulate personal data processing

Privacy and Electronic Communications Regulations (PECR): Specific rules governing privacy and electronic communications, including electronic marketing and cookies

Financial Services and Markets Act 2000: Primary legislation governing financial services regulation in the UK, including referral arrangements in financial sector

FCA Regulations: Financial Conduct Authority rules and guidelines governing financial services, including referral arrangements

Financial Services (Distance Marketing) Regulations 2004: Regulations governing the remote marketing and selling of financial services

Competition Act 1998: Legislation prohibiting anti-competitive behavior and agreements that could affect trade

Enterprise Act 2002: Law governing market regulation and competition, including merger control and market investigations

Consumer Rights Act 2015: Key consumer protection legislation governing contracts between businesses and consumers

Consumer Protection from Unfair Trading Regulations 2008: Regulations protecting consumers from unfair commercial practices, including misleading actions or omissions

Bribery Act 2010: Anti-corruption legislation governing bribery and inappropriate incentives in business relationships

Electronic Commerce (EC Directive) Regulations 2002: Regulations governing electronic commerce and online business activities, including online referral systems

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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