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Free Sample of
Exclusive Agency Agreement

Exclusive Agency Agreement

Exclusive Agency Agreement in Word Format.  Download, edit and reuse as many times as you need.

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Exclusive Agency Agreement

Appointment of a Purchasing Agent

An Exclusive Agency Agreement is an restrictive agreement (involving a good, service, market, or territory) that binds a principal and an agent in an association under which neither can make any similar deals with the other’s competitors (for a specified period).  

An Exclusive Agency Agreement that appoints a purchasing agent for the purchase of the goods. Exclusive agency clauses cover:

  • Definitions
  • Grant
  • Principal’s obligations
  • Termination
  • Termination consequences
  • Miscellaneous
  • Retention of title
  • Reservation of rights
  • Interest
  • Receipt
  • Force majeure
  • Severance
  • Whole agreement
  • Prior agreements
  • Discretion
  • Change of address
  • Notices
  • Headings
  • Joint and several
  • No partnership
  • Assignment
  • Jurisdiction

12 pages

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What is an Agency Agreement

In an agency relationship one party (the agent) has the authority to enter contracts with a third party (the customer) on behalf of the second party (the principal).  The agent transacts on behalf of the principal, and the actual sales contract is between the principal and the customer.  A supplier usually imposes few restrictions on agents and these normally relate to the agent’s powers to bind the supplier.

Who is Accountable?

The agent is accountable for everything they do.  If they incur debt, they are the debts of the principal.  If they break the law, the vicarious responsibility is that of the principal.

Agency contracts often concern agents or principals overseas.  Such contracts may include terms from Incoterms.  ‘Incoterms’ refers to the collection of essential international commercial and trade terms.  The terms were devised in recognition of non-uniform standard trade usages between various States.  When incorporated into a contract, the Incoterm code provides a detailed interpretation of rights and obligations between parties.

Exclusive agency agreements are commonly used for the sale of residential property. In this kind of agreement, you give exclusive rights to one agent to sell your property. This may entitle the agent to be paid commission if the property is sold during the fixed term of the agreement, even if the property is sold by you or by another agent. The agent may also be entitled to commission if the property later sells to a person who started negotiating for the property with the original agent.

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