between Manufacturer and Commission Agent
Agreement made of this
..between ABC & Co. Ltd. having
registered office at
.and manufacturer of
..(hereinafter called the
manufacturer) of the one part and OP son of LN resident of
called the agent ) of the other part.
manufacturer is desirous of appointing a commission agent for the sale
.manufactured by it.
agent has approached the manufacturer for his appointment as such agent and has
consented to act as such agent.
This Agreement Witnesses as Follows:
the manufacturer hereby appoints the agent to be its commission agent for the
.manufactured by the former in the area comprised by the
in the State of
.and the agent hereby agrees
to act as such sole selling agent in the said area of
..on the terms
the agent shall canvas for, secure orders and push the sale of
to the best
of his ability and experience within the said area and hereafter guarantee to
secure directly or indirectly orders for the sale of
..to the extent of the
value of Rs
.at least in the year commencing from the date of this
the agent shall employ sub-agents, servants, canvassers, clerks and other
employees at his own expense and cost in the business or the commission agency.
The manufacturer shall, however advertise at its own cost in the said territory
and at its discretion, whether in newspapers, magazines, cinema slides, or by
any other means and shall indicate where feasible the name of the agent as its
sole selling agent in the territory indicate above.
the agent shall furnish to the manufacturer weekly return of the business
secured and the work done, the persons approached and convassed during the
previous week and shall forward to the manufacturer not later than two days
from the receipt of any orders for the supply of
as well as all enquiries
received in respect of the said
The agent shall deposit in the
manufacturer all moneys received in advance from the customers, and submit an
account thereof every Friday to the manufacturer.
no representation shall be made on behalf of the manufacturer except as in
conformity with the instructions issued from time to time by the manufacturer.
All business done or procured by the agent shall be in accordance with the
terms mentioned in the Schedule attached herehto, subject to modification
thereof as per circulars or directions issued by the manufacturer from time to
no order for the supply by the manufacturer shall be secured or undertaken
which shall exceed the value of Rs
.. unless prior consent thereof has
been obtained in writing from the manufacturer.
this agreement shall be in force for a period of one year from the commencement
thereof, during which period, the agent shall, not canvass for or act as
selling agent for goods of the same kind for any other manufacturer.
the agent shall be paid by the manufacturer a commission of
.per cent .
on all orders and repeat orders received directly or indirectly from the said
territory, which shall have been executed or complied with by the manufacturer,
such execution or compliance being in the absolute discretion of the
manufacturer. The said commission will be payable at the end of every month and
shall be payable even in respect of orders received of supply of the said
.. made by manufacturer out of their own accord to any constituent within
the said territory, for valuable consideration.
at the termination of the agreement whether by efflux of time or otherwise. The
manufacturer shall not be liable to pay any commission on orders received
the agency may be determined by the manufacturer at any time during the said
period of one year, after giving fourteen days notice thereof, in case the
agent should omit to comply with the obligations imposed upon him under this
agreement or in case, in the opinion of the manufacturer, the agent is guilty
of misrepresentation as to the quality or characteristics of the said
the canvassing or securing orders in the said territory does not substantially
exceed the minimum guaranteed by the agent or for any other just cause
construed in the business point of view. The agent may terminate this agreement
at any time during the said period of one year, after giving one months notice
thereof in case the manufacturer should repeatedly fail to comply with or
execute the orders by the agent any duly communicated to or accepted by the
manufacturer pursuant to this agreement or in case the goods
substantially inferior to the description thereof, or in case the manufacturer
should without just case, or cause, withhold the payment of the commission due
to the agent under the agreement for a period exceeding tow months.
the agent shall be personally liable for the payment of the price of the goods
supplied through him or pursuant to the orders secured by him, if the
constituent to whom the goods were so supplied by the manufacturer refused
within three months of the receipt thereof to pay for the same or refuses to
accept the same when forwarded to such constituent. This liability of the agent
shall be akin to that surety.
the agent shall furnish a cash security of Rs
.to the manufacturer for a
period of one year sufficient (irrespective of previous determination of the
agreement for any cause whatsoever) to ensure against due compliance by the
agent of the terms hereof and such security shall carry interest at the rate of
3 per cent annum. Such security shall be repayable with interest to the agent
within one month of the expiry of the period fixed in the agreement after
adjustment of accounts between the parties. In case there should arise any
dispute with respect to any matter regarding which any deduction is sought to
be made by the manufacturer, the said dispute shall be referred to the
arbitration of the President of the District Bar Association at
either act as arbitrator himself or appoint any other member of the Bar (paying
income-tax) as arbitrator.
Witness Whereof, the parties hereto have signed this agreement on the day and
year first written above.