Agency Agreements for Egypt

Appointing a Commercial Agent or Distributor in Egypt

Egypt is one of the largest consumer and industrial markets in the Arab world, and many U.S. manufacturers reach it through a local commercial agent or distributor. Egyptian law regulates these relationships closely. Commercial agents are generally required to be Egyptian individuals or Egyptian-controlled companies and to be entered in the commercial agents register, and the agency contract is recorded there. A U.S. principal’s signature on that contract must therefore be fully legalized before the Egyptian side can complete the registration.

Why registration matters

Registration gives the agency legal standing in Egypt and is often needed by the agent to deal with customs, banks and government buyers on the principal’s behalf. Registered agencies also benefit from protections under Egyptian commercial law, which can include compensation if the principal ends the agency without justification. Take advice from Egyptian counsel before signing, and again before changing or ending an agency, because the terms you agree at the start will matter later.

What the agreement should cover

Egyptian reviewers look for the full names and details of both parties, including the agent’s commercial registration number, the products or brands covered, the territory, whether the appointment is exclusive, commission or pricing terms, the duration and renewal, and termination provisions. A bilingual Arabic/English agreement, stating which version prevails, avoids disputes over translation. The supporting file usually includes a legalized good standing certificate for the U.S. principal and a legalized board resolution approving the appointment and the signatory.

Legalizing the principal’s signature

The principal’s authorized officer signs before a U.S. notary, with the notary’s seal on the same page as the signature. The notary’s state issues an authentication certificate, the U.S. Department of State authenticates it in Washington, and the Embassy of Egypt legalizes it. Egypt does not accept apostilles. The Egyptian agent typically signs in Egypt. Many principals sign separate counterparts, with the U.S. signature page legalized and the Egyptian page signed locally.

Changes and renewals

Amendments, renewals and terminations follow the same legalization route and are recorded in the register when the original agency was registered. When appointing a new agent, check the status of any previous registration first, because an old registration that hasn’t been properly ended can complicate the new appointment.