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obligations of the principle/commercial agent

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7 - Commercial Agency
from Part III - Service Contracts
Christoph Müller, Université de Neuchâtel, Switzerland
Book:

Swiss Contract Law in International Commercial Arbitration

Published online:

27 July 2023

Print publication:

10 August 2023, pp 558-626
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Summary

This chapter examines the commercial agency contract which is governed by Articles 418a–v of the Code of Obligations starting with the sources and characteristics of this contract as well as the delimitations with other contracts and the various types of agents found under Swiss law. This chapter then moves on to the conclusion of the commercial agency contract and analyses in detail the obligations of the commercial agent and the principal. This includes the agent’s obligation to negotiate or conclude contracts, duty of care, obligation of loyalty, liability for the proper performance of the contract by the customer and obligation to return and the principal’s general duty to assist the commercial agent, obligation to pay and other pecuniary duties. Finally, this chapter explores the end of the commercial agency contract including both ordinary and extraordinary causes of termination as well as the winding up of the contract.