The Mobile Travel Agents of America Business Agreement
1. Parties to the Agreement
This Agreement is made this ________________day of ________________________ 20 _______ between Mobile Travel Agents of America, located at P.O. Box 2398, Valley Center, California 92082 hereinafter referred to as MTAA, And______________________________________________________________________________________________________ whose primary address is: __________________________________________________________________________________ _______________________________________________________________________________________________hereinafter referred to as the Mobile Travel Agent or MTA. 1.2 Whereas MTAA is in the business of providing independent contractors (Mobile Travel Agents) travel services
associated with retail travel agencies such as airline, tour, cruise, hotel, car rental, rail and other reservation and subsequent MTAA, or their assignee’s, issued accountable documents and whereas the above men-tioned Mobile Travel Agent desires such travel related services from MTAA, or their assignees, both MTAA and the Mobile Travel Agent agree to enter into this Agreement for said purpose under the terms, conditions, covenants and restrictions as follows:
2. Term of the Agreement
2.1 This Agreement shall be month to month and will automatically renew at the beginning of each new month.
This Agreement may be canceled by either party for any reason, with or without cause, with 60 days written notice of intent to cancel being served on the canceled party via first class mail at the above address.
3. Mobile Travel Agents of America
3.1 MTAA agrees to provide Mobile Travel Agent with commissions for worldwide airline and rail tickets, tour and
cruise documents, hotel and car rental confirmation of reservations and all other travel reservations or trans-actions made by MTA using MTAA, or their assignee’s, CLIA, ARC or IATAN ID numbers.
3.2 MTAA agrees to use their best efforts on behalf of the MTA. 3.3 MTAA agrees to pay commissions to the Mobile Travel Agent per section 5 of this Agreement.
4. Mobile Travel Agent Representations 4.1 Mobile Travel Agent agrees to comply with all federal, state and local laws, statutes and regulations that af-
fect their ability to carry on business as described herein. 4.2 Mobile Travel Agent hereby states that: 4.2.1 They have never been convicted of a felony. 4.2.2 They have never been adjudged in breach of fiduciary. 4.2.3 They are 21 years of age, or older, and have full capacity to enter into and perform this contract.
4.2.4 They possess sufficient business acumen to operate their own travel business and have relied on information from professional sources other than MTAA in making their decision to start their own travel business.
4.2.5 They have not declared bankruptcy in any state, during the last ten years and that they
possess sufficient financial resources to start their own business.
5. Mobile Travel Agent Commissions
5.1 Mobile Travel Agent will be paid seventy percent (70%) of commission and overrides collected on each com-missioned transaction. As an example, the following equation would be used to determine the appropriate commission paid to the Cruise Agent.
Gross Commission 10% MTA Commission 70% (70% X Commission Percentage)
5.2 Commissions will be paid on the 10th day of each month following the date of completion of travel or receipt
of commission by MTA, or MTA’s assignee, whichever occurs last. As an example, a client returns from a cruise on the last day of April, the commission would be paid on the 10th day of May. If the same client re-turned on the 11th day of May, then the commission would be paid on the 10th day of June. If the commis-sion has not been received by MTAA then it would be paid on the 10th day of the month following receipt of the commission by MTAA, or it’s assignees.
5.3 The Mobile Travel Agent agrees to submit a request for commission to be paid on the 10th of any month, by
the 1st day of the month. The Mobile Travel Agent agrees to submit their commission request on the forms provided for that purpose in the MTAA operations manual.
5.4 The Mobile Travel Agent assumes responsibility for collecting commissions not paid MTAA, or their assign-
ees, by suppliers for reservations made by the Mobile Travel Agent. 5.5 Commissions are considered earned by the Mobile Agent upon completion of client’s travel. 5.6 Commissions will be paid only to MTAs current on all fees and payments due MTAA at the time commissions are earned.
6. Mobile Travel Agent Fees
6.1 MTA agrees to pay MTAA a one time, non-refundable start up fee of $ __ ____ 6.1.1 MTA states that they will attend and complete the MTAA orientation seminars. 6.2 MTA agrees to pay MTAA, or MTAA’s assignee, a service fee of Sixty Dollars (USD60.00) per month. The first
payment is due starting the 1st day of the month following the execution of this Agreement and will continue on the 1st day of each month thereafter.
6.2.1 Monthly fees will be deducted from the Mobile Travel Agent’s monthly commissions unless other wise provided for at the time of registration. 6.2.2 Where there are no commissions to deduct the monthly fee from, an invoice will be generated to the MTA that is due upon receipt. 6.2.3 Failure to pay monthly fees will constitute breach of this Agreement and will result in termination of this Agreement without notice. 6.2.4 MTA may elect to have monthly fees charged to a credit card in lieu of 6.2.1 above.
7. 30 Day Money Back Guarantee Refund 7.1 Either MTA or MTAA may unilaterally cancel this Agreement at any time within thirty (30) days from the Mo-
bile Travel Agent’s signing date. Both the MTA and MTAA agree to serve written notice via certified mail, return receipt requested to the canceled party by midnight of the 30th day from the date of the MTA’s sign-ing.
7.1.1 The value attributed to subscriptions, training, services, software and goods provided the MTA by
MTAA, or their assignees, will be deducted from the refund. 7.1.2 Any contract damages MTAA, or their assignee, may incur as a direct result of the Mobile Travel Agent will be deducted from the refund.
7.1.3 Refund will be made in the same method as received. As an example, a credit card charge would result in a credit card refund and a cash payment would result in a cash refund.
7.1.4 After the thirty-day money back guarantee period expires, the initial start up fee is non-refundable.
7.1.5 Reservations made during the thirty-day money back guarantee period will not be commissioned to the Mobile Travel Agent if the MTA elects to cancel this Agreement.
8. Independent Contractor Relationship 8.1 It is understood that the relationship of the MTA with MTAA is as an independent contractor only. It is ex-
pressly understood that no agency, partnership, employment or ownership interest is created by this Agree-ment by either party. The MTA states that no franchise relationship has been offered, suggested, or intended by MTAA.
8.2 The MTA, as an independent contractor, states that they will file appropriate federal and state income tax
returns and that they understand MTAA will file an IRS form 1099 to report commissions paid the MTA. 8.3 It is understood that the MTA will comply with all local, state or federal regulations affecting the operation of
an independent contractor selling travel related products. 8.4 It is understood that neither party to this Agreement will be responsible for the debts, contracts, obligations or responsibilities of the other.
9. Use of Mobile Travel Agents of America Name and Identity 9.1 MTA agrees to operate under the name of Mobile Travel Agents of America as an Independent Agent, and
that the MTAA name and logo may only be used on MTAA approved printed material by the MTA without the express written approval from MTAA.
10. MTA’s Payment for Cruises, Tours and Airline Tickets
10.1 MTA agrees to indemnify MTAA against all losses resulting from dishonored checks, credit card charges and
other forms of payment taken by MTAA in good faith in exchanges for services on behalf of the MTA. 10.2 MTA agrees to complete a Universal Credit Card Charge Form and obtain a client signature and credit card
imprint for every credit card sale. The MTA agrees to document the client’s identity by inspecting at least one acceptable form of I.D. before releasing travel documents to their clients.
10.2.1 The MTA indemnifies MTAA, or their assignee, from any and all losses from disputed credit card
charges for any reason. It is expressly agreed that even though MTAA, or their assignee, supplies Universal Credit Card Charge forms to the MTA that it is the responsibility of the MTA to conform to whatever regulations and policies each individual credit card company may impose.
10.2.2 MTAA or their assignee, reserves the right to demand a fully signed and imprinted copy of a credit
card sale from the MTA before releasing travel documents should it be deemed necessary. 10.3 MTA agrees to send their client’s personal or business check for services in cases where the client prefers to
pay by check or cash. The Client’s check must be received no later than 10 working days before tickets or documents can be released to allow check to clear MTAA, or their assignee’s, bank unless other arrange-ments have been previously agreed to by both parties. In cases where tickets may be needed immediately, MTA agrees to send a cashier’s check or money order in the full amount of the purchase. All checks are guaranteed by the MTA. If the client’s check is NSF or otherwise not funded MTA agrees to immediately fund any damages incurred by MTAA.
10.4 In no case will MTA release tickets and/or other travel documents which have not been paid in full and pay-
ment acknowledged by MTAA’s, or their assignee’s bank.. 10.5 MTA agrees to obtain Client’s signature on the “Receipt of Documents, Notice of Disclosure and Waiver of
Insurance” form for every ticket and travel document delivered to their client.
10.5.1 In no instance will MTAA be held responsible to MTA, or to their client for failure to disclose agency relationship, non-refundable or penalty features of tickets or other travel products, cancellation policies of tour operators or failure to offer various travel insurance policies or any damages caused in principle by these actions.
10.5.2 It is the express responsibility of the MTA to obtain all information regarding cancellation, change
and refund penalties and inform their clients in writing of such restrictions.
10.5.3 MTAA, or their assignee, will not be responsible for the errors and omissions of the MTA. The MTA will accept all responsibility for verbal reservations communicated to MTAA. In no instance will MTAA, or their assignee, be held liable for errors and omissions on verbal reservations.
11. Reduced Rate Travel List
11.1 MTAA, or their assignees, will include the MTA on it’s agency list and make available such cruises, familiariza-tion tours, hotel and resort and other agency discounts that the MTA is qualified for.
11.1.1 MTA is aware commissions paid to the MTA must meet or exceed an amount equal to, or greater
than, the product of the then current federal minimum wage, times 35 hours per week, times 50 weeks per year to meet the minimum qualification for retention on the lists.
11.1.2 MTA agrees to determine the supplier’s policy regarding reduced rate transportation with the spe-
cific carrier, tour company cruise line, hotel, resort or other supplier, confirm their qualification and make the initial reservation before requesting processing by MCS, or their assignee, on the appro-priate form provided in the MTAA Operations manual.
12. Miscellaneous Operating Fees
12.1 The MTA agrees to pay MTAA, or their assignee, the following fees that will be deducted from the M T A ’ s monthly commission payments. 12.1.1 MTA agrees to pay MTAA, or their assignee, $25.00 for every non-sufficient fund or stop payment check.
12.1.2 MTA agrees to pay MTAA, or their assignee, for any postage other than first class mail. MTA as-sumes all responsibility for airline tickets and other travel documents lost in the mail and indemni-fies MTAA from damage in such instances.
12.1.3 MTA agrees to pay a $10.00 fee for a voluntary change of itinerary that results in ticket reissuance,
and tickets requiring special handling such as flight awards, coupons and multiple invoices.
12.1.4 MTA agrees to pay a $25.00 fee for processing personal reduced rate request that require the for-mal issuance of a travel agency reduced rate transportation list and documentation.
13.. Mobile Travel Agent Indemnification
14.1 The MTA agrees to indemnify and hold harmless MTAA, MTAA’s assignees, executive staff, employees, rep-
resentatives and any other person affiliated with MTAA from, and against, liability from damages, claims, judgements, attorney’s fees, expenses and carrier debit memos or other charges that may be incurred by MTAA resulting from any act, error or omission of the Cruise Agent.
14. Choice of Venue
15.1 This Agreement is entered into and will be governed by the laws of the State of California. It is specifically
agreed that any controversy or claim between the parties hereto arising out of, or relating to this contract, or the breach thereof be settled in North San Diego County.
15. Entire Agreement
16.1 This Agreement contains all of the terms, conditions, covenants, restrictions, promises and understanding
between the parties to this Agreement. There are no other obligations other than those mentioned here by either party.
16. Execution of Agreement
I hereby agree to abide by the terms, conditions, covenants and restrictions of this Agreement entered into this_________________ _______________________________day of________________________________________, 20_____. __________________________________________________________________________________________________________ Mobile Travel Agent Social Security Number
Mobile Travel Agents of America hereby accepts the above signed Travel Affiliate(s) under the terms, conditions, cove-nants and restrictions of this Agreement entered into this___________________day of______________________, 20_____. __________________________________________________________________________________________________________ Authorized MTAA Executive Staff Member Title
