What is the difference between an indirect commission and a disciplinary contract?

Both the entrustment contract and the discipline contract are based on the mutual trust of the two parties, and one party handles the entrusted affairs on behalf of the other party, and the legal consequences are borne by the entrusting party. However, there are some differences between these two types of contracts: first, the disciplinary contract must be paid, and the principal must pay remuneration to the disciplinary officer; The entrustment contract can be paid or unpaid.

Second, the subject of the discipline contract is restrictive. In China, the settlor of a discipline contract can be a citizen or a legal person, but the discipline person can only be a legal person who has been approved to operate trust business, and a legal person or citizen who has not been approved by legal procedures to operate trust business shall not operate trust business and cannot become a discipline person in a discipline contract. However, the scope of application of the entrustment contract is very extensive, and all kinds of civil subjects can establish an entrustment contract relationship, and there are no special requirements for the principal and the trustee.

Third, the discipline party in the discipline contract handles the discipline affairs in his own name, and the client does not directly have a legal relationship of rights and obligations with a third party; The trustee in the entrustment contract can handle the entrusted affairs in the name of the principal, or it can handle the entrusted affairs in his own name. In the former case, the principal directly has a relationship of rights and obligations with a third party.

First, the affairs involved in the discipline contract are limited to the purchase and sale of land and consignment, while the affairs involved in the entrustment contract are civil activities other than those that must be handled by specific parties. Second, in the discipline contract, the party engages in legal activities in its own name, and the client does not enjoy rights and fails to perform its obligations under the contract signed with a third party, while the trustee engages in activities in the name of the client's Xi Fan in the entrustment contract, and the contract signed between the trustee and the third party can be directly effective against the client. Third, the discipline of the contract has the right to sign a contract with a third party in its own name, and can intervene in the transaction activities if necessary, while the entrusted person of the entrustment contract must engage in work within the authority of the client's instructions and always be controlled by the will of the client.

Fourth, a discipline contract must be a paid contract, while an entrustment contract can be a paid contract or a gratuitous contract.

Legal basis: Article 919 of the Civil Code is a contract in which the principal and the trustee agree that the trustee will handle the affairs of the client. Article 920 of the Civil Code provides that a client may specifically entrust a trustee to handle one or more affairs, or may entrust a trustee to handle all affairs in general.

Article 921 of the Civil Code provides that the client shall pay in advance the costs of handling the entrusted affairs. The Trustee shall repay the necessary expenses advanced by the Trustee for the handling of the entrusted affairs and pay interest.

Legal analysis: The differences between the entrustment contract and the discipline contract are: 1. The scope of application of the contract is different.

The discipline contract applies only to purchases, sales and consignments. The entrustment contract may be applied to civil activities other than those that must be handled by specific parties. 2. The subjects of rights and obligations are different.

The rights and obligations arising from the transaction of the trustee in the entrustment contract shall be borne by the principal, and the disciplinary person shall bear the responsibility in the discipline contract. 3. The compensatory nature of Hezhi Peitong is different. The discipline contract is a paid contract, and the entrustment contract can be free or paid.

4. There are different ways to bear the costs incurred in handling entrusted affairs. The cost of handling the entrusted affairs in the entrustment contract shall be borne by the client, and the handling of the entrusted affairs in the contract shall be borne by the disciplinary officer, unless otherwise agreed by the parties. 5. The activities of providing services are different.

The discipline person in the discipline contract has the right to sign a contract with a third party in his own name, and the entrustment contract is to sign the contract in the name of the principal.

Legal basis: Civil Code of the People's Republic of China

Article 924:The trustee shall, at the request of the client, report on the handling of the entrusted affairs. When the entrustment contract is terminated, the trustee shall report the results of the entrusted affairs.

Article 925:Where a contract entered into by the trustee with a third party in its own name and within the scope of the principal's authorization, and the first three persons were aware of the relationship between the trustee and the client at the time of entering into the contract, the contract directly binds the principal and the third party, unless there is conclusive evidence to prove that the contract only binds the trustee and the third party.

The differences between the two are as follows:

1.The scope of application of the discipline contract is limited to consignment sales and other ** behaviors; The scope of application of the entrustment contract is wide.

2.The trustee of the discipline contract can only handle the entrusted affairs in his own name; The trustee of the entrustment contract can handle the affairs in the name of the principal as well as in his own name.

3.Discipline personnel are generally specialized in ** activities, and their opening and operation must be reviewed and registered by the relevant state departments; The parties to the entrustment contract do not have to be specialized in ** activities, they can be citizens, or they can be legal persons.

1. What is the difference between the settlor and the trustee?

The differences between settlor and trustee are as follows:

1. The client refers to the person who entrusts others to handle affairs for himself. In the brokerage business, the principal refers to the natural person or legal person who can be traded in accordance with the provisions of national laws and regulations;

2. The entrusted person is the person who accepts the entrustment of the client to deal with related affairs, and the obligations that the entrusted person should perform are: personally handle the affairs according to the instructions of the client, report the results to the client, and hand over the property obtained from the entrusted affairs to the client, and the entrusted party shall compensate for the loss of the client's reputation due to the reasons of the entrusted; The settlor and the trustee must be two different people and cannot be the same person. In the case of a paid entrustment contract, the client shall pay remuneration to the trustee in accordance with the completion of the entrusted affairs.

2. What are the legal risks of the entrustment contract?

Like what; The risk of the entrusted matter, the risk of the cost of handling the entrusted matter, etc.

First of all, the entrustment contract is a contract in which the principal and the trustee agree that the trustee will handle the affairs of the principal.

The entrustment contract has the following risks.

First, the risk of the entrustment is that there is no agreement on the entrustment or the agreement is not clear, and the entrustment completed by the trustee may not conform to the wishes of the client, or even cause the loss of the client's interests.

Second, there is the risk of the cost of dealing with the entrusted business. If the parties do not stipulate in the entrustment contract the cost of handling the entrusted affairs, and the principal does not prepay the expenses for handling the entrusted affairs, the trustee can only pay the expenses in advance, which increases the financial burden of the trustee, and there is even a risk that the principal will not repay the fees because the client believes that the entrusted matters handled by the trustee do not meet the wishes of the client; If there is no sufficient evidence to pay the necessary expenses advanced by the trustee, the settlor may not admit to non-payment of such fees and interest.

Third, the legal risk of terminating the entrustment contract lies in the fact that the principal or the trustee can terminate the entrustment contract at any time. If the other party suffers losses due to the termination of the entrustment contract, the losses shall be compensated except for reasons that are not attributable to the party.

Civil Code of the People's Republic of China

Article 464:A contract is an agreement between civil entities to establish, modify, or terminate a civil legal relationship.

Marriage, adoption, guardianship, and other agreements related to status relationships shall be governed by the laws and regulations on such status relationships; Where there are no provisions, the provisions of this Part may be applied by reference on the basis of their nature.

Legal analysis: The entrustment contract is a contract that entrusts the dismantling of Huai Zheng and the trustee to agree that the trustee will handle the affairs of the client. The discipline contract is a contract in which the discipline person engages in ** activities for the client in his own name, and the client pays remuneration.

The main differences between the two are as follows: First, the affairs involved in the discipline contract are limited to the purchase, sale and consignment, while the affairs involved in the entrustment contract are civil activities other than those that must be handled by specific parties. Second, in a disciplinary contract, the principal engages in legal activities in his own name, and the principal of the contract signed with a third party does not enjoy rights and does not perform obligations, while the trustee engages in activities in the name of the principal in the entrustment contract, and the contract signed between the trustee and the third party can be directly effective against the principal.

Third, the discipline of the contract has the right to sign a contract with a third party in its own name, and can intervene in the transaction if necessary, and the entrusted person of the entrustment contract must engage in work within the direction of the principal and always be under the control of the client's will. Fourth, a discipline contract must be a paid contract, while an entrustment contract can be a paid contract or a repentant free contract.

Legal basis: Article 919 of the Civil Code of the People's Republic of China: An entrustment contract is a contract agreed between the principal and the trustee that the trustee will handle the affairs of the principal.

Article 951: A discipline contract is a contract in which the discipline person engages in ** activities for the client in his own name, and the client pays remuneration.