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Advertising Agency Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Advertising Agency Agreement

"I need an Advertising Agency Agreement under Saudi law for my tech startup to engage a full-service agency for digital marketing and social media campaigns, with strict content compliance requirements and monthly performance reviews starting March 2025."

Document background
The Advertising Agency Agreement is essential for businesses operating in Saudi Arabia that engage external advertising agencies for their marketing and promotional activities. This contract type is specifically designed to comply with Saudi Arabian commercial law and advertising regulations, including Sharia law principles. It establishes the framework for the agency-client relationship, detailing service scope, creative rights, approval processes, and compensation structures. The agreement is particularly important given Saudi Arabia's unique advertising restrictions and cultural considerations, making it crucial for both local and international companies operating in the Kingdom. It includes provisions for traditional and digital advertising channels, ensuring comprehensive coverage of modern marketing needs while maintaining regulatory compliance.
Suggested Sections

1. Parties: Identification of the advertising agency and the client, including full legal names, commercial registration numbers, and authorized representatives

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Key terms used throughout the agreement, including technical advertising terminology

4. Scope of Services: Detailed description of advertising services to be provided by the agency

5. Agency Appointments and Authority: Terms of agency appointment and extent of authority to act on client's behalf

6. Client Obligations: Client's responsibilities, including providing materials, approvals, and information

7. Approval Process: Procedures for submitting, reviewing, and approving advertising materials

8. Fees and Payment Terms: Compensation structure, payment schedule, and billing procedures

9. Intellectual Property Rights: Ownership and usage rights of creative materials and existing IP

10. Confidentiality: Protection of confidential information and trade secrets

11. Term and Termination: Duration of agreement and conditions for termination

12. Compliance with Laws: Obligation to comply with Saudi advertising regulations and Sharia principles

13. Liability and Indemnification: Allocation of risks and responsibilities between parties

14. General Provisions: Standard clauses including notices, amendments, governing law, etc.

Optional Sections

1. Digital Marketing Services: Specific provisions for online advertising and social media services

2. Performance Metrics: KPIs and performance measurement criteria for advertising campaigns

3. Media Buying Services: Terms specific to media purchasing and placement services

4. International Advertising: Provisions for advertising campaigns outside Saudi Arabia

5. Data Protection: Specific provisions for handling personal data in advertising campaigns

6. Exclusivity: Terms regarding exclusive agency arrangements

7. Sub-contracting: Rules and conditions for engaging third-party service providers

8. Force Majeure: Provisions for handling unforeseen circumstances affecting performance

Suggested Schedules

1. Schedule 1: Service Level Agreement: Detailed specifications of service standards and delivery timelines

2. Schedule 2: Fee Structure: Detailed breakdown of fees, commissions, and payment terms

3. Schedule 3: Approved Media Channels: List of approved advertising platforms and media outlets

4. Schedule 4: Brand Guidelines: Client's branding requirements and usage guidelines

5. Schedule 5: Campaign Brief Template: Standard format for campaign briefing and approval

6. Appendix A: Key Personnel: List of key team members and their roles

7. Appendix B: Compliance Checklist: Checklist of Saudi advertising regulations and requirements

8. Appendix C: Reporting Templates: Standard formats for campaign performance reporting

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions































Clauses




































Relevant Industries

Retail

Consumer Goods

Financial Services

Telecommunications

Healthcare

Real Estate

Automotive

Technology

Food and Beverage

Entertainment

Education

Tourism

Professional Services

E-commerce

Relevant Teams

Legal

Marketing

Procurement

Finance

Compliance

Brand Management

Digital Marketing

Creative Services

Media Planning

Business Development

Operations

Relevant Roles

Chief Marketing Officer

Marketing Director

Brand Manager

Procurement Manager

Legal Counsel

Commercial Director

Advertising Manager

Media Planning Director

Account Director

Creative Director

Digital Marketing Manager

Compliance Officer

Finance Director

Operations Manager

Business Development Manager

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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