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Agreement Between Manufacturer And Commission Agent

This deed of Agreement is made of this........day of ......... 19 ........ at ............ between :

1.   Messers XYZ & Co., having its registered office at ......hereinafter called the 'manufacturer' of the one part ;

                                                   and

2.   Messers ABC & Sons, having its office at .....hereinafter called the "agent" of the other part.

WHEREAS the manufacturer is interested in appointing a commission agent for sale of its products. AND WHEREAS the agent has approached the manufacturer to appoint him as his commission agent.

NOW THIS AGREEMENT WITNESSES AS UNDER :

1.
 That the manufacturer appoints the agent as its commission agent to sell its products in the areas comprised by the districts of......in the State of........

2.  That the canvasing shall be done by the agent in order to secure orders and push the sale of the products in his areas.

3.  That the agent shall secure orders for Rs. ..............directly or indirectly at least in a year commencing from the date of this agreement.

4.  That the agent shall employ sub-agent, salesman, clerks, accountant etc. at his own cost. However the manufacturer shall bear the cost of advertisements in the newspaper, magazines, Radio and Television etc.

5.  That the agent shall furnish weekly return to the manufacturer of the orders secured, the work done, the persons approached and canvased during the previous week. That the agent shall submit orders received to the manufacturer within two days from the date of its booking. The agent shall deposit all the money received by him in the account of the manufacturer and submit the weekly report on every Friday.

6.  That the agent shall not represent the manufacturer directly or indirectly except on instructions issued by the manufacturer from time to time.

7.  That all the orders procured or business done by the agent shall be in accordance with the terms and conditions mentioned in the Schedule attached herewith subject to alteration or modification issued by the manufacturer from time to time.

8.  That the agent shall not secure the order exceeding Rs.................. unless prior consent of the manufacturer is obtained for this.

9.  That this agreement shall remain in force for one year from the date of signing of this agreement. During this period the agent shall not do directly or indirectly any other business of commission agent of any other company.

10. That the agent shall get a commission of..........% on all orders procured by the agent directly or indirectly. The said commission shall be payable on monthly basis at the end of every month.

11. That on termination of this agreement, for whatsoever reason, the agent shall not be entitled to received thereafter.

12. The agency can be terminated by either side by giving one month's prior notice in writing.

13. That the agent shall be responsible for all the payments for the goods supplied on the orders received by the agent.

14. That the agent is required to deposit a cash security of Rs................  with the manufacturer. The security shall remain with the manufacturer during the continuance of this agreement. The annual interest on security shall be paid by the manufacturer to the agent @ 18% per annum.

15. That on termination of this agreement the security money alongwith interest shall be returned to the agent after adjustments.

We the above noted parties have signed this agreement on the date and place mentioned above in the presence of the following witnesses:
Witnesses :
1. Name..........................................
    Address.......................................
    ...................................................
................................Manufacturer
2. Name.........................................
    Address......................................
    ...................................................
............................................Agent

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