Car Referral Fee Agreement Template for Malaysia

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Key Requirements PROMPT example:

Car Referral Fee Agreement

"I need a Car Referral Fee Agreement for my luxury car dealership in Kuala Lumpur, with a tiered commission structure starting at 2% for vehicles under RM200,000 and 3% for vehicles over RM200,000, to be used with professional property agents who can refer high-net-worth clients."

Document background
The Car Referral Fee Agreement is essential for automotive businesses in Malaysia looking to expand their sales network through referral partnerships. This document is typically used when a car dealership or automotive company wants to formalize arrangements with individuals or businesses who can refer potential car buyers, setting out clear terms for commission payments and referral processes. The agreement ensures compliance with Malaysian contract law, consumer protection regulations, and automotive industry standards while protecting both parties' interests. It's particularly important in the Malaysian market where referral networks play a significant role in automotive sales and where regulatory compliance in vehicle transactions is strictly monitored.
Suggested Sections

1. Parties: Identifies and provides full details of the referrer and the car dealership/company

2. Background: Explains the context of the agreement and the parties' intentions

3. Definitions: Defines key terms used throughout the agreement

4. Appointment and Scope: Establishes the referrer's role and the nature of the referral relationship

5. Referral Process: Details the specific process for making and tracking referrals

6. Referral Fee Structure: Specifies the fee calculation method and payment terms

7. Payment Terms: Outlines when and how payments will be made, including tax considerations

8. Obligations of the Referrer: Lists the referrer's responsibilities and commitments

9. Obligations of the Company: Lists the company's responsibilities in handling referrals and payments

10. Term and Termination: Specifies the agreement duration and termination conditions

11. Confidentiality: Protects confidential information exchanged during the referral process

12. Governing Law: Specifies Malaysian law as governing law and jurisdiction

13. General Provisions: Includes standard contractual provisions like notices, amendments, and severability

Optional Sections

1. Non-Compete Clause: Restricts the referrer from working with competitors (used when dealing with professional referrers or agents)

2. Intellectual Property: Protects company branding and materials (used when referrer will use company marketing materials)

3. Insurance: Requires professional insurance coverage (used for professional referrers or agents)

4. Marketing Guidelines: Sets rules for how the referrer can market the company's vehicles (used when referrer is allowed to market actively)

5. Data Protection: Additional provisions for handling customer data (used when referrer will collect customer information)

6. Performance Targets: Sets minimum referral targets (used for professional or exclusive referral arrangements)

Suggested Schedules

1. Schedule 1: Fee Structure: Detailed breakdown of referral fees for different vehicle types or sale values

2. Schedule 2: Referral Process Flow: Step-by-step procedure for making and processing referrals

3. Schedule 3: Approved Marketing Materials: List of approved marketing materials and usage guidelines

4. Schedule 4: Reporting Template: Standard format for tracking and reporting referrals

5. Appendix A: Contact Details: Key contact information for both parties

6. Appendix B: Referral Form Template: Standard form for submitting referrals

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

Relevant Industries

Automotive

Car Dealership

Vehicle Sales

Financial Services

Insurance

Professional Services

Real Estate

Relevant Teams

Legal

Sales

Business Development

Finance

Compliance

Operations

Partnership Management

Dealer Operations

Contract Administration

Relevant Roles

Sales Manager

Business Development Manager

Legal Counsel

Compliance Officer

Finance Manager

Automotive Sales Executive

Commission Administrator

Referral Program Coordinator

Operations Manager

Contract Administrator

Partnership Manager

Dealer Principal

Industries
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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