§ 42-481 — Definitions.

As used in sections 42-481 to 42-484, inclusive: (1) “Commission” means compensation that accrues to a sales representative, for payment by a principal, at a rate expressed as a percentage of the dollar amount of sales, orders or profits or any other method of compensation agreed to between a sales representative and principal including, but not limited to, fees for services and retainers; (2) “Person” means an individual, corporation, limited liability company, partnership, unincorporated association, trust or estate; (3) “Principal” means a person who: (A) Manufactures, produces, imports, sells or distributes a product or service, (B) establishes a business relationship with a sales representative to solicit orders for a product or service, and (C) compensates a sales representative, in whole, or in part, by commission; (4) “Sales representative” means a person who: (A) Establishes a business relationship with a principal to solicit orders for products or services, and (B) is compensated in whole, or in part, by commission. “Sales representative” does not include an employee or a person who places orders or purchases on the person's own account or for resale or a seller, as defined in subsection (c) of section 42-134a ; and (5) “Termination” means the end of the business relationship between a sales representative and a principal, whether by the principal or the sales representative, or by operation of the terms of a contract.

Legislative History

(P.A. 05-166, S. 1.) History: P.A. 05-166 effective July 1, 2005.