New Jersey sales representative employment contract template

View and compare the Free version and the Pro version.

priceⓘ
Download Price
free
pro
price
$0
$1.99
FREE Download

Help Center

Need to learn how to convert downloaded contract DOCX files to PDF or add electronic signatures? Please visit our Help Center for detailed guidance.

How New Jersey sales representative employment contract Differ from Other States

  1. New Jersey law requires timely payment of earned sales commissions, imposing strict deadlines and penalties for late payment.

  2. Unlike many states, New Jersey imposes civil penalties and attorney fee recovery for employers who fail to pay sales commissions as required.

  3. New Jersey contracts with sales representatives must be in writing and set out method of computation and payment of commissions clearly.

Frequently Asked Questions (FAQ)

  • Q: Is a written sales representative employment contract required in New Jersey?

    A: Yes. New Jersey law mandates that sales representative agreements must be in writing, detailing how commissions are calculated and paid.

  • Q: What happens if an employer fails to pay commissions on time in New Jersey?

    A: Employers may face penalties, including paying the owed commissions, civil fines, and covering the representative’s reasonable attorney fees.

  • Q: Are post-termination commissions protected under New Jersey law?

    A: Yes, New Jersey law entitles sales representatives to receive commissions earned prior to termination even after the contract ends.

HTML Code Preview

New Jersey Sales Representative Employment Agreement

This New Jersey Sales Representative Employment Agreement (the "Agreement") is made and entered into as of this [Date] by and between [Employer Name], a [State of Incorporation] corporation with its principal place of business at [Employer Address] ("Employer"), and [Employee Name], residing at [Employee Address] ("Employee").

1. Position

The Employer hereby employs the Employee as a Sales Representative.

Option A: The Employee's primary responsibilities include, but are not limited to: identifying potential clients, securing new accounts, maintaining and growing existing customer relationships, conducting product or service presentations, achieving specified sales targets or quotas, preparing quotes and contracts, processing sales orders, reporting sales activity, attending and representing the employer at trade shows or industry events, traveling within assigned New Jersey territories, completing regular training and product knowledge updates, complying with company sales policies, and using employer-provided CRM tools and company confidential materials.

Option B: [Alternative Job Description].

2. Work Location and Travel

The Employee's primary work location shall be:

Option A: The Employer's office located in [City, NJ].

Option B: Designated territories within the State of New Jersey.

Option C: Remote work within the State of New Jersey, subject to Employer's remote work policy.

The Employee is required to travel within the State of New Jersey as necessary to perform the duties of the position.

Reimbursement for travel expenses (including mileage, parking, tolls, and client entertainment) will be made in accordance with the Employer's expense reimbursement policy, compliant with New Jersey Department of Labor (NJDOL) standards.

3. Full-Time Employment

The Employee's position is a full-time position.

Option A: The regular work schedule is [Number] hours per week, Monday through Friday, [Start Time] to [End Time].

Option B: The Employee's schedule may vary depending on the needs of the business, but will generally consist of [Number] hours per week.

The Employee will be provided meal and rest breaks as required by New Jersey law (NJSA 34:11-56a et seq.). Overtime will be paid in compliance with New Jersey's Wage and Hour Law.

4. Compensation

The Employee shall be compensated as follows:

Base Salary: The Employee's base salary shall be [Dollar Amount] per [Pay Period], subject to applicable withholdings and deductions.

Commission: The Employee shall be eligible to earn commissions based on the Employer's commission plan.

Option A: The commission rate is [Percentage] of net sales.

Option B: Commissions will be calculated according to the attached commission plan.

Commissions are paid [Frequency, e.g., monthly, quarterly] on sales for which payment has been received by the Employer.

Bonus: The Employee may be eligible for bonuses based on the achievement of certain performance targets as determined by the Employer.

Bonus eligibility and criteria will be outlined in the Employer’s bonus policy.

All compensation will be paid in accordance with New Jersey's Wage Payment Law. The Employer complies with the New Jersey minimum wage law.

5. Benefits

The Employee may be eligible to participate in the Employer's benefit plans, including:

  • Health insurance
  • Dental insurance
  • Vision insurance
  • 401(k) or other retirement plan
  • Paid time off (PTO)
  • Statutory sick leave, in compliance with New Jersey Earned Sick Leave Law.
  • Family leave rights (FMLA/NJFLA)
  • Holiday pay

Reimbursement for sales-related expenses, such as tools, mileage, cell phone, and subscriptions, will be in accordance with the Employer's expense reimbursement policy.

[Optional] Professional development or sales training reimbursement may be provided, subject to Employer approval.

6. Ownership of Intellectual Property

All company contacts, leads, sales materials, marketing collateral, and client lists are the exclusive property of the Employer. This includes all intellectual property and trade secrets, which remain the Employer's property even after termination of employment, in accordance with New Jersey common law and the New Jersey Trade Secrets Act.

7. Confidentiality

The Employee agrees to hold confidential all client data, business practices, sales reports, proprietary strategies, and other confidential information of the Employer. These non-disclosure obligations survive termination of employment and are governed by New Jersey laws on trade secrets and privacy.

8. Non-Competition and Non-Solicitation

The Employee agrees to the following restrictions:

Non-Competition: During the term of employment and for [Number] months following termination, the Employee shall not engage in any business that competes with the Employer within [Geographic Area, e.g., the State of New Jersey, specific counties].

  • This restriction is limited to activities that are substantially similar to the Employee's duties for the Employer.
  • This clause is intended to be reasonable in scope, duration, and geographic area, in compliance with evolving New Jersey legal standards.

Non-Solicitation: During the term of employment and for [Number] months following termination, the Employee shall not solicit or attempt to solicit any clients of the Employer with whom the Employee had contact during their employment.

  • This restriction does not prevent the Employee from pursuing their livelihood post-employment.

9. Compliance with Laws and Policies

The Employee shall comply with all applicable anti-bribery, anti-corruption, and fair competition regulations, as well as the New Jersey Consumer Fraud Act and any industry-specific codes regulating sales practices.

10. Reporting and Performance Evaluation

The Employee will report to [Manager Name].

The Employee is responsible for achieving sales targets as set by the Employer.

The Employee's performance will be evaluated [Frequency, e.g., quarterly, annually].

The Employee is required to submit sales reports in the format and frequency specified by the Employer.

Failure to meet sales goals may result in [Consequences, e.g., performance improvement plan, termination].

11. Conduct and Equal Opportunity

The Employee shall maintain professional conduct with clients, represent the Employer ethically, and adhere to workplace safety, anti-harassment, and non-discrimination policies. The Employer is an equal opportunity employer and complies with the New Jersey Law Against Discrimination (NJLAD).

The Employer does not discriminate based on race, gender, age, disability, sexual orientation, gender expression, nationality, or any other protected characteristic under New Jersey law.

12. Onboarding and Training

The Employee will participate in an onboarding process and will be required to participate in sales, product, or policy trainings relevant to the New Jersey market, as required by law or company policy.

13. At-Will Employment and Termination

The Employee's employment is at-will, meaning that either party may terminate the employment relationship at any time, with or without cause or notice, unless otherwise guaranteed in a separate written agreement.

In the event of termination, the Employee shall be paid all accrued wages, including any commissions due, in accordance with New Jersey Wage Payment Law.

Upon termination, the Employee shall return all company property.

[Optional] The Employee may be eligible for severance pay in accordance with the Employer's severance policy.

14. Commission Disputes and Deductions

Any disputes regarding commissions, chargebacks, or customer returns/credits will be resolved in accordance with the Employer's commission policy.

All deductions from the Employee's wages will comply with New Jersey's wage deduction law.

15. Dispute Resolution

Any disputes arising out of or relating to this Agreement shall be resolved through good faith negotiation. If negotiation is unsuccessful, the parties agree to submit the dispute to mediation or arbitration.

This Agreement shall be governed by and construed in accordance with the laws of the State of New Jersey. The courts of New Jersey shall have exclusive jurisdiction over any legal matters arising under this Agreement.

16. Worker's Compensation and Safety

The Employee is covered by the Employer's worker's compensation insurance as required by New Jersey law. The Employee shall comply with all occupational health and safety regulations.

17. Acknowledgement

The Employee acknowledges receipt of the Employer's employee handbook, commission policy, and any supplemental sales rules. The Employer reserves the right to amend sales policies with reasonable notice.

18. Severability

If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

19. Amendment

This Agreement may be amended only by a written instrument signed by both parties.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.

____________________________

[Employer Name]

By: ____________________________

[Employer Representative Name]

Title: [Employer Representative Title]

____________________________

[Employee Name]

Date: ____________________________

Related Contract Template Recommendations