Is it illegal for domestic companies to charge agency fees?
Hello, I am glad to answer your question: it is illegal for customers to charge agency fees without knowing it. The act of collecting agency fees is not illegal in itself, but if the target agreed in the entrustment contract is not fulfilled, or the agency fees are not agreed, it constitutes a breach of contract, and the principal has the right to demand the return. According to Article 963 of the General Principles of the Civil Law, if a contract is formed through mediation, the client shall pay the remuneration as agreed. If the remuneration of the broker is not agreed or clearly agreed, and cannot be determined according to the provisions of Article 510 of this Law, it shall be reasonably determined according to the services of the broker. Where an intermediary provides media services for concluding a contract, the remuneration of the intermediary shall be borne equally by both parties to the contract. If the intermediary facilitates the establishment of the contract, the expenses of the intermediary activities shall be borne by the intermediary. Article 964 stipulates that if the broker fails to facilitate the establishment of the contract, he shall not request payment of remuneration; However, customers may be required to pay the necessary fees for intermediary activities as agreed.