THE RIGHT OF AGENT TO COMMISSION AND SPECIAL ALLOWANCE IN YUGOSLAV AND COMPARATIVE LAWS Cover Image

ПРАВО ЗАСТУПНИКА НА ПРОВИЗИЈУ И ПОСЕБНУ НАКНАДУ У НАШЕМ И УПОРЕДНОМ ПРАВУ
THE RIGHT OF AGENT TO COMMISSION AND SPECIAL ALLOWANCE IN YUGOSLAV AND COMPARATIVE LAWS

Author(s): Vesna Besarević
Subject(s): Law, Constitution, Jurisprudence, Comparative Law
Published by: Правни факултет Универзитета у Београду

Summary/Abstract: Agents may effect three kinds of allowance on the ground of their representative activity, namely the right of the agent to commission in course of validity of the agency contract; the right of the agent to commission after the expiration of the agency contract; and the right of the agent to special allowance in case of rescission of the agency contract. The right of the agent to regular commisson is recognized in all systems of law, but there exist differences in legal approaches and conception. Thus in Yugoslav law the agent acquires the right to commisson when the third party discharges the contract, while in other legal systems it is provided that the agent acquires his right to commission at the moment of entering into valid contract with the thir party, or only for perfectly effected transactions. The reasons for non-implementing the contract influence the realisation of the right of agent to the commission. In comparative law the agreed upon agency commission is guaranteed, while according to Yugoslav law it is possible to lower down the amount of commission. After the expiration of the agency contract (due to the lapse of time or after the agreement to that respect between the parties), the person granting the authority may enter into contracts and engage in business transactions otherwise due to the merits of the agent. Yugoslav law is not quite clear in this respect, providing instead that the agent could eventually set up his request for payment of a fee only if the person granting the authority rescinded the contract without sufficient legal ground. The Decree on Business of Representing Foreign Firms in Yugoslavia provides for the right of the agent to commission to cover specific period of time after the expiration of the agency contract, but for the transactions otherwise undertaken by him already in course of validity of the contract. In the countries which accept the European continental system of law, the legislation covering agency in trade provides in addition to the agency commission, the right to special allowance due to the rescission of the agency contract. Similar legal regulation is found in some developing countries, such as Kuwait and Saudi Arabia. Yugoslav law, in addition to the regular commission, whose amount may be challenged by the party granting the authority, does not guarantee the agent's right to commission after the expiration of the agency contract and does not provide for a right to special allowance in case of the rescission of contract.

  • Issue Year: 33/1985
  • Issue No: 3-4
  • Page Range: 328-336
  • Page Count: 9
  • Language: Serbian