Prohibition on compensation to sole selling agents limits entitlement and conditions for payment where agency ceases or misconduct occurs. A company shall not pay compensation to its sole selling agent where appointment ends by operation of law, on resignation connected to reconstruction or amalgamation, on other resignations, where the agent is guilty of fraud, breach of trust or gross negligence, or where the agent instigates termination. If compensation is payable, it is capped at the remuneration the agent would have earned for the shorter of the unexpired term or three years, calculated by the average remuneration actually earned during the three years preceding cessation or the shorter period of office.
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Provisions expressly mentioned in the judgment/order text.
Prohibition on compensation to sole selling agents limits entitlement and conditions for payment where agency ceases or misconduct occurs.
A company shall not pay compensation to its sole selling agent where appointment ends by operation of law, on resignation connected to reconstruction or amalgamation, on other resignations, where the agent is guilty of fraud, breach of trust or gross negligence, or where the agent instigates termination. If compensation is payable, it is capped at the remuneration the agent would have earned for the shorter of the unexpired term or three years, calculated by the average remuneration actually earned during the three years preceding cessation or the shorter period of office.
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