Agreement By Manufacturing Company To Appoint Agent - Legal Draft

This Agreement is

made on this ..............day of................. 19...... between :1.

X.

Co. Ltd. Of Bombay, hereinafter called the manufacturer ;and1.2.

Mr.

C s/o Mr. D r/o XYZ, hereinafter called the agent.1. Whereas the

manufacturers are manufacturing Electronic Products and are desirous to appoint

an agent for the sale of the products.2. And whereas the agent

has approached and is willing to work as agent of the manufacturer.NOW THIS AGREEMENT

WITNESSES AS UNDER :1.

The

manufacturer appoint Mr. C as agent of the products of the manufacturer for the

area specified here under ....................... (Specify the area for which

agent has been appointed).2.

The

appointment of the agent is made by the Board of Directors with the condition

that the appointment is subject to approval by the General Body at its first

general meeting after the appointment of the agent and if it does not approve

the agreement shall cease to be valid.3.

This

appointment shall be effective for a period of three years from the date of

appointment. However, the period can further be extended for the period not

exceeding more than three years' on each period of extension.4.

The

manufacturer undertakes that no retailing shall be made below the rates as

under (here specify the rates).5.

The

agent undertakes not to sell goods in retail below the rates given in the

agreement.6.

The

agent shall be entitled to an agency commission of 5% on the sale price of the

goods.7.

That

the agent shall get the consignment on 30 days' credit. The agent shall make

the payment of the consignment within 30 days' from the date of receipt of the

goods.8.

That

the manufacturer shall not sell the goods in the areas for which the agent has

been appointed. All correspondence etc. In this regard, if received by the

manufactured shall be forwarded to the agent for doing the needful.9.

The

agent can appoint sub-agents in the areas of agency.10.

The

manufacturer shall execute all orders of the agent according to availability of

the stock with them.11.

That

the agent shall not place any order for a quantity below the minimum supply of

the goods. In the same way the manufacturer shall not supply below the minimum

quantity of goods to the agent.IN WITNESS whereof

the parties have executed these presents of the day, month and year first above

written.Sealed, signed and

deliveredby Mr. A pursuant toBoard Resolusion

dated.........

of X & Co. Ltd

__________________________(Secretary)Sealed, signed and

deliveredby

Mr. C. __________________________Mr.

C ( Agent )In the presence of1. ...............2. ...............