To start cooperating with such companies, you need to draw up a certain document that will define the rights and responsibilities of both parties : those who hire and those who are hired.
This article will discuss issues related to the specifics of drawing up an agency agreement for the provision of services, its differences from a regular agreement for the provision of services, the types of such documents (with examples) and many other points that are always better to know.
Main provisions
The parties to this contract are the agent who performs the work and the principal who issues the task. An agency type agreement is drawn up in standard written form. Its validity period may vary, and it may not even be indicated.
The subject of the agreement in question, in accordance with paragraph 1 of Art. 1005 of the Civil Code of Russia, legal and other actions performed by an agent are recognized . We can talk about the consistency of this important condition when in the text of the agreement:
- The legal actions to be taken are indicated. They mean the implementation of: any transactions (can be determined by agreement or have a general type of indication); other actions that create legal consequences (for example, acquiring a license, registering rights, issuing claims, statements of claim, etc.).
- Other (actual type) actions are named that do not directly give rise to any legal consequences (for example, searching for clients, conducting negotiations, advertising, etc.).
- It has been determined on whose behalf the agent works : on behalf of and with the help of the principal - by virtue of Article 1011 of the Civil Code of Russia, the rules on assignment (Chapter 49 of the Civil Code of Russia) can still be applied to this option, if they do not contradict the articles of agency; on its own behalf, but with the help of the principal - in this version under Art. 1011 of the Civil Code of Russia is also valid Ch. 51 of the Civil Code of the Russian Federation on commission with a reservation.
Procedure for execution of the contract
To properly establish the procedure for implementing such an agreement, it is necessary to consider certain conditions:
How is what is done under the contract accepted? The provisions of the Civil Code of Russia do not establish rules for this procedure, so it is best to indicate the period of approval and the procedure for checking what has been completed.
In this case, the verification method must correspond to the subtleties of the order . For example, if an agent draws up a purchase and sale agreement as a buyer, then when issuing products to the principal, standards for checking products under the supply agreement can be used (Article 513 of the Civil Code of Russia).
Agent reporting on services provided. The obligation to issue them to the principal is set out in clause 1 of Art. 1008 of the Civil Code of the Russian Federation, but there are no further instructions in the Civil Code of Russia regarding the procedure for submitting reports. Thanks to this, the form, procedure and deadlines for sending such documentation are set by the participants.
Otherwise, the agent independently selects the appropriate option. Based on the law, the principal can file objections to the agent's reporting . Thirty days are given for this. Another term is established by agreement. If the principal makes no claims, the report is considered approved.
Expenses of the agent for the provision of services. Since paragraph 1 of Art. 1005 of the Civil Code of the Russian Federation establishes that the agent works at the expense of the principal, it is best to immediately highlight in the text exactly what costs the agent will bear.
At the end of the agency, the contractor must confirm his expenses. All evidence must be attached to the reporting, although the contract may suggest a different type of formatting.
Related documents
- Agreement for the provision of parking for a car
- Audit contract
- Agreement for work to create a joint stock company
- Agreement for advertising in a newspaper
- Agreement for advertising in the weekly magazine
- Agreement for distribution of a software product through a store
- Agreement for advertising products (services)
- Agreement for the creation of works of sculpture, decorative and applied art, monumental and decorative works, design works, easel painting and graphics
- Agreement for support of state investment programs (sample) (letter of the State Construction Committee of the Russian Federation dated July 14, 1993 No. 7-12/111)
- Agreement for escorting a cashier with money and documents
- Agreement for technical service of personal computers during the post-warranty period of operation
- Agreement for participation in the competition
- Listing Maintenance Agreement
- Agreement on subscription to shares (annex to the contract for work on the creation of a joint-stock company)
- Postal Services Agreement
- Agreement granting the right to sell (trader under contract)
- Agreement on subscription and initial placement of shares of JSC
- Agreement on subscription and initial placement of shares of a joint-stock company
- Agreement on information and advisory services for organizations
- Agreement on the protection of production (economic) facilities
Subagent terms
According to Art. 1009 of the Civil Code of the Russian Federation, the use of subagents is permitted in agency. The subagency agreement, like the main one, is drawn up according to the rules of the civil code. The issue of subagency has three solutions:
- Prohibition on inviting third parties to participate in activities.
- Instructing the specialist to sign subagency agreements. In this option, the terms of subagency may be specified in the main agreement.
- Giving the agent the right to independently decide whether or not to work with other performers. In this case, the general provisions of the subagency agreement may be stipulated in the main agreement.
Even when involving a subagent in the work, the main agent remains responsible for all manipulations of the third party to the principal.
An exception can be considered situations when the list of subagents is agreed upon in the main agreement. In this variant, the agent is not responsible for the choices or affairs of the subagents. According to official rules, a subagent cannot enter into contracts on behalf of the main principal.
Agent's remuneration
An agency type agreement is always considered a compensation agreement. The courts adhere to a similar position and consider the terms of non-payment of remuneration illegal. The fee for services is set either in a fixed amount or indicating the method of calculating the remuneration (if, at the time of signing the agreement, the participants cannot resolve the issue of the final amount).
In the absence of price information, payment will be made based on the standard cost of this type of service. We emphasize that the amount of payment must be proportionate to the work, otherwise the judicial organization will refuse to collect payment for the work in full.
Varieties
One type of agency agreement is an agreement to provide services for searching for consumers (buyers). It is concluded in accordance with the standard template and in any case contains a list of the main responsibilities of the agent:
- search for buyers;
- enter into agreements with them on your own behalf or on behalf of the organization;
- take payment from them.
An application form is attached to the document, where information about the new buyer is entered .
If the application is approved by the customer, the agent will sign an agreement with the client. If the end has complaints about the quality of the products provided, he resolves this problem with the principal. An agency-type agreement for the provision of legal services assumes that the agent is looking for lawyers, jurists, and notaries for the employer who are thinking about protecting the rights of the customer.
The agent's job is to ensure that all necessary documentation is received, provided and retained in a timely manner and to report to the employer on the work he is doing.
No later than 5 days after the conclusion of the agreement, special documents and powers of attorney must be given to the agent.
Agency agreement for the provision of accounting. services are often used by companies providing cellular communications when they sign contracts with cash registers. Clients pay for the principal's services with the help of agents. Funds are transferred to the agent's bank account and then transferred to the principal's current account.
ATTENTION! We must not forget that the money that ends up in the agent’s cash register is examined as profit generated by a certain activity and is taxed.
For regular or one-time transportation of goods, an agency-type contract for transport type services is drawn up. The customer provides the agent with all information about the cargo (weight/volume, general characteristics, level of danger to life and the environment, etc.) and type of transport. Most often, the agent is entrusted with the documentary type of registration of freight transportation and support.
Payback period
The rate of payback of a project depends on several factors, two of which can be called leading:
- initial costs;
- speed and quantity of customer acquisition.
For example, if a businessman works as an individual entrepreneur via the Internet, all costs will be recouped already on the first transaction. However, in any case, you can count on the return of all costs and reaching the level of net profit after 3-4 months of active work (even if the organization rents a very large office in the city center). The reason for the quick payback is the low starting investment.
The correct size of the commission is also important. Usually it is limited to 10% of the transaction amount, however, in some cases it can be a fixed value.
Peculiarities
Unlike a standard service agreement, remuneration is most often issued as a portion of the amount of agreements concluded by the employee, and not as a simple fixed amount.
An agency agreement is aimed at representing the interests of the employer when interacting with the buyer, while a service agreement is aimed at carrying out specific manipulations and obtaining results in different areas.
The agency agreement is created in several copies. His sample includes the following information:
- number, date and place of registration;
- details of the participants drawing up the agreement;
- list of services provided;
- pricing type policy;
- consideration of various situations;
- terms of validity and termination of the transaction;
- rights and obligations of participants;
- resolution of disagreements;
- details, signatures of participants.
This is general information that should be in the contract.
The essence of the relationship with the intermediary
The one who orders the services of an agent is called the principal. His actions:
- transfer to the agent part of his powers in a particular case;
- explain what result is required;
- pay for the work performed.
Party accepting the customer's order:
- assumes assigned responsibilities;
- achieves the required result;
- receives payment.
The difference that distinguishes an agreement for the provision of intermediary services from other trade relations is that it is not a materially expressed product that is sold here, but someone’s action to obtain it, knowledge, and skills.
Thus, an intermediary involved in a business involving, for example, the supply of products, will be responsible for the competent organization of the business, and will receive a payment if the transaction is completed. But he is not specifically responsible for the product itself or its further fate.
Change and termination of the transaction
The procedure for changing or terminating an agency agreement is regulated by the basic norms of the Civil Code. In the same way, breaking a deal through the courts is also permitted. As for unilateral termination of contractual relationships, according to official rules, it is not allowed.
Exceptions may be made for reasons provided by law. Yes, Art. 1010 of the Civil Code of the Russian Federation contains a list of norms that may become a reason for unilateral termination:
- If the agreement was concluded for an indefinite period. The procedure for such a break is not specified in Chapter. 52 of the Civil Code of the Russian Federation, but due to other articles of the Civil Code of the Russian Federation, the party must notify of its intention no less than thirty days before the date of termination of the contract.
- In the event of the death of an agent or recognition of him as missing . The relationship also ends when the executive loses legal capacity.
- If the agent, an individual entrepreneur, is declared bankrupt , and therefore cannot continue to provide agency services.
So, depending on the type of agency, the rules on assignment or commission may be applied to it.
IMPORTANT! An agency-type contract is always paid, but the remuneration with a legal entity must be proportionate to the result of the service provided.
Certain types of intermediary services
The most regulated types of mediation services are:
- Commission, assignment and agency described in the Civil Code of the Russian Federation.
- Maritime mediation (Article 240 of the Merchant Shipping Code of the Russian Federation dated April 30, 1999 No. 81-FZ, hereinafter referred to as KTM) - the relationship between the parties to conclude a list of contracts expressly provided for by law:
- purchase and sale of ships;
chartering;
- towing vessels;
- marine insurance.
- Transport forwarding (Chapter 41 of the Civil Code of the Russian Federation, Law “On Transport Forwarding Activities” dated June 30, 2003 No. 87-FZ) - the relationship between the customer (consignee or cargo carrier) and the contractor (forwarder) for the transportation of goods, as well as the provision of additional services ( GOST 52298-2004, approved by order of Rostechregulirovanie dated December 30, 2004 No. 148-st).
Also, the intermediary has the right to perform other actions usually performed by a maritime agent within the framework of Chapter. 13 KTM (maritime agency).
In addition to the legally established list of possible transactions with the participation of an intermediary (marine broker), another distinctive feature of maritime mediation is the ability to represent the interests of both parties to these contracts, subject to the consent of the principals (Article 243 of the MCC).
Note! The rules of the main types of intermediary agreements can also be applied to the transport expedition agreement: agency, commission, assignment (letter of the Department of Tax Administration of the Russian Federation for Moscow dated March 12, 2001 No. 02-11/11705 and the Federal Tax Service of the Russian Federation for Moscow dated April 5, 2005 No. 20- 12/22797).