Sample company–representative contract

Persian Way rules

Contract Form Between Network Marketing Companies and Marketers

 
1. Subject of the Contract
Carrying out professional advertising and providing consulting services for the company for the purpose of introducing and promoting the company's products, marketing, and recruiting interested persons in order to increase the company's sales and profitability.

 
2. Term of the Contract
One year from the date of signing.

 
3. Contract Amount
The company undertakes to pay commission to the marketer based on the marketer's personal sales as well as the sales of his/her downline (in accordance with the company's business plan). By no later than the end of the first five working days of each month, the company must complete a full settlement with the marketer in respect of the preceding month. Commissions shall be deposited into the marketer's bank account No. ................................................................... 


4. Rights and Obligations of the Company
4.1  The company undertakes to regularly keep the marketer informed of necessary information regarding quantitative and qualitative changes in the company's products.
4.2  This network marketing representation is non-exclusive, and the company reserves the right to sign a similar contract with other natural or legal persons.
4.3  This contract does not create any employment obligation for the company and is excluded from the scope of labor law and insurance. 
4.4  The company shall not require the marketer to work or be active at any specific time or place.

 

5. Obligations of the Marketer
5.1  The marketer is required to observe all regulations of the Ministry of "Industry, Mining and Trade" regarding network marketing. The company's regulations and other related laws shall likewise be binding on the marketer. In the event of any change to these regulations, the marketer must bring himself/herself into conformity with such changes.
5.2  The marketer undertakes to treat all information and documents provided by the company as strictly confidential and not to use them for his/her own benefit or that of a third party.
5.3  The marketer undertakes to participate in the training and informational programs provided by the company, including seminars and training courses, for the purpose of updating information and becoming familiar with the company, its products, and the manner of conducting business.
5.4  The marketer shall not be entitled to be active, under any title whatsoever, in any other network marketing company.
5.5  Income tax on this contract shall be borne by the marketer and shall be deducted by the company from his/her remuneration in accordance with the law and paid to the relevant authorities. 
5.6  The marketer shall not market products that are not approved by the company, or market products in a manner not approved by the company.
5.7  The marketer is not permitted to recruit an applicant of another marketer.
5.8  The marketer shall not claim to be employed by the company. When presenting the company's business opportunities, the marketer must emphasize that this offer is an offer to start an independent business, not an offer of employment. Furthermore, the marketer has no authority whatsoever to place any responsibility on anyone on behalf of the company, or to bind anyone to perform any duty on behalf of the company.
5.9  The marketer may not place an order on behalf of another marketer except with that marketer's written approval.
5.10  The marketer must train the members of his/her downline and encourage and support them.
5.11  The marketer may not, without written authorization from the company, use advertising tools such as the internet, text messages, or any means other than verbal advertising.
5.12  Under no circumstances shall the marketer have the right to repackage or make any change whatsoever to the packaging or labels of the products. The company's products must be sold only in their original packaging.
5.13  The marketer shall not have the right to donate, sell, assign, or transfer his/her distributorship rights to others, except with written authorization from the company and from the direct marketers of his/her downline.
5.14  No marketer shall offer or sell the company's products through online auction. Sale to anyone other than the end consumer is prohibited. None of the company's published materials (training booklets, brochures, newsletters, catalogs, etc.) shall be sold.
5.15  Sending internet spam (sending emails to persons who do not wish to receive them) is entirely prohibited.
5.16  Before explaining a product to a prospective consumer, a marketer must present his/her membership card, which bears the national ID number, the unique code, and the company code. A product explanation must not be given without the prospective consumer's consent. The marketer must not insist on the purchase of the product by the prospective consumer, and must end the product presentation whenever the prospective consumer so requests.
5.17  A marketer shall be able to place a further order only upon selling at least 70 percent of the products purchased in bulk from the company.


6. Termination of the Contract
 Either party to the contract may terminate it within the first sixty days after signing. After the expiry of this period, ......... it shall be necessary to notify the other party in writing fifteen days prior to terminating the contract.

 

7. Dispute Resolution
In the event of a dispute between the parties and failure to reach a settlement, the Supervisory Committee shall have jurisdiction to resolve the dispute. The Committee's decision in this regard shall be final.
Date of contract: ..................................
This contract has been drawn up in two counterparts (of equal validity) between the company representative ............................................... and the marketer.

 

Particulars of the Company Representative:
Full name: ........................................          Position within the company:  ......................................
Company (representation) address and landline telephone:   ...................................................................................................................................................................

 

Particulars of the Marketer:
Full name: .............................   Father's name:  ....................  Birth certificate number:  ...................  National ID number:  ...........................................       Postal code:  ..................................
Residential address and landline telephone:  .................................................................................................................................................................

                     Company Seal and Signature                                                                              Marketer's Signature and Fingerprint

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