At EAD we advise agents and principals on their rights and obligations under the Commercial Agents (Council Directive) Regulations 1993. This includes drafting agreements, advising on commission entitlements, retirement and payment of compensation.
As legal advisors for Unite over a number of years we have dealt with an exceptional volume of cases and have been prominent in developing this area of law. We have conducted a number of the most significant recorded judgments dealing with retirement rights, obligations of the agent and compensation on termination.
Duties of the Agent
The agent will have contractual duties towards the principal under the Agency Agreement. The agent must perform these duties with reasonable care and skill and comply with the principal’s reasonable instructions. In addition, there are other obligations imposed by the Regulations, including to ‘make proper efforts to negotiate and, where appropriate, conclude transactions he is instructed to take care of’ and ‘to act dutifully and in good faith’ towards the principal.
Duties of the Principal
An important duty of the principal is usually to pay the agent commission. There are various ways this can be structured and it should be properly documented in the agency agreement. In addition, there are other obligations imposed by the Regulations, these include to ‘act dutifully and in good faith’ towards the agent and to provide the agent with ‘the necessary documentation relating to the goods’ to enable the agent to perform his obligations under the Agency Agreement.
For advice on commercial agency matters, please call EAD today on, 0151 735 1000.
Extremely happy with the outcome of my Personal Injury Claim and can only thank Paul McCarthy and his team at EAD Solicitors and also Tim Trotman my barrister arranged by EAD, for all their work and efforts on my behalf. As such I would highly recommend EAD to anyone in need of their service. Once again thanks to all involved.
Brodie Martin, Merseyside
Excellent, very professional, approachable when I needed advice. I would just like to say thank you to your staff.