COMPLAINT FOR DECLARATORY RELIEF AND DEMAND FOR ...

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Exhibit 2.A. p 1. Copies of the referenced documents, as they existed in November of1999, have been filed contemporaneously with this Complaint and are as follows:Supplement (Exhibit 3); Independent Contractor Manual (Exhibit 4); Agency Standards(Exhibit 5).1. Contractual Terms Concerning Sales to Existing Agents27. The Agreement provides the agent “an economic interest” in his or her bookof business and provides that “[s]ubject to the terms and conditions set forth in thisagreement and the incorporated supplement and EA Manual, [the agent] may transfer hisentire economic interest in the business written under this Agreement upon termination ofthis Agreement by selling the economic interest in the business to an approved buyer.”Exhibit 2.A, p 7.28. The Independent Contractor Manual, consistent with the representations madein the Preparing for the Future information booklet, confirms agents’ right to sell theirinterest in the book of business to another Allstate agent. Exhibit 4, p 25.29. The manual sets forth four specific business requirements, consistent with therepresentations made in the Preparing for the Future information booklet, that must bemet by an existing agent who seeks to purchase another agent’s economic interest in thebook of business. Exhibit 4, p 25. Those requirements are as follows:a. Buying agent must have sixty-five (65%) percent or less adjusted,capped, paid casualties loss ratio;
. Buying agent must demonstrate ability to provide a proper level ofcustomer service after the sale;c. Buying agent must commit to achieve company business objectives forgrowth, multi-lines sales and profitability; andd. Buying agent must have a professional business relationship withAllstate.2. Contractual Terms Concerning Quotas30. The Agreement provides that the agent will “meet certain business objectivesestablished by the company in the areas of profitability, growth, retention, customersatisfaction and customer service.” The Agreement does not, however, define the term“business objectives,” nor does it set forth any specific objective within the identifiedareas. Exhibit 2.A, p 2.31. The Agreement is silent concerning the purported consequences of an agent’sfailure to meet the undefined “business objectives” established by the company.3. Contractual Terms Concerning Business Development and Call-Forwarding32. The Agreement provides that the agent will act as an agent of the Company“for the purpose of soliciting, selling and servicing insurance and other Companybusiness in accordance with the provisions of this agreement.” Exhibit 2.A, p 2.
Page 1 and 2: COMPLAINT FOR DECLARATORY RELIEFAND
Page 3 and 4: 11. Before introducing the Independ
Page 5: 23. According to the information bo
Page 9 and 10: 39. The Agreement provides that the
Page 11 and 12: 50. Allstate has, both nationally a
Page 13 and 14: 59. The Agreement provides Allstate
Page 15 and 16: FRAUDULENT INDUCEMENT(Seeking a Jud
Page 17 and 18: 79. In the spring of 2000, Allstate
Page 19 and 20: 91. Moreover, for the first time, A
Page 21 and 22: 103. Plaintiff disputes Allstate’
Page 23 and 24: WHEREFORE, Plaintiff seeks a declar
Page 25 and 26: 120. Under present operations, Alls
Page 27 and 28: NAPAA’s agent members in Florida,
Page 29: JAMES E. FELMAN, ESQ.100 South Ashl

COMPLAINT FOR DECLARATORY RELIEF AND DEMAND FOR ...

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