What should a company do to avoid getting tied down to one agent?
By use of a contract, suppliers can establish their legal relationship with a local representative in one of two ways: (a) an ordinary work contract regulated by labor law and requiring severance pay; or (b) a commission contract, where the parties establish their own terms and conditions and are not bound by severance considerations. Under the commission contract, conditions of work, territorial exclusivity, termination, etc. are those incorporated into the contract itself, by the parties involved.
