Freight Broker Agent Agreement Template for India

The Freight Broker Agent Agreement serves as a crucial document in India's logistics industry, establishing a formal business relationship between freight brokers and their agents. This agreement becomes necessary when a freight broker wishes to expand their business operations through local representatives who can secure and manage freight transportation arrangements in specific territories. The document comprehensively addresses key aspects including agent appointments, commission structures, operational protocols, and compliance requirements under Indian law. It incorporates essential elements from relevant Indian legislation, including the Carriage by Road Act, 2007, the Indian Contract Act, 1872, and current GST regulations. The agreement is particularly relevant in today's expanding logistics market, where efficient last-mile delivery and local market penetration are crucial for success.

1. Parties: Identification of the Freight Broker and the Agent, including full legal names, addresses, and registration details

2. Background: Context of the agreement, including the broker's business nature and intention to appoint the agent

3. Definitions: Key terms used throughout the agreement, including 'Services', 'Territory', 'Customers', 'Commission', etc.

4. Appointment and Territory: Formal appointment of the agent and definition of the geographical area where the agent is authorized to operate

5. Agent's Rights and Obligations: Detailed listing of the agent's responsibilities, including customer acquisition, rate negotiations, and service coordination

6. Broker's Rights and Obligations: Broker's commitments, including support services, training, and information provision to the agent

7. Commission Structure: Detailed explanation of commission calculations, payment terms, and conditions for commission eligibility

8. Compliance Requirements: Legal and regulatory compliance obligations, including transportation laws, GST requirements, and documentation standards

9. Confidentiality: Protection of confidential information and trade secrets

10. Non-Compete and Non-Solicitation: Restrictions on competitive activities and customer solicitation during and after the agreement

11. Term and Termination: Duration of the agreement and conditions for termination by either party

12. Post-Termination Obligations: Responsibilities and restrictions that survive after agreement termination

13. Governing Law and Dispute Resolution: Applicable law and procedures for resolving disputes