Commercial agents are not the only kind of “intermediaries” that can be used in business relationships, and an agency agreement is not necessarily the optimal way for you.
Some other forms of intermediaries are briefly described below. At Advokatgruppen, we are ready to advise, regardless of which solution may be the most optimal.
What is a commission agency?
A commission agency can, on the surface, resemble a commercial agency. However, the two are different in one critical point in particular.
The commercial agent acts in the principal’s name and is thus not a contracting party; the commission agent acts in his own name and thus becomes a contracting party for third parties.
However, the commission agent still acts at the principal’s expense.
The Commission Act regulates commission agency matters.
What is a dealer?
A dealer trades in his name and at his own expense. they are thus not “middlemen” in the classical sense.
Agreeing to have a dealer resell one’s products can, however, in some situations be an alternative to a commercial agency relationship, as the sale to the end-user is solely the dealer’s business.
As an alternative to an external commercial agent, it may be considered whether a commercial traveller/representative should be employed instead. So, as with a dealer, there is no question of an actual “middleman”.
A business traveller is employed by the principal is then tasked with seeking out customers to promote the principal’s products/services.
However, the business traveller’s duties do not include concluding agreements or obtaining offers.
Commercial travellers are defined in section 31 of the Commercial Agents Act.
At Advokatgruppen, our lawyers have extensive experience with legislation regarding intermediaries and agent relationships. You can always find us at one of our three offices in Horsens, Fredericia and Aarhus. We believe that law should be as straightforward as possible, and we have acted in accordance with this since we started in 1987. You are always welcome to contact us for a non-binding and free conversation about your needs.