A travel agency is a business that sells travel related products and services, particularly package tours, to end-user customers on behalf of third party travel suppliers, such as airlines, hotels, tour companies, and cruise lines. This form agreement only deals with the sale of lodging to a particular hotel for a commission. This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
Rhode Island Agreement Between Travel Agent and Hotel Owner to Sell Lodging at Hotel in Return for a Commission A Rhode Island Agreement Between a Travel Agent and a Hotel Owner is a legally binding document that outlines the terms and conditions under which a travel agent will promote and sell lodging accommodations at a specific hotel, and in return, the hotel owner will pay the travel agent a commission for each successful booking. This agreement establishes a partnership between the travel agent and hotel owner, enabling them to capitalize on each other's strengths in marketing and hospitality services. The travel agent utilizes their expertise in promoting and selling hotel accommodations, while the hotel owner benefits from increased bookings, exposure, and revenue generation. Key elements included in this agreement may consist of: 1. Parties Involved: Clearly identify the travel agent and hotel owner as the two parties entering into the agreement. Provide the legal names and addresses of both entities. 2. Term: Specify the duration of the agreement, including the start and end dates. This ensures that both parties are aware of the agreement's timeline and the period for which the commission will be calculated. 3. Commission Structure: Outline the commission structure in detail. Discuss the percentage or flat rate commission that the hotel owner agrees to pay the travel agent for each successful booking made through their efforts. Also, state how and when the commission will be paid, whether it's upon every booking or monthly/quarterly. 4. Exclusive or Non-Exclusive: Determine whether the travel agent will have exclusive rights to sell the hotel's accommodations or if the hotel owner retains the flexibility to engage other travel agents concurrently. 5. Obligations of the Travel Agent: Define the responsibilities of the travel agent, including marketing and promoting the hotel, providing accurate information to potential guests, and facilitating booking transactions. Specify any reporting requirements the travel agent needs to adhere to and any promotional materials the travel agent may use. 6. Obligations of the Hotel Owner: Enumerate the obligations of the hotel owner, such as providing necessary room availability information, relevant marketing materials, access to the hotel's reservation system, and ensuring that the accommodations meet certain quality standards. 7. Indemnification: Include a clause that states the travel agent will indemnify and hold harmless the hotel owner against any liability arising from any actions or omissions attributable to the travel agent. 8. Termination Clause: Clearly define the conditions and procedures for terminating the agreement. Specify whether there is a notice period and conditions under which either party can terminate the agreement. Types of Rhode Island Agreement Between Travel Agent and Hotel Owner: — Non-Exclusive Rhode Island Agreement: In this type of agreement, the hotel owner reserves the right to engage multiple travel agents or even sell accommodations directly without any exclusivity. — Exclusive Rhode Island Agreement: In this agreement, the hotel owner grants exclusive rights to the travel agent to promote and sell the lodging at the hotel, prohibiting the hotel owner from engaging other travel agents during the agreement's duration. Remember, it is always advisable to consult with legal professionals or experts specialized in the travel and hospitality industry to draft a comprehensive and customized agreement that aligns with the specific needs and objectives of both parties involved.
