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e-mail: info@teren.kiev.ua

01033, Украина, г. Киев
ул. Шота Руставели, 20б, офис 24
skype: teren.plus

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Agency agreement of property management

Download agency agreement of property management

AGENCY AGREEMENT NO. __

City of Kiev __________ 2011

1) ____________________, citizen of ____________, passport ___________ issued by ___________ on ___________, residing at: ____________ (the Principal), from one side,

and

2) _____________________, individual subject of entrepreneurial activity, certificate ___________ dated ____________, identification number ______________, passport _______________ issued by _____________ on ___________, residing at: _______________ (the Agent), from the other side,

(The Principal and the Agent are hereinafter collectively referred to as the Parties and individually – as the Party)

have concluded this Agency Agreement (the Agreement) regarding the following:

1. SUBJECT OF THE AGREEMENT

1.1. The Principal hereto appoints and authorizes the Agent, and the Agent undertakes to perform on behalf of and at the expense of the Principal, actions as provided in this Agreement regarding the lease/sublease of the real estate (apartment, building, premises, land plot) (the Real Estate) with a total area of ___ sq.m, located at: ___________, owned (possessed) by the Principal.

1.2. The Principal shall pay remuneration to the Agent for the provision of services provided by this Agreement, in accordance with the procedures and in amount as specified in this Agreement.

2. RIGHTS AND OBLIGATIONS OF THE PARTIES

2.1. Obligations of the Agent:

2.1.1. To search for potential lessees/sublessees (the Lessee) of the Real Estate in order to conclude lease/sublease agreements for the Premises with such lessees/sublessees (the Lease Agreement) subject to the conditions and duration previously agreed with the Principal in writing.

2.1.2.To ensure, where needed, the notarization of the Lease Agreement.

2.1.3. To ensure, where needed, the registration of the Lease Agreement with the competent authorities or agencies.

2.1.4. To consult the Principal on all matters relating to this Agreement.

2.1.5. To organize exhibitions of the Real Estate and negotiations with potential Lessees of the Premises and to inform the Principal of the results of all such exhibitions and negotiations.

2.1.6. To agree with the Principal business offers to potential Lessees and to inform the Principal on business offers made by potential Lessees.

2.1.7. With a prior written approval of the Principal, to conclude on behalf of the Principal the Lease Agreements with the Lessees on terms and conditions agreed with the Principal.

2.1.8. To act with respect of the Real Estate within powers granted by the Power of Attorney to be issued by the Principal (for example, to have free access to the Real Estate, to pay or control payment of communal fees and facility fees (electricity, gas, water), to conclude contracts with living and communal enterprises, etc).

2.1.9. To obtain the lease fees and other payments from the Lessees and to forward these to the Principal in the amounts remaining after withholding of the remuneration of the Agent, as agreed in this Agreement, and after payment of taxes on incomes of foreign individual residents, if applicable.

2.1.10. To act as a tax agent of the Principal as provided by the Tax Code of Ukraine and to withhold, report and remit to the budget of Ukraine the tax on incomes of foreign individual residents, if applicable, at rates established by the Tax Code of Ukraine (15% and 17%).

2.1.11. To report to the Principal on a regular (monthly) basis regarding the performance of this Agreement and to submit the Acts on provision of services describing the period of rendering of services, the rendered services, relevant remuneration and expenses incurred by the Agent in connection with the performance of this Agreement.

2.1.12. To agree with the Principal on a prior basis the expenses to be incurred by the Agent in connection with the performance of this Agreement (the Reimbursements) (for example, notarial fees, registration fees, etc).

2.1.13 To safeguard the originals of documents received from the Principal during the provision of services in accordance with this Agreement, and to return them to the Principal upon the completion of services.

2.2. Obligations of the Principal:

2.2.1. To provide the Agent, upon its request and within reasonable time, any documents and their copies required by the Agent in order to perform its obligations hereunder (for example, title documents regarding the Real Estate, a Power of Attorney).

2.2.2. To pay the Agent the remuneration stipulated under this Agreement (the Remuneration) and the Reimbursements in accordance with the procedures and in amounts stipulated by this Agreement.

2.2.3. To approve business offers to potential Lessees, prepared by the Agent.

2.2.4. To inform the Agent on conclusion of the Lease Agreements and their terms and conditions.

2.2.5. To assist to the Agent with its performance as a tax agent of the Principal. It is provided, however, that the Principal acknowledges and agrees that based on the procedures established by the Tax Code of Ukraine a tax on incomes of foreign resident, if applicable, will be withheld from his/her income and paid at his/her expense, i.e. the Principal will obtain from the Agent the amount decreased for the amount of withheld and paid tax..

2.2.6. To assist to the Agent with the notarization/registration of the Lease Agreements.

3. EFFECTIVE DATE AND DURATION OF THE AGREEMENT

3.1. This Agreement shall take effect of the date of its signing by the Parties, as first mentioned above, and shall be valid for ______________.

3.2. Any Party may unilaterally terminate this Agreement by way of a written notice provided to the other Party with respect to the termination at the latest thirty (30) calendar days prior to the date of termination of this Agreement.

4. REMUNERATION, REIMBURSEMENTS AND SETTLEMENT PROCEDURE

4.1. The Agent’s Remuneration shall be ____________ for each calendar month of provision of services under this Agreement. VAT does not apply.

4.2. The Agent shall be entitled to the compensation of the Reimbursements based on the confirming documents.

4.3. The Remuneration and the Reimbursements shall be paid based on invoices issued by the Agent within ____ calendar days upon their issuance.

4.4. The Agent may withhold the Remuneration and the Reimbursements from the amounts obtained by the Agent for the Principal from the Lessees.

4.5. If upon exhibitions or negotiations or obtaining of business offer from a potential Lessee or conclusion of any letter of intent or preliminary Lease Agreement the Lease Agreement shall not be concluded for any reason other than the default of the Agent, then the Agent shall be entitled to the Remuneration in the amount of ______________ and to relevant Reimbursements.

5. SERVICE DELIVERY AND ACCEPTANCE PROCEDURE

5.1. The provision of services under this Agreement shall be confirmed by the relevant Act of Provision of Services, which shall be signed by the Parties and which shall describe the period of provision of services, the services rendered, the Remuneration and the Reimbursements. Refusal of the Principal to sign the Act of Provision of Services shall not be a valid reason for non-payment of invoices issued by the Agent if the services have been actually rendered.

6. LIABILITY OF THE PARTIES

6.1. The Parties shall be liable for non-performance or improper performance of their obligations under this Agreement in accordance with the laws of Ukraine and this Agreement.

6.2. The liability of the Agent for any claims in connection with this Agreement shall be limited by the amounts obtained by the Agent for the rendered services. In case of any claims of the third parties in connection with the services rendered under this Agreement, the Principal shall indemnify the Agent against any such claims, liability and relevant expenses.

6.3. The Agent shall not be liable for and the Principal shall not request the compensation of losses (both direct and indirect) incurred by the Principal as a result of any violation of the Lease Agreement by any Lessee, regardless of whether such Lessee was proposed by the Agent or not.

6.4. Late payment interest?

7. CONFIDENTIALITY

7.1. During this Agreement and after its termination, neither Party may without the prior written consent of the other Party for whatever reasons and in any way disclose to third parties and/or publish and/or permit the publication of any information that was provided by either Party in relation to this Agreement or which became known to one of the Parties during the performance of this Agreement.

7.2. For the purposes of this Agreement, the term “information” shall include, without limitation, the following:

7.2.1. information on the provisions of this Agreement, and also on the forms and methods used by the Parties to perform their obligations under this Agreement;

7.2.2. information regarding the state of affairs or property of either Party;

7.2.3. information on the past, current or proposed future activities of either Party or any third party which relates in any way to either Party or clients/counteragents of either party, irrespective of character of such information, and

7.2.4. information regarding services obtained by the Principal.

7.3. The confidentiality obligations stipulated under this Agreement shall not extend to cases where such information was obligatorily provided to the authorities pursuant to the procedure established by the legislation of the Party’s jurisdiction and to generally available information or information which becomes known to third parties through no fault of the Parties.

8. GOVERNING LAW AND DISPUTE RESOLUTION

11.1. This Agreement and the rights and obligations of the Parties of this Agreement shall be governed by and construed and interpreted in accordance with the laws of Ukraine.

11.2. If a dispute arises between the Parties regarding the interpretation, validity or discharge of this Agreement, the Parties shall take all reasonable measures to settle this dispute through negotiations.

11.3. If the Parties fail to resolve a dispute, then any such dispute, controversy or claim arising out of or in connection with this Agreement, or the breach, termination or invalidity thereof, shall be finally settled by the Ukrainian court of general jurisdiction that has a competence to resolve such a dispute in accordance with the procedural rules of Ukraine.

9. FORCE-MAJEURE

9.1. A Party shall be liable for the non-performance of its contractual obligations unless it demonstrates that due performance was impossible as a result of the appearance of extraordinary (force-majeure) circumstances in accordance with the applicable legislation and the provisions of this Agreement.

9.2. For the purposes of this Agreement, force-majeure shall include events which the Parties can not influence and for which they do not bear responsibility, for instance: war, flood, fire, earthquake, and other natural disasters, strikes, changes to the applicable legislation.

9.3. The Party not performing its obligations under this Agreement due to the appearance of force-majeure shall be obligated to inform the other Party in writing within 5 (five) calendar days of the onset of such circumstances. Such information should include the nature of such force-majeure, and also, where possible, an estimate of its effect on the performance of obligations and the possible deadline for the performance of obligations under this Agreement.

9.4. Upon the expiration of the aforementioned circumstances, the Party must immediately inform the other Party thereof in writing, indicating the presumed period required to perform its obligations under this Agreement.

9.5. If force-majeure occurs, the term for performance of obligations under this Agreement shall be extended to the duration of force-majeure and its consequences, unless one of the Parties sends the other Party due written notification.

9.6. If force-majeure prevents one of the Parties from performing its obligations for more than 90 (ninety) consequent calendar days, or if after its onset it becomes clear that it will last over 90 (ninety) consequent calendar days, either Party may send the other Party notification with a proposal to conduct negotiations on this matter in the interests of determining mutually acceptable terms for performing contractual obligations or terminating this Agreement.

10. MISCELLANEOUS

10.1. This Agreement contains the full text of the agreement between the Parties. After the entry into force of this Agreement, all written and/or oral understandings between the Parties relating to the provisions of this Agreement that existed prior to the signing of this Agreement shall lose force.

10.2. All amendments and changes to this Agreement shall be effective only if they are executed in writing and signed by the Parties or their duly authorised representatives.

10.3. Should any provisions of this Agreement be declared invalid in accordance with the applicable legislation, this fact shall not affect the other provisions of this Agreement, which shall retain their force and be effective in full.

10.4. This Agreement shall be in two original counterparts having equal legal force, each Party holding one counterpart, in the Ukrainian and English languages. In case of a discrepancy between the Ukrainian and English texts, the Ukrainian text shall prevail.

11. ADDRESSES AND BANK DETAILS OF THE PARTIES

11.1. The Principal:


11.2. The Agent:


12. SIGNATURES OF THE PARTIES

The Principal:


Name:

The Agent:


Name: (Stamp, if any)

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