What makes someone your commercial agent
Under the European Communities (Commercial Agents) Regulations, a commercial agent is a self-employed intermediary with continuing authority to negotiate (or negotiate and conclude) the sale or purchase of goods on your behalf. The label doesn't matter; the function does. Sales reps, introducers and "consultants" can all qualify — and once they do, a mandatory statutory regime attaches that the contract cannot simply exclude.
What the Regulations guarantee
- Commission rights — including on transactions concluded after termination where mainly attributable to the agent's efforts within a reasonable period
- Written statement of terms on request
- Minimum notice periods — rising with each year of the agency's duration
- Compensation or indemnity on termination — the provision with teeth: an agent whose agency ends (including by the principal's ordinary notice, or the agent's death or retirement in defined cases) can be entitled to a payment reflecting the value of the agency lost. Claims must generally be notified within one year of termination
Drafting for principals
You cannot contract out of the core protections, but drafting still controls a great deal: whether the relationship is agency at all (a reseller structure avoids the regime — see distribution); precise commission triggers, territories and exclusions; duties, targets and termination-for-cause grounds; and the indemnity/compensation election where available. Pricing the exit into the appointment is the difference between a manageable end and a shock claim.
Acting for agents
If you sell for a principal and the relationship is ending — or being restructured to look like something other than agency — take advice quickly: the notification window for termination claims is short, and the difference between walking away and a properly assessed claim can be a multiple of your annual commission. Bring the agreement, commission statements and the termination correspondence.
How our fees work
You get a fixed quote in writing before any work starts — no hourly-rate surprises and no meter running while you think. If the scope changes, the quote is revised in writing before we continue. In contentious business, a solicitor may not calculate fees or other charges as a percentage or proportion of any award or settlement. How contract solicitor fees work in Ireland →
Frequently asked questions
Do the Commercial Agents Regulations apply to services?
The Regulations apply to agents negotiating the sale or purchase of goods. Pure services intermediaries generally fall outside them — though the contract still governs, and analogous common-law principles apply. Mixed goods-and-services arrangements need individual analysis.
Can we agree there will be no termination payment?
The core protections cannot be excluded to the agent's detriment before termination. What the parties can do is structure the relationship honestly outside agency (genuine reseller), or manage exposure through term, notice and the design of the commission base.
How is agency termination compensation calculated in Ireland?
The Irish Regulations provide for compensation for damage suffered as a result of termination, and its assessment has drawn on both French and English approaches in practice — outcomes are fact-heavy. What matters practically: preserve the figures, notify the claim within a year, and take advice before accepting any exit terms.
Talk to a solicitor who reads contracts for a living. Call Mary Molloy Solicitors today.
Whether you are drafting terms for your business, handed a contract to sign, or unsure what a clause commits you to, an early conversation costs little and prevents a lot.
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