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As the industry leader State Farm, Allstate Insurance Company has historically built its business on a platform of “captive” insurance agents who dedicate their time exclusively to the sale and maintenance of Allstate products. Years ago, Allstate broke with its main competitors by giving its agents the opportunity to sell the “economic interest” of their agencies to third parties. Just this year, the Farmers Group of Insurance Companies announced a similar model. While Allstate`s exclusive agency agreement represents a unique and potentially valuable opportunity for potential agents, it contains some fine print that deserves special attention. Here are five key points that potential buyers should be aware of: * Subject to all the conditions described in the Allstate R3001 Exclusive Agency Agreement and Exclusive Agency Program Materials. Allstate agents are not franchised; Rather, they are exclusive, independent contractors who are not employed by Allstate. The agency employee opportunity is not a job opportunity directly with Allstate Insurance Company, but a job with an Allstate Exclusive Agency owner who is an independent contractor. The Referral Price is payable forty-five (45) days after Allstate and the recommended candidate nominate and sign an Allstate Exclusive Agency Agreement. No payment will be made to you if the recommended candidate has not been nominated by Allstate.

The name of the person making the recommendation must appear on the applicant`s Allstate Agent application in order for that person to receive a payment. A referral reward is not paid to former Allstate (EA) Exclusive Agents and Exclusive Financial Specialists (EFS), or to allstate-filed sales manager referrals who access an EA or EFS position. The referral bonus is subject to change. The recommendation is not available to the applicant. Allstate`s recruitment team, human resources staff, and Allstate employees whose responsibilities include recruitment are not eligible. The recipient of the reference price is solely responsible for all taxes and the declaration of the price. Allstate is an equal opportunity company. Allstate Insurance Company, Northbrook, IL. © 2015 Allstate Insurance Co. Allstate is offering a $5,000 scholarship to anyone who recommends a qualified candidate. The reference price is payable when the nominee is nominated as the owner of an Allstate agency. To recommend candidates, please call 1-877-711-1006.

Second, the predictive language of the manuals explicitly stated that in the event of a conflict between the R3001 agreement and the manuals, the agreement governed.4 Thus, to the extent that the language cited by Stephenson in the manuals attempted to change the wording of the “exclusive judgment” of § XV.A of the R3001 agreement, the two documents were contradictory.   In such a conflict, the R3001 agreement prevailed.   The applicant`s argument that such an interpretation rendered the criteria superfluous is unfounded.   The manuals set out certain criteria that the company can take into account but does not have to take into account.   Thus, the complainant`s assertion that her application should survive a summary verdict because a reasonable jury might believe that Stephenson`s agency was “in close proximity” to Yvannous wrongly assumed that Allstate had to consider proximity.   In the permissive language of the manuals, it was simply stated: “[a]pproval may also be indicated if your location is close to the place of purchase of the R3001 agents”. (Emphasis added).   Finally, it was stated several times in the manuals that the purchase by the buyer of another agent`s “business book” was always subject to Allstate`s final approval. Stephenson had worked as an “exclusive agent” under a contract with Allstate under agreement R3001, which it entered into on June 10, 1996.   The complainant`s office was located in Livonia, Ohio, at zip code 48152.

  In September 1998, Stephenson began negotiations with Alex Yvannou, another R3001 agent, to purchase his Allstate accounts.   Yvannou`s office was located in Canton, Ohio, at zip code 48187.   The offices were about eight miles apart.   After entering into a purchase agreement, Stephenson and Yvannou informed their immediate branch manager and Allstate`s human resources department of the planned sale. .