§ 191-A — Definitions

§ 191-a. Definitions. For purposes of this article the term:\n (a) "Commission" means compensation accruing to a sales representative\nfor payment by a principal, the rate of which is expressed as a\npercentage of the dollar amount of wholesale orders or sales.\n (b) "Earned commission" means a commission due for services or\nmerchandise which is due according to the terms of an applicable\ncontract or, when there is no applicable contractual provision, a\ncommission due for merchandise which has actually been delivered to,\naccepted by, and paid for by the customer, notwithstanding that the\nsales representative's services may have terminated.\n (c) "Principal" means a person or company engaged in the business of\nmanufacturing, and who:\n (1) Manufactures, produces, imports, or distributes a product for\nwholesale;\n (2) Contracts with a sales representative to solicit orders for the\nproduct; and\n (3) Compensates the sales representative in whole or in part by\ncommissions.\n (d) "Sales representative" means a person or entity who solicits\norders in New York state and is not covered by subdivision six of\nsection one hundred ninety and paragraph (c) of subdivision one of\nsection one hundred ninety-one of this article because he or she is an\nindependent contractor, but does not include one who places orders for\nhis own account for resale.\n