HB 0679 2004
   
1 A bill to be entitled
2          An act relating to sales representative contracts
3    involving commissions; amending s. 686.201, F.S.; revising
4    definitions; providing for application to certain persons
5    as well as businesses; including services as well as
6    products; providing for application to retail as well as
7    wholesale transactions; increasing damages under certain
8    actions for compliance; providing an effective date.
9         
10          Be It Enacted by the Legislature of the State of Florida:
11         
12          Section 1. Section 686.201, Florida Statutes, is amended
13    to read:
14          686.201 Sales representative contracts involving
15    commissions; requirements; termination of agreement; civil
16    remedies.--
17          (1) As used in this act, the term:
18          (a) "Commission" means compensation accruing to a sales
19    representative for payment by a principal, the rate of which
20    compensation is expressed as a percentage of the dollar amount
21    of orders or sales.
22          (b) "Principal" means a person or business which who does
23    not have a permanent or fixed place of business in this state
24    and who:
25          1. Manufactures, produces, imports, or distributes a
26    product or service for wholesale, except for fresh commodities.;
27          2. Contracts with a sales representative to solicit orders
28    for the product or service.; and
29          3. Compensates the sales representative, in whole or in
30    part, by commission.
31          (c) "Sales representative" means a person or business
32    which who contracts with a principal to solicit wholesaleorders
33    and who is compensated, in whole or in part, by commission, but
34    does not include a person or business which whoplaces orders
35    for his or her own account for resale.
36          (2) When a principal contracts with a sales representative
37    to solicit wholesaleorders within this state, the contract
38    shall be in writing and shall set forth the method by which the
39    commission is to be computed and paid. The principal shall
40    provide the sales representative with a signed copy of the
41    contract and shall obtain a signed receipt for the contract from
42    the sales representative.
43          (3)(a) When the contract between a sales representative
44    and a principal is terminated and the contract was not reduced
45    to writing, all commissions due shall be paid within 30 days
46    after oftermination.
47          (b) In the event a principal fails to comply with the
48    provisions of paragraph (a), the sales representative has a
49    cause of action for damages equal to triple doublethe amount of
50    commission found to be due. The prevailing party in any such
51    action is entitled to an award of reasonable attorney's fees and
52    court costs.
53          Section 2. This act shall take effect upon becoming a law.