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Tex. Business & Commerce Code § 54.001

This is the official text of Tex. Business & Commerce Code § 54.001, part of Texas’s Business & Commerce Code — governs commercial transactions and general business practices.

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§ 54.001. DEFINITIONS.

Official statutory text

In this chapter:

(1) "Commission" means compensation paid a sales representative by a principal in an amount based on a percentage of the dollar amount of certain orders for or sales of the principal's product.

(2) "Principal" means a person who:

(A) manufactures, produces, imports, or distributes a product for sale;

(B) uses a sales representative to solicit orders for the product; and

(C) compensates the sales representative wholly or partly by commission.

(3) "Sales representative" means an independent contractor who solicits, on behalf of a principal, orders for the purchase at wholesale of the principal's product.

Status: in_force · Read it on the official government site

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