Mediation & Contract Benefits
CAWS provides the manufacturer and the representative with a contract that is designed to benefit both parties. A clause-by-clause analysis of the benefits is presented in this brochure. Executing a CAWS contract shows “Good Faith.”
A verbal contract tends to ignore crucial points that should be dealt with to avoid future problems. If the agreement is in writing you can avert pitfalls such as “misunderstandings”, “selective memory” and “oral agreements.”
Protect yourself and provide an alternative for settling disputes. Litigation can be expensive. CAWS provides the manufactures and the sales representative with a professional mediator at no cost to either party to the mediate issues retailed to the trade and custom of the industry.
Contract Benefits Table
| Clause | Member Benefits | Manufacturer Benefits |
| Territory | Protects against territorial disputes | Protects against territorial disputes |
| Protects rep on orders from territory | Pay only on orders from agreed territory | |
| Sales Rep | Define responsibility | Burden on rep |
| Obligation | Reasonable expectation | Defense to wrongful termination lawsuit |
| Commission | Support a claim | Defend a claim |
| Eliminate disputes over commission percentages | Eliminate disputes over commission percentages | |
| Sales Records | Entitled to records in the event of a lawsuit | Would have to produce records in the event of a lawsuit |
| Support a claim | Defend a claim | |
| Shipment | Manufacturer responsible for credit & Credit | Right to reject orders for bad credit |
| Samples
|
Define manufacturer’s sample policy | Define rep’s obligations |
| Establish return policy | Establish return policy | |
| Bind manufacturer in the event of a dispute | Bind rep in the event of a dispute | |
| Termination
|
Protect against wrongful termination | Establish notice requirements |
| Compensate rep for developing territory | Option to terminate without notice | |
| Avoid litigation | Avoid litigation | |
| Arbitration
|
Protect rep from oppressive conduct by manufacturer | Protect manufacturer from unreasonable claims by rep |
| Ruling based on accepted industry practice to avoid litigation | Ruling based on accepted industry practice to avoid litigation | |
| Provincial laws apply | Provincial laws apply | |
| Trade Shows | Show the manufacturer respects your market association | Show rep is a professional |
| Whole Agreement | Protect against oral defences | Protect against oral claims |
| Preserve legal rights | Preserve legal rights | |
| Jurisdiction | Manufacturer submits to local laws | Eliminate surprises |
| Litigate in rep’s jurisdiction | Establishes jurisdiction for disputes | |
| Language | French version available | French version available |
| Notice | Binding on both parties | Binding on both parties |