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Book 4 · Commercial transactions  ›  Division 3 · Transactions on a commission basis › Section 405

Section 405

(1) Where commission agents give notice of the commission having been executed and fail to note expressly that they intend to enter into the contract, this is considered a declaration that the execution took place by the transaction being concluded with a third party for the account of the principal.

(2) An agreement between the principal and the commission agent is null and void that stipulates that the declaration as to whether the commission has been executed by way of self-dealing or by conclusion of a transaction with a third party may be made later than on the date of the notice of execution.

(3) Should the principal revoke the commission and should the revocation be served on the commission agent before the notice of execution has been submitted for transmission, the commission agent no longer will be entitled to the right to enter into the contract by way of self-dealing.

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