Utah Code 34-44-301. Failure to pay commission

(1)

A sales representative may bring a civil action in a court of competent jurisdiction against a principal for failure by the principal to comply with:

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Terms Used In Utah Code 34-44-301

Commission: means :

(a)

compensation:

(i)	that accrues to a sales representative;

(ii)	for payment by a principal; and

(iii)

at a rate expressed as a percentage of the dollar amount of sales, orders, or profits; or

(b)

any other method of compensation agreed to between a sales representative and a principal including:

(i)	fees for services; and

(ii)

a retainer. See Utah Code 34-44-102

Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.

Principal: means a person who:

(a)

engages in any of the following activities with regard to a product or service:

(i)	manufactures;

(ii)

produces;

(iii)

imports;

(iv)

sells; or

(v)	distributes;

(b)	establishes a business relationship with a sales representative to solicit orders for a product or a service described in Subsection (4)(a); and

(c)

agrees to compensate a sales representative, in whole or in part, by commission. See Utah Code 34-44-102

sales representative: means a person who enters into a business relationship with a principal:

(i)	to solicit orders for a product or a service described in Subsection (4)(a); and

(ii)	under which the person is compensated, in whole or in part, by commission. See Utah Code 34-44-102
(a)	any provision of an agreement relating to the payment of commission; or

(b)	Subsection 34-44-202(1) or (2).

(2)

If a principal is found liable under Subsection (1), the principal is liable to the sales representative for:

(a)

three times an amount calculated by:

(i)	determining the sum of unpaid commission owed to the sales representative; and

(ii)	subtracting from the amount determined under Subsection (2)(a)(i) money the sales representative owes the principal;

(b)	reasonable attorney fees; and

(c)	court costs.

Enacted by Chapter 65, 2007 General Session

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