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FOCUS 1. Read and discuss the contract.






AGENTS 2

AGENCY AGREEMENT

(SALES
OF PRODUCTS)


FOCUS 1. Read and discuss the contract.

 

EXTRACT FROM A STANDARD FORM OF PRODUCT SALES AGENCY AGREEMENT

 
    This Agreement is effective as of the first day (1st) of May, 20__, by and between Euromax Development Ltd., hereinafter referred to as the «Principal» and Rasico A/S, hereinafter referred to as the «Agent».   Whereby, the Principal appoints the Agent as Sales Agent for the promotion and sale of the products in conformity with the specifications attached hereto (Addenda 1 & 2), hereinafter referred to as the «Products».   The parties have agreed on the following:   1. SCOPE OF AGREEMENT The Agent is authorized by the Principal to promote the Products, find customers, conduct negotiations, and conclude sales contracts, provided that the terms and conditions of such contracts are agreed upon by the Principal beforehand.   2. TERM OF AGREEMENT The term of the Agency shall be 12 months beginning from 1st May, 20__. The parties agree that prior to the scheduled termination of this Agreement, they will review the terms and discuss the possible extension of this Agreement. However, neither party shall be under any obligation to extend this Agreement at any time.   3. AGENT’S RESPONSIBILITIES The Agent agrees to devote the Agent’s best efforts to the business of selling the Products of the Principal under the direction of the Principal’s representative and conform to rules, regulations and instructions of the Principal as provided to the Agent from time to time.    
 

 

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    4. TERRITORY The Agent shall be entrusted with the promotion and sales of the Products in Denmark and Sweden only.   5. COMMISSIONS 5.1 The Agent’s commission on sales made pursuant to this Agreement shall be two per cent (2%) of the value of the Product sold, as determined by the sales invoice issued to the Purchaser.   5.2 The Agent shall be entitled to the commission provided for in this Agreement by paying the Principal ninety eight per cent (98%) of the value of the Product sold to the Purchaser, promptly by telegraphic transfer, after receiving payment from the Purchaser.   6. CONTENTS OF ORDERS 6.1 All orders for the Products shall be accepted by the Agent for the Principal in accordance with terms and conditions as designated by the Principal from time to time. All such orders shall be sent to the Principal immediately. It is understood and agreed that the Principal shall not be responsible for promises or conditions not specified in the orders. The Products shall be sold by the Agent upon terms and conditions, including but not limited to price, designated in advance by the Principal.   6.2 If the Principal incurs any expense as a result of the Agent making representations to the Purchaser that are in addition to or inconsistent with the orders submitted to and approved by the Principal then the amount of the expense may be charged to the Agent’s account.    
 

 

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    7. NOT TO COMPETE 7.1. The Agent agrees, for the term of this Agency agreement, not to sell Products in the Territory from any other source.   7.2. The Principal agrees, for the term of this Agency agreement, not to sell the Products in the Territory, directly or indirectly, through any other channel.   8. AGENT’S EXPENSES All expenses for travelling, entertainment, office, clerical, office and equipment maintenance and general selling expenses that may be incurred by the Agent in connection with this Agreement shall be borne wholly by the Agent. In no case shall the Principal be responsible for such expenses unless agreed upon in advance in writing by the Principal.   9. COLLECTION OF ACCOUNT The Agent shall bear the full credit risk for all sales of the Products made pursuant to this Agreement including bankruptcy of the Purchaser, and have full responsibility and control of invoicing and collection of any and all accounts for the Products sold by the Agent.   10. INSPECTION OF AGENT’S ACCOUNTS The Agent agrees that officers or authorized representatives of the Principal shall have, on demand, access to and the right to examine and make copies of all books and accounts, vouchers, papers of the Agent, relating to the Agency agreement, in order to ascertain whether the business of the Agent is being conducted in a manner satisfactory to the Principal.    
 

 

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    11. INVENTORIES The Principal agrees to maintain, at its expense and in amounts at its sole discretion, inventories of the Products in quantities sufficient to facilitate sales by the Agent and to provide high quality service to Purchasers.   12. SALES INFORMATION The Agent agrees to maintain accurate records of its activities pursuant to this Agreement, including but not limited to customer lists, call reports and related market information and to supply the Principal, on a regular basis, with such information and any other information as the Principal may reasonably request.   13. CUSTOMER SERVICE The Agent will promote the development of markets and uses for the Products, provide customer service to customers in accordance with the Principal’s directions and, in reasonable and proper ways, promote the placing of orders by customers for the Products.   14. TERMINATION The agency created by this Agreement may be terminated by either party by written notice mailed or delivered to the other party. In case of termination as a result of an infringement of this Agreement, the notice of termination shall be effective immediately.   15. CONFIDENTIALITY The Agent agrees to keep confidential such information as the Principal may from time to time impart to the Agent regarding the Principal’s business affairs and customers. The Agent will not, in whole or in part disclose such information.      
 

 

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    16. COMPLIANCE WITH LAWS The Agent shall give all necessary notices and shall comply with and ensure that all Agent’s employees comply with all applicable federal, state, local laws, ordinances, governmental rules and regulations relevant to the Agent’s activities pursuant to this Agreement.   17. ASSIGNMENT This Agreement may not be assigned or otherwise transferred to a third party, by either party, without consent of the other party.   18. GOVERNING LAW The applicable law shall be that of the United Kingdom of Great Britain and Northern Ireland.   19. ARBITRATION Any and all disputes arising out of this Agreement or relating to its violation, termination or cancellation shall be finally settled under the Rules of Arbitration and Conciliation of the London Chamber of International Arbitration, London, UK.   20. FORCE MAJEURE Neither party shall be responsible for any partial or complete non-fulfilment of their obligations under the Agreement, where the non-fulfillment is a consequence of force majeure. Force majeure is understood in accordance with international rules.      
 

 

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    The party who is unable to meet its contractual obligations for the reason of force majeure, should, not later than two (2) days from the time when that inability has come into being, formally inform the other party in writing of the proposed period of suspension preventing fulfilment of the above-mentioned obligations. The relevant competent Government body should confirm the facts, presented in a written notice. Should the duration of complete or partial non-fulfillment of contractual obligations exceed 3 months, then either party shall have the right to terminate this Agreement partially or in total, without recourse to reimbursement of possible losses (including costs).   21. LEGAL ADDRESSES Euromax Development Ltd. RASICO A/S PO Box 879 PO Box 545 Chera Chambers Molledamsvej 12 Road Town DK-6709 Birkerod GORGOLA Denmark BVL Great Britain For and on behalf For and on behalf of the Principal of the Agent      
 







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