MC Electric Inc sold circuit boards.Dortmund was the director of sales for MC Electric.His employment contract said he was responsible for managing the sales force of five employees,including promoting sales.Pricing decisions and overall sales strategy were the responsibility of the president.In October,Dortmund was approached by GB Circuits Co,another supplier of circuit boards which had been asked to quote on a large order from a manufacturer of telephones,A-Tel.GB could not fill all the A-Tel order itself and proposed that MC should submit a quote for what GB could not supply and,if MC were successful,it would pay over 50 percent of its profits on the order to GB as compensation for giving the MC the opportunity to bid and the introduction to A-Tel.Dortmund agreed to this deal on behalf of MC.Subsequently,MC supplied 2500 circuit boards to A-Tel which were paid for.MC refused to pay the 50 percent commission to GB.Is there any legal basis upon which it could be argued that MC is NOT OBLIGED to pay the commission? Do you think that MC will be successful in avoiding payment?

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The Answer of MC Electric Inc sold circuit boards.Dortmund was the director of sales for MC Electric.His employment contract said he was responsible for managing the sales force of five employees,including promoting sales.Pricing decisions and overall sales strategy were the responsibility of the president.In October,Dortmund was approached by GB Circuits Co,another supplier of circuit boards which had been asked to quote on a large order from a manufacturer of telephones,A-Tel.GB could not fill all the A-Tel order itself and proposed that MC should submit a quote for what GB could not supply and,if MC were successful,it would pay over 50 percent of its profits on the order to GB as compensation for giving the MC the opportunity to bid and the introduction to A-Tel.Dortmund agreed to this deal on behalf of MC.Subsequently,MC supplied 2500 circuit boards to A-Tel which were paid for.MC refused to pay the 50 percent commission to GB.Is there any legal basis upon which it could be argued that MC is NOT OBLIGED to pay the commission? Do you think that MC will be successful in avoiding payment?

MC Electric Inc Sold Circuit Boards