There is little case law which assists in determining what is and what is not classed as a repudiatory breach in a commercial agency context. In simple terms, a repudiatory breach is a very serious breach of the agency agreement which entitles the principal to treat the agency agreement as immediately at an end. If you are in repudiatory breach, your principal is not obliged to make termination payments to you under the Regulations because of the seriousness of your breach of the agency agreement. However, it is often difficult for your principal to prove that you are in repudiatory breach as you must have committed a very serious breach of the agency agreement – trivial or minor breaches will not be sufficient.
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