Q&As

Can a subsidiary company be appointed as a commercial agent of its parent company?

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Published on LexisPSL on 08/09/2017

The following Commercial Q&A provides comprehensive and up to date legal information covering:

  • Can a subsidiary company be appointed as a commercial agent of its parent company?

The Commercial Agents (Council Directive) Regulations 1993, SI 1993/3053 (Commercial Agents Regulations) apply only to the relationship between the principal and the commercial agent. They do not apply to the agent's external authority or to relationships with third parties under transactions the agent negotiates or concludes.

A commercial agent is a self-employed intermediary who has continuing authority to:

  1. negotiate the sale or purchase of goods on behalf of a principal, or

  2. negotiate and c

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