The contract of commercial agency

By a contract of commercial agency the agent shall assume the obligation to take permanent care that third persons enter into contracts with his principal, and to mediate in that respect between them and the principal, as well as to enter into contracts, after obtaining authorisation, with third persons on behalf and for the account of the principal, while the principal shall assume the obligation to pay to him, for each contract concluded, an agreed fee (brokerage).

A principal may have several agents in the same area for the same kind of business. One agent shall not, without his principal’s consent, assume the obligation to work for another principal regarding the same kind of business in the same area.

A contract of commercial agency must be concluded in written form. Concluding Contracts on Behalf of a Principal An agent may conclude contracts on behalf and for the account of his principal only after obtaining from him a corresponding particular or general authorisation. Continue reading The contract of commercial agency

Franchising

Franchising is a system of marketing goods and/or services and/or technology, which is based upon a close and ongoing collaboration between legally and financially separate and independent undertakings, the Franchisor and its individual Franchisees, whereby the Franchisor grants its individual Franchisee the right, and imposes the obligation, to conduct a business in accordance with the Franchisor’s concept.

The right entitles and compels the individual Franchisee, in exchange for a direct or indirect financial consideration, to use the Franchisor’s trade name, and/or trade mark and /or service mark, know-how, business and technical methods, procedural system, and other industrial and /or intellectual property rights, supported by continuing provision of commercial and technical assistance, within the framework and for the term of a written franchise agreement, concluded between parties for this purpose. Continue reading Franchising

License agreement

A license agreement is governed by the provisions of Articles 686 to 711 of the Law of Contract and Torts.

By a licensing agreement a licensor shall assume the obligation to assign to a licensee, entirely or partially, the right of use (franchise) of an invention, technical know-how and experience, trade-mark, sample or model, while the licencee shall assume the obligation to pay a specified fee in return.

A licensing agreement must be concluded in written form.

A license for the use of a patented invention, sample or model, shall not be concluded for a period longer than the one covered by statutory protection of such rights. Continue reading License agreement