Payment agent rights
What an agent is entitled to do under an agency agreement: receive a fee, request documents, refuse a questionable payment.
A payment agent’s rights in foreign trade are defined primarily by the agency agreement and Chapter 52 of the Russian Civil Code. Federal Law No. 103-FZ, which is often mentioned alongside, regulates something else: accepting payments from individuals. An agent that pays a foreign supplier for a company works under a civil-law contract, and its rights and their limits are set out in that contract.
Typical agent rights
- Fee. The agent is entitled to be paid for its work. The procedure is set in the agreement, and the amount for each payment in the payment order.
- Reimbursement of expenses. If the agreement provides for it, the agent charges the client for execution costs, such as bank fees along the chain.
- Requesting documents. The agent has to show its bank what it is paying for and to whom. So it is entitled to request the contract, the invoice, and information about the client and the beneficiary.
- Refusal to execute. If the documents do not match or the payment raises questions at the bank, the agent may suspend execution or refuse it in the manner set out in the agreement.
- Engaging a sub-agent. Under the general rule of the Civil Code, the agent may engage a sub-agent unless the agreement prohibits it. In that case, the agent itself remains liable to the client.
Why this matters in a payment
The agent’s rights show what can change without your involvement. A broad right to reimbursement of expenses means the final price may go up after payment. An unrestricted right to use a sub-agent means your money may be handled by a company you don’t know.
What to watch for
Read three parts of the agreement: how the fee is calculated, which expenses the agent can charge on top of it, and whether it can bring in a third party without your consent. The agent’s rights are worth reading together with its liability.
When VEDmost arranges the payment, the fee is written in the payment order before the roubles are debited, and the agent brings in a sub-agent only with your consent. More on the Payment protection page.
Request a quote
Describe the payment. We'll reply with a proposed route and terms. We name the agent in advance, and the rate and fee go into the payment order before your roubles are debited.