Who violated agency agreement?
In 1988, Allen Schirado and Farmers Insurance Exchange entered into an “Agent Appointment Agreement.” Pursuant to this agreement, Schirado agreed to act as an agent for Farmers. As agent, he would sell various lines of insurance provided by Farmers. He also agreed to submit to Farmers all requests or applications for insurance for the classes underwritten by Farmers and eligible in accordance with Farmers’ rules and manuals. The agreement also provided that all manuals, lists, and records, including those containing policyholder information, were the confidential property of Farmers. These were to be returned to Farmers upon termination of the agreement. Finally, the agreement required Schirado to give three months’ notice of termination. Upon termination of the agreement, Schirado was to be paid “Contract Value” payments, which could be paid in installments. On December 18, 2001, Schirado claimed that he faxed a letter to Farmers stating that he intended to resign effective March 31,
