Saltzman worked for Coni-Seal, an automobile parts manufacturer, as a sales agent. They had a written agreement

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Saltzman worked for Coni-Seal, an automobile parts manufacturer, as a sales agent. They had a written agreement entitling Saltzman to a commission on “all products sold to approved accounts.” In turn, “approved accounts” were defined as accounts that Coni-Seal had given Saltzman authorization to solicit. Finally, the agreement stated that after termination, Saltzman would continue to receive commissions on all accounts that had been previously called on and sold by Saltzman. After Coni-Seal gave Saltzman approval to solicit sales from AutoZone, he made approximately 50 trips to the company at his own expense. 


Later the company authorized a second sales agent to make sales calls on Auto Zone but promised Saltzman that he still would be entitled to his commission. Soon thereafter, Coni-Seal began selling parts to AutoZone; however, Saltzman was not personally responsible for bringing about those sales. Coni-Seal then asked Saltzman to stop calling on AutoZone. Saltzman now complains that, although Coni-Seal made several million dollars in sales to AutoZone, he received no commissions for any of the sales. Can Saltzman recover commissions even though he is not the procuring cause of the sales? Explain.

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Law for Business

ISBN: 978-1259722325

13th edition

Authors: A. James Barnes, Terry M. Dworkin, Eric L. Richards

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