Oklahoma sales representative employment contract template

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How Oklahoma sales representative employment contract Differ from Other States

  1. Oklahoma law requires prompt payment of commissions after contract termination, with specific timelines not always imposed by other states.

  2. Oklahoma does not mandate written contracts for sales representatives but strongly recommends them to avoid commission disputes.

  3. Certain non-compete restrictions in Oklahoma for sales representatives are narrower than those recognized in other states.

Frequently Asked Questions (FAQ)

  • Q: Are written sales representative contracts required by law in Oklahoma?

    A: No, written contracts aren’t required by law, but having one is strongly recommended to ensure both parties’ rights and responsibilities are clear.

  • Q: How soon must commissions be paid after termination in Oklahoma?

    A: Commissions must be paid promptly after contract termination, typically within 30 days, in compliance with Oklahoma statutes.

  • Q: Can Oklahoma restrict a sales representative from working for competitors after contract ends?

    A: Non-compete clauses in Oklahoma are interpreted narrowly and must be reasonable in geographic scope and duration to be enforceable.

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Oklahoma Sales Representative Employment Contract

This Oklahoma Sales Representative Employment Contract (the “Agreement”) is made and entered into as of [Date] by and between [Employer Legal Name], a [State of Formation] [Entity Type] with its principal place of business at [Employer Address] (“Employer”), and [Employee Full Legal Name], residing at [Employee Address] (“Employee”).

1. Position and Responsibilities

The Employer hereby employs Employee as a full-time Sales Representative.

Employee's primary responsibilities include, but are not limited to:

  • Prospecting and generating new clients within [Target Market/Industry].
  • Maintaining and expanding relationships with existing customer accounts.
  • Achieving assigned sales quotas as determined by Employer.
  • Conducting product or service presentations to potential clients.
  • Negotiating contract terms with clients within established company guidelines.
  • Collecting and documenting customer feedback for product development and marketing.
  • Attending trade shows and networking events as required.
  • Preparing periodic sales and pipeline reports as requested by Employer.
  • Utilizing CRM systems, such as [CRM System Name, e.g., Salesforce], for lead management and customer tracking.
  • Timely submission of call reports detailing client interactions.
  • Complying with Employer’s policies and procedures for lead management and territory assignment.
  • Employing sales methodologies as directed by Employer.
  • Option A: Territory: The designated sales territory is [Oklahoma Geographic Boundaries/Specific Accounts].
  • Option B: Territory: Sales territory will be assigned and may be adjusted at Employer's discretion.
  • Employee is expected to conduct both in-person and remote client visits.
  • Employee is expected to travel within [Oklahoma and/or adjacent regions] as required.
  • Employee will report to [Immediate Supervisor Title].
  • Employee will collaborate with the marketing, customer support, and distribution teams.

2. Compensation and Benefits

A. Salary

  • Option A: Employee will receive a base salary of [Dollar Amount] per [Pay Period, e.g., year], payable in accordance with Employer's standard payroll practices.
  • Option B: Employee will receive an hourly wage of [Dollar Amount] per hour, payable in accordance with Employer's standard payroll practices.

B. Commission

  • Employee will be eligible to earn commission based on closed sales.
  • A "closed sale" is defined as [Definition of Closed Sale].
  • The commission rate is [Percentage]% of the [Gross Revenue/Profit Margin] generated from each closed sale.
  • Commission Calculation: [Detailed commission calculation formula. Example: Commission = (Sales Revenue - Cost of Goods Sold) * Commission Rate]
  • Commissions will be paid [Payment Frequency, e.g., monthly] within [Number] days of the end of the relevant pay period.
  • Split Commissions: Split commissions, if applicable, will be divided as follows: [Split Commission Agreement Details].
  • Commission Clawbacks: In the event of a customer refund or return, the commission previously paid on that sale may be subject to clawback. The details of any clawback policy are as follows: [Clawback Policy Details].
  • Commissions on Termination: Commissions on sales pending at the time of termination will be handled as follows: [Commission Payment Terms on Termination].

C. Bonuses and Incentives

  • Employee may be eligible for performance bonuses based on achieving specific sales targets.
  • Option A: Bonus: The criteria for earning a performance bonus are as follows: [Bonus Criteria and Payout Structure].
  • Option B: No Bonus: Employee is not eligible for any performance bonuses.

D. Benefits

  • Employer will provide the following benefits to Employee:
  • Medical, dental, and vision insurance.
  • Retirement plan (401(k)) with [Employer Contribution Details].
  • Paid vacation time: [Number] days per year.
  • Paid sick leave: [Number] days per year.
  • Paid holidays: [List of Observed Holidays].
  • Vehicle Allowance: [Dollar Amount per Month] or reimbursement for business mileage at the current IRS rate.
  • Cell Phone/Data Stipend: [Dollar Amount per Month].
  • Company Credit Card: Employee may be issued a company credit card with spending limits and guidelines as determined by Employer.

E. Expenses

Employer will reimburse Employee for reasonable and necessary business expenses incurred in connection with Employee’s duties, subject to Employer's expense reimbursement policy.

3. Work Location and Schedule

Employee's principal place of work will be [City, Oklahoma].

Employee's work schedule is full-time, with a minimum of [Number] hours per week.

Expected work schedule: [Typical Work Schedule, e.g., Monday-Friday, 8:00 AM - 5:00 PM].

  • Option A: Flexible Hours: Employee may have flexible hours, subject to Employer's approval and business needs.
  • Option B: No Flexible Hours: Employee is expected to adhere to the standard work schedule.

Employee is entitled to meal and rest breaks in accordance with applicable Oklahoma law.

4. Training

Employee will be required to complete onboarding training, product update training, and other professional development courses as determined by Employer.

  • Option A: Regulatory Training: Employee is required to complete training on [Specific Oklahoma regulations relevant to the industry].
  • Option B: No Regulatory Training: No regulatory training is required.

5. Company Property

Employee will be provided with the following company property: [List of Company Property, e.g., laptop, cell phone, company vehicle].

Employee is responsible for the care and maintenance of company property.

Use of company property is limited to authorized business purposes.

6. Ownership of Materials

All sales-related materials, customer contacts, prospect lists, pricing information, proposals, presentations, and other company-provided resources are the property of Employer.

7. Confidentiality

Employee acknowledges that they will have access to confidential information belonging to Employer, including trade secrets, client lists, pricing information, marketing plans, and sales strategies.

Employee agrees to maintain the confidentiality of this information and not to disclose it to any third party, either during or after their employment with Employer. This obligation extends to personal contacts gained through employment.

This confidentiality obligation survives the termination of this Agreement.

8. Non-Solicitation

Employee agrees not to solicit Employer’s clients for a period of [Number] months following the termination of their employment.

The term "solicit" includes directly or indirectly contacting, communicating with, or attempting to persuade any client of Employer to discontinue or reduce its business relationship with Employer. This applies to business-to-business solicitation but does not include employee non-competes, which are largely unenforceable in Oklahoma.

This restriction applies to clients located within [Specific geographic area or industry sector].

Employee agrees not to solicit other employees of Employer to leave their employment for a period of [Number] months following the termination of their employment.

9. Conflict of Interest

Employee agrees to disclose any potential conflicts of interest to Employer.

Employee is prohibited from engaging in any unauthorized sales for personal benefit.

Employee is required to report any familial or existing business relationships with clients or prospects.

10. Standards of Conduct

Employee agrees to conduct themselves in a professional and ethical manner at all times.

Employee will comply with all applicable laws and regulations, including those related to anti-bribery, fair competition, and consumer protection.

Employee is prohibited from making misleading or false claims about Employer’s products or services.

Employee will adhere to Employer’s policy regarding gifts, entertainment, and promotional items for clients.

11. Data Security and Privacy

Employee will comply with all applicable data security and privacy laws, including the Oklahoma Computer Crimes Act, and Employer's data security policies.

Employee will protect the confidentiality and security of customer data.

12. Vehicle Use (If Applicable)

  • Option A: Company Vehicle: If Employee is provided with a company vehicle, they will adhere to Employer's vehicle use policy, including insurance requirements and driver safety guidelines.
  • Option B: Personal Vehicle: If Employee uses their personal vehicle for business purposes, they must maintain adequate insurance coverage and comply with all applicable traffic laws.

Employee is responsible for reporting any accidents or incidents involving a vehicle used for business purposes.

13. Anti-Discrimination and Harassment

Employer is an equal opportunity employer and prohibits discrimination and harassment based on race, color, religion, sex, national origin, age, disability, or any other protected characteristic under applicable federal and Oklahoma law, including the Oklahoma Anti-Discrimination Act.

Employee is required to report any instances of discrimination or harassment to Employer.

Employer will investigate and address any complaints of discrimination or harassment promptly and effectively.

14. Termination

Employment is at-will, meaning that either Employer or Employee may terminate the employment relationship at any time, with or without cause and with or without notice, subject to the provisions below.

  • Option A: Notice Period: Employee is required to provide [Number] days' written notice of resignation.
  • Option B: No Notice Period: Employee is not required to provide a notice period for resignation.

Employer may terminate Employee's employment with or without cause, subject to applicable laws.

Upon termination, Employee will be paid all earned wages and commissions in accordance with Oklahoma law, no later than the next regularly scheduled payday.

Severance: [Severance Package Details, or "No Severance Package"]

15. Return of Property

Upon termination of employment, Employee will promptly return all company property, including laptops, cell phones, customer data, documents, credit cards, and confidential information.

16. Workers' Compensation

Employee is covered by Employer's workers' compensation insurance in accordance with Oklahoma law.

Employee is required to report any workplace injuries to Employer immediately.

17. Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of the State of Oklahoma.

Any dispute arising out of or relating to this Agreement shall be resolved through [Method of Dispute Resolution, e.g., mediation, arbitration, litigation] in [Oklahoma City/Tulsa, Oklahoma].

  • Option A: Arbitration: Any dispute arising out of or relating to this Agreement shall be settled by binding arbitration in accordance with the Oklahoma Arbitration Act.
  • Option B: Litigation: Any dispute arising out of or relating to this Agreement shall be subject to the exclusive jurisdiction of the state and federal courts located in [Oklahoma City/Tulsa, Oklahoma].

Jury Trial Waiver: [Insert Jury Trial Waiver language if desired and enforceable under Oklahoma law].

18. Outside Sales Exemption Disclaimer (Optional)

Employer believes that Employee may qualify for the "outside sales" exemption from the overtime provisions of the Fair Labor Standards Act (FLSA). Employee’s primary duty is making sales and customarily and regularly working away from Employer’s place of business to obtain orders or contracts. The Employer makes no assurances as to Employee’s eligibility for this exemption.

19. Acknowledgment

Employee acknowledges that they have had the opportunity to review this Agreement with legal counsel before signing.

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

[Employer Legal Name]

By: [Name of Authorized Representative]

Title: [Title of Authorized Representative]

[Employee Full Legal Name]

Signature: ____________________________

Date: ____________________________

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