For the purposes of article 101, paragraph 1, the agreement is referred to as an agency agreement where the representative does not support or assume any risk related to contracts concluded and/or negotiated on behalf of the contracting entity with respect to market-specific investments in this area of activity and other activities that the awarding entity is required to carry out in the same product market. However, risks associated with the provision of agency services in general, such as the risk that the representative`s income will depend on his or her success as an agent or general investments in premises or staff, are not essential to this assessment. For the application of Article 101, paragraph 1, an agreement is therefore generally considered an agency agreement: where contractual goods acquired or sold in the sale or sale agreement are not reserved for the representative or the representative does not himself provide the contractual services and the representative: Trade lawyers say that it is always desirable that an agency agreement be concluded in writing, because it is a contract between two parties and it is important for both parties to be aware of their rights and obligations. In the absence of a clear and written agency agreement, there is a higher risk of commercial litigation. You must declare that your agency has an internal claims procedure and that the seller can complain to REA without first using your internal claim procedure. The agency contract becomes mandatory when the contracting entity (i.e.: You as the owner/seller of the property or someone who acts legally for you) and the agent have signed it. There is then a one-day cooling-off period during which you can terminate (or “revoke”) the contract. Saturday is included for the purposes of the cooling-off period, but not on public holidays. A distributor sells the goods or services of the prime contractor. The sales contract is between the final customer and the distributor and does not concern the client who manufactured the property or created the service. The distributor owns the goods before it is passed to the final customer. This is because a trader buys the goods from the client, contrary to an agency agreement.
Agency agreements are just a legal document that you should do correctly for the first time. If an agreement is not developed based on the particular circumstances of the new commitment, attempting to meet the commission payment criteria after the end of the work can be complicated and costly, particularly in the case of large transactions that could involve multiple parties and complex ownership structures.