Non Exclusive Agency Agreement Template for Pakistan

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Key Requirements PROMPT example:

Non Exclusive Agency Agreement

"I need a Non-Exclusive Agency Agreement for appointing a sales agent in Karachi to distribute our pharmaceutical products, with quarterly performance targets and standard commission rates starting from March 2025."

Document background
The Non-Exclusive Agency Agreement is essential for businesses seeking to expand their market presence in Pakistan through appointed representatives while maintaining flexibility in their distribution strategy. This document is commonly used when a principal company wishes to appoint an agent to represent their interests in specific territories without granting exclusive rights. It addresses key aspects such as commission structures, performance metrics, territory definitions, and reporting requirements, while ensuring compliance with Pakistani legal requirements, particularly under the Contract Act 1872 and related commercial regulations. The non-exclusive nature allows principals to maintain multiple agents in the same territory, providing business flexibility and risk mitigation. This agreement type is particularly valuable for companies entering new markets or expanding their distribution networks while maintaining control over their commercial relationships.
Suggested Sections

1. Parties: Identification of the Principal and Agent with full legal names and addresses

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Key terms used throughout the agreement

4. Appointment and Scope: Terms of agent's appointment and explicit statement of non-exclusive nature

5. Territory: Geographical area where agent is authorized to operate

6. Duration and Termination: Term of agreement and conditions for termination

7. Agent's Rights and Obligations: Detailed responsibilities and authorized activities of the agent

8. Principal's Rights and Obligations: Principal's commitments and responsibilities towards the agent

9. Commission Structure: Calculation and payment terms for agent's commission

10. Reporting Requirements: Regular reporting obligations and documentation requirements

11. Confidentiality: Protection of confidential information and trade secrets

12. Non-Solicitation: Restrictions on soliciting customers or employees

13. Governing Law and Jurisdiction: Application of Pakistani law and jurisdiction for disputes

14. General Provisions: Standard boilerplate clauses including notices, amendments, and severability

Optional Sections

1. Minimum Performance Requirements: Used when specific sales targets or performance metrics need to be met by the agent

2. Training and Support: Include when principal provides specific training or support services to the agent

3. Insurance Requirements: Added when specific insurance coverage is required from the agent

4. Intellectual Property Rights: Include when agent needs to use principal's trademarks or other IP

5. Sub-Agents: Include if agent is permitted to appoint sub-agents

6. Data Protection: Required when personal data processing is involved

7. Force Majeure: Include for protection against unforeseen circumstances

8. Post-Termination Obligations: Include when specific post-termination duties need to be outlined

Suggested Schedules

1. Schedule 1 - Products/Services: Detailed list of products or services covered by the agency agreement

2. Schedule 2 - Commission Rates: Detailed commission structure and calculation methods

3. Schedule 3 - Territory Map: Detailed map or description of the authorized territory

4. Schedule 4 - Reporting Templates: Standard forms for regular reporting requirements

5. Schedule 5 - Performance Metrics: Detailed KPIs and measurement criteria if applicable

6. Appendix A - Company Policies: Relevant principal's policies that agent must comply with

7. Appendix B - Required Documentation: List of documents agent must maintain or submit

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 legal definitions
Clauses
Relevant Industries

Manufacturing

Distribution

Retail

Technology

Pharmaceuticals

Automotive

Consumer Goods

Industrial Equipment

Textiles

Agriculture

Construction Materials

Electronics

Chemical Products

Food and Beverage

Relevant Teams

Legal

Commercial

Sales

Business Development

Operations

Compliance

Contract Administration

Distribution

Channel Management

Executive Leadership

Relevant Roles

Commercial Director

Business Development Manager

Legal Counsel

Sales Director

Distribution Manager

Channel Manager

Contract Administrator

Chief Commercial Officer

Regional Sales Manager

Operations Director

Compliance Officer

Managing Director

Chief Executive Officer

Sales and Marketing Director

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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