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