The Sponsorship Sales Agreement is a crucial commercial contract used in Malaysia when establishing formal sponsorship relationships between organizations. This document is essential when a company (sponsor) wishes to associate its brand with an event, property, or organization (rights holder) in exchange for specific rights and benefits. The agreement comprehensively covers all aspects of the sponsorship arrangement, including financial terms, rights granted, usage of intellectual property, and performance obligations. It ensures compliance with Malaysian legal requirements, including the Contracts Act 1950, Trade Descriptions Act 2011, and relevant advertising regulations. The document is particularly important for protecting both parties' interests and establishing clear parameters for the sponsorship relationship, including activation rights, exclusivity provisions, and termination conditions.
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1. Parties: Identification of the parties entering into the agreement - typically the rights holder/property owner and the sponsor
2. Background: Context of the agreement, brief description of the parties and their intention to enter into a sponsorship arrangement
3. Definitions: Definitions of key terms used throughout the agreement
4. Grant of Sponsorship Rights: Detailed description of the sponsorship rights being granted, including any designation rights and usage permissions
5. Term and Termination: Duration of the agreement and circumstances under which it can be terminated
6. Sponsorship Fees: Payment terms, amounts, and schedule of payments
7. Intellectual Property Rights: Rights and restrictions regarding the use of logos, trademarks, and other intellectual property
8. Obligations of the Rights Holder: Specific commitments and duties of the party granting the sponsorship rights
9. Obligations of the Sponsor: Specific commitments and duties of the sponsoring party
10. Representations and Warranties: Standard warranties about authority to contract and ownership of rights
11. Confidentiality: Provisions regarding the protection of confidential information
12. General Provisions: Standard boilerplate clauses including governing law, notices, and entire agreement
1. Exclusivity: Used when the sponsor requires exclusive rights in their product/service category
2. Marketing and Promotion: Included when specific marketing activities and promotional requirements need to be detailed
3. Performance Metrics: When specific measurable outcomes or KPIs are part of the sponsorship arrangement
4. Force Majeure: Particularly relevant for event sponsorships or where external factors could significantly impact the agreement
5. Moral Rights: When the sponsorship involves significant creative or artistic elements
6. Insurance: When specific insurance requirements need to be maintained by either party
7. Anti-Ambush Marketing: When protection against unauthorized association with the sponsored property is crucial
1. Schedule 1 - Sponsorship Rights: Detailed listing of all sponsorship rights, benefits, and entitlements
2. Schedule 2 - Sponsorship Fees and Payment Schedule: Detailed breakdown of fees, payment dates, and any variable components
3. Schedule 3 - Brand Guidelines: Guidelines for usage of logos, marks, and other branded materials
4. Schedule 4 - Marketing and Activation Plan: Detailed marketing activities and timeline
5. Schedule 5 - Reporting Requirements: Format and frequency of performance reports and metrics
6. Appendix A - Approved Sponsor Marks: Visual documentation of approved sponsor logos and marks
7. Appendix B - Approved Property Marks: Visual documentation of approved property/rights holder logos and marks
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