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The Sales Rep Contract Of Employment is a crucial document for Canadian businesses engaging sales professionals. It serves as a comprehensive agreement that establishes the employment relationship between a company and its sales representatives, ensuring compliance with Canadian federal and provincial employment laws. This contract is essential when hiring new sales staff or formalizing existing sales relationships, particularly where commission-based compensation is involved. It includes detailed provisions for compensation structure, sales territories, performance expectations, and protection of company interests through confidentiality and non-competition clauses. The document is designed to provide clarity and legal protection for both parties while maintaining flexibility for industry-specific adaptations. It's particularly important in contexts where sales representatives handle significant customer relationships or have access to sensitive company information.

1. Parties: Identification of the employer and sales representative, including full legal names and addresses

2. Background: Brief context of the employment relationship and purpose of the agreement

3. Definitions: Key terms used throughout the agreement, including 'Territory', 'Commission', 'Customers', 'Products/Services'

4. Term of Employment: Duration of employment, including start date and whether fixed-term or permanent

5. Position and Duties: Detailed description of the sales representative role, responsibilities, and reporting structure

6. Compensation Structure: Base salary, commission rates, bonus opportunities, and payment terms

7. Sales Targets and Performance Metrics: Required sales quotas, performance evaluation criteria, and review periods

8. Territory and Customer Assignment: Definition of sales territory and any exclusive/non-exclusive customer relationships

9. Working Hours and Location: Expected working hours, flexibility, office location, and travel requirements

10. Benefits and Expenses: Health benefits, expense reimbursement policies, and other standard benefits

11. Confidentiality: Protection of company and customer confidential information

12. Intellectual Property: Ownership of work product, customer lists, and sales materials

13. Non-Competition and Non-Solicitation: Post-employment restrictions on competing activities and customer solicitation

14. Termination: Grounds for termination, notice periods, and consequences

15. Return of Company Property: Requirements for returning company assets upon termination

16. Governing Law: Specification of Canadian law and relevant jurisdiction

17. General Provisions: Standard boilerplate clauses including amendments, severability, and entire agreement