Senate Bill sb1842

    Florida Senate - 2004                                  SB 1842

    By Senator Miller





    18-1457-04                                          See HB 679

  1                      A bill to be entitled

  2         An act relating to sales representative

  3         contracts involving commissions; amending s.

  4         686.201, F.S.; revising definitions; providing

  5         for application to certain persons as well as

  6         businesses; including services as well as

  7         products; providing for application to retail

  8         as well as wholesale transactions; increasing

  9         damages under certain actions for compliance;

10         providing an effective date.

11  

12  Be It Enacted by the Legislature of the State of Florida:

13  

14         Section 1.  Section 686.201, Florida Statutes, is

15  amended to read:

16         686.201  Sales representative contracts involving

17  commissions; requirements; termination of agreement; civil

18  remedies.--

19         (1)  As used in this act, the term:

20         (a)  "Commission" means compensation accruing to a

21  sales representative for payment by a principal, the rate of

22  which compensation is expressed as a percentage of the dollar

23  amount of orders or sales.

24         (b)  "Principal" means a person or business which who

25  does not have a permanent or fixed place of business in this

26  state and who:

27         1.  Manufactures, produces, imports, or distributes a

28  product or service for wholesale, except for fresh

29  commodities.;

30         2.  Contracts with a sales representative to solicit

31  orders for the product or service.; and

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 1842
    18-1457-04                                          See HB 679




 1         3.  Compensates the sales representative, in whole or

 2  in part, by commission.

 3         (c)  "Sales representative" means a person or business

 4  which who contracts with a principal to solicit wholesale

 5  orders and who is compensated, in whole or in part, by

 6  commission, but does not include a person or business which

 7  who places orders for his or her own account for resale.

 8         (2)  When a principal contracts with a sales

 9  representative to solicit wholesale orders within this state,

10  the contract shall be in writing and shall set forth the

11  method by which the commission is to be computed and paid. The

12  principal shall provide the sales representative with a signed

13  copy of the contract and shall obtain a signed receipt for the

14  contract from the sales representative.

15         (3)(a)  When the contract between a sales

16  representative and a principal is terminated and the contract

17  was not reduced to writing, all commissions due shall be paid

18  within 30 days after of termination.

19         (b)  In the event a principal fails to comply with the

20  provisions of paragraph (a), the sales representative has a

21  cause of action for damages equal to triple double the amount

22  of commission found to be due. The prevailing party in any

23  such action is entitled to an award of reasonable attorney's

24  fees and court costs.

25         Section 2.  This act shall take effect upon becoming a

26  law.

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CODING: Words stricken are deletions; words underlined are additions.