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New York · Through 2026-09-11

N.Y. Labor Law § 191-a: Definitions

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Where this section sits in the code
  1. Labor Law
  2. Article 6. Payment of Wages

§ 191-a. Definitions. For purposes of this article the term:

(a) "Commission" means compensation accruing to a sales representative

for payment by a principal, the rate of which is expressed as a

percentage of the dollar amount of wholesale orders or sales.

(b) "Earned commission" means a commission due for services or

merchandise which is due according to the terms of an applicable

contract or, when there is no applicable contractual provision, a

commission due for merchandise which has actually been delivered to,

accepted by, and paid for by the customer, notwithstanding that the

sales representative's services may have terminated.

(c) "Principal" means a person or company engaged in the business of

manufacturing, and who:

(1) Manufactures, produces, imports, or distributes a product for

wholesale;

(2) Contracts with a sales representative to solicit orders for the

product; and

(3) Compensates the sales representative in whole or in part by

commissions.

(d) "Sales representative" means a person or entity who solicits

orders in New York state and is not covered by subdivision six of

section one hundred ninety and paragraph (c) of subdivision one of

section one hundred ninety-one of this article because he or she is an

independent contractor, but does not include one who places orders for

his own account for resale.

Collected 2026-09-14T19:32:45Z. Source file · JSON

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