Commercial agent

Notion

The company manager often does not have the time or the means to manage all the company's affairs alone. He often needs a trusted person to assist him. This employee must have certain powers of representation for the company, in particular to be able to carry out certain transactions or enter into contracts on behalf of the employer.

Registered Attorney or Commercial Agent

Depending on the trust placed in the employee and the employer's desire to maintain control over the company's affairs, the employer may wish to grant more or less power of representation to the employee.

The employer may appoint the employee as a simple commercial representative, as a registered attorney or as a commercial agent. These three types of representation each have their own legal limitations.

Principle

As a general rule, the commercial agent may conclude all acts usually carried out within the company, which excludes extraordinary acts. This notion is sometimes difficult to define and will depend on the scope of the company's activities.

For greater clarity, it is recommended that the employee's powers of representation be specified in writing.

Abuse

Sometimes the commercial agent oversteps his or her rights and enters into business on behalf of the company that he or she had no right to enter into. The bona fide third parties with whom the commercial agent has entered into these transactions are protected by law. The company will sometimes be bound by the unrightful actions of one of its commercial agents.  

Withdrawal of powers

When the employer is no longer satisfied with the services of the commercial agent or when the latter abuses his powers, the employer sometimes unilaterally withdraws his powers of representation. Does the employer have the right to do this? Is this also the case when the employee has not committed a misconduct?