Can this agreement be signed electronically?

Yes. Electronic signatures are generally enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted. Ensure intent to sign, consent to electronic records, clear attribution, and reliable retention to satisfy the legal test.

Are witnesses or a notary required?

Most employment contracts do not require notarization or witnesses. Some states or specific clauses (e.g., certain POAs or statutory acknowledgements) may require notarization; verify state rules before adding witness or notary steps.

How do I correct a signed agreement?

If a clerical error exists, prepare an amendment or corrective addendum signed by all parties rather than editing the executed copy. Preserve the original and the correction for audit and legal clarity.

Who has authority to sign for the employer?

An authorized officer, HR director, or delegated manager with written signing authority should sign. Confirm internal delegated authority to avoid later challenges to enforceability.

What happens to commissions after termination?

Payable commissions depend on the agreement language, timing of earned compensation, and applicable wage laws. Define earned vs. payable events and include examples to reduce disputes.

How can the agreement be revoked or cancelled?

Include termination clauses specifying notice, cause/non-cause termination, and any severance. Mutual rescission requires written agreement signed by both parties; oral revocation risks uncertainty.

Electronic Signature
Templates
HR
Employee Sales Manager Agreement

Employee Sales Manager Agreement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Employee Sales Manager Agreement

This Employee Sales Manager Agreement ("Agreement") is entered into by and between Employer Name: and Employee Name: . The parties agree as set forth below.

1. Personal Information

Full legal name Address Phone Email

2. Position and Term

Job title Department Reporting manager

Start date: Employment status: Full-time Part-time Exempt Non-exempt

3. Compensation and Commission Plan

Base salary Payment frequency

Commission rate (primary): Commission basis:

Quota and targets Commission plan details (description)

Draw against commission (if any): Draw recovery terms:

4. Duties and Responsibilities

Primary duties

Employee shall devote full working time and attention to the performance of duties and shall comply with all reasonable policies and procedures. The Employee shall not accept other employment that conflicts with Employer's interests without prior written consent.

5. Expenses and Benefits

Business expenses incurred in the performance of duties will be reimbursed in accordance with Employer's expense policy upon submission of itemized receipts. Employee is eligible for benefits described in the employer benefits guide, subject to plan terms and employment eligibility.

Expense reimbursement notes

6. Employment History

Previous Employer 1 - Company Title

Dates of employment: From to

Responsibilities Reason for leaving Previous Employer 2 - Company Title

Dates of employment: From to

Responsibilities Reason for leaving

7. Education

Degree Institution Graduation date

8. References

Reference 1 - Name Phone / Email / Relationship Reference 2 - Name Phone / Email / Relationship Reference 3 - Name Phone / Email / Relationship

9. Confidentiality, Proprietary Rights and Non-Solicitation

Employee acknowledges that during the course of employment Employee will have access to confidential and proprietary information. Employee agrees to hold all confidential information in strict confidence, not to use it except for Employer business purposes, and to return all materials upon termination. The obligation of confidentiality shall survive termination for a period of .

Non-solicitation: For a period of following separation, Employee shall not directly solicit Employer's customers or induce employees to terminate employment in the territory described as .

Non-compete: Employee acknowledges that a limited non-compete may be necessary to protect legitimate business interests. Any non-compete obligations will be reasonable in duration and geographic scope and expressly set forth in a separate addendum if applicable.

10. Invention Assignment and Intellectual Property

Employee agrees to assign and hereby assigns to Employer all right, title and interest in inventions, designs and works of authorship conceived or developed in the course of employment. Employee shall execute additional documents as reasonably required to effectuate such assignment.

11. Termination and Severance

Employment is at-will and may be terminated by either party at any time with or without cause, except as otherwise provided in a written agreement signed by both parties. If severance is offered, terms will be set forth here:

12. Background Check and Authorization

Employee authorizes Employer to verify information provided, contact references, and obtain background checks, credit or other screening reports where permitted by law. Employee consents to such investigations and releases persons providing information from liability.

Authorization to contact previous employers: I authorize contact with prior employers.

13. Legal Disclosures

At-Will Employment: Nothing in this Agreement shall be construed to create a contract of employment for any specified term. Employment is at-will and may be terminated by either party at any time, with or without cause or notice, unless otherwise agreed in writing.

Equal Opportunity: Employer is an equal opportunity employer and prohibits discrimination or harassment of any type. Employment decisions are based on business needs, job requirements and individual qualifications, without regard to protected characteristics.

14. Applicant Certification

I certify that the information provided in connection with my employment (including applications, resumes, representations and disclosures) is true, complete and accurate to the best of my knowledge. I understand that any material misrepresentation or omission may result in revocation of any offer or termination of employment.

I authorize Employer to contact my former employers, references, educational institutions and other listed contacts to confirm information. I understand that offers of employment may be conditioned upon satisfactory verification and background checks.

Applicant certification: I certify that all information provided is true and complete and I authorize the described verifications.

15. Miscellaneous

Governing law: This Agreement shall be governed by and construed in accordance with the laws of the state or jurisdiction where Employer maintains its principal place of business, without regard to conflict of law provisions. Any dispute arising out of this Agreement will be resolved as provided in a separate dispute resolution agreement if applicable.

Additional provisions or notes

Employer:

By:

Date:

Employee:

By:

Date:

What an Employee Sales Manager Agreement Covers

An Employee Sales Manager Agreement is a written contract between an employer and a sales manager that defines employment status, duties, compensation structure, commission and bonus rules, performance targets, confidentiality obligations, non-solicitation or non-compete limits where applicable, and termination provisions. It serves to align expectations, set measurable sales goals, and document how pay and incentives are calculated and paid. Properly executed, the agreement helps reduce disputes and clarifies payroll, tax withholding, and reporting responsibilities for both parties.

Why this agreement matters for employers and managers

A clear Employee Sales Manager Agreement reduces ambiguity about pay and duties, supports lawful payroll withholding and reporting, preserves confidential information, and creates enforceable expectations for performance measurement and termination. It is especially useful where commissions, clawbacks, or territory rights are involved.

Who typically prepares and signs this agreement

Employers, HR teams, sales leadership, and individual sales managers are the primary users who prepare, review, and sign this agreement.

Human resources and payroll teams who ensure tax and withholding compliance and maintain the personnel record.
Sales managers or candidates who need clear compensation schedules and performance expectations before accepting the role.
Legal counsel or in-house counsel who review restrictive covenants, arbitration clauses, and regulatory risks.

Legal and payroll advisors also participate to confirm tax, withholding, and compliance language; signatory roles vary by employer size and policy.

Typical signatory roles

HR Manager

Human resources professionals draft and store the agreement, coordinate onboarding, and ensure payroll and I-9 compliance. They confirm employee status, benefits eligibility, and retention schedules and escalate legal issues to counsel when restrictive covenants are included.

Sales Manager

The sales manager reviews compensation, commission schedules, and performance metrics before signing. They should confirm that territory, quota, and clawback terms are clear, and retain a signed copy for dispute or tax record purposes.

Core clauses to include in a professional agreement

A complete agreement anticipates operational, payroll, confidentiality, and termination issues. Use precise, measurable language for pay and performance terms and a clear dispute resolution method.

Parties

Identify employer legal entity and employee full name with business address and employee work location. Clarify whether employee is W-2 staff to avoid classification disputes.

Term and Effective Date

State the effective date and whether the position is at-will or fixed-term, and list any renewal conditions or notice periods for non-renewal.

Duties and Reporting

Define primary responsibilities, reporting lines, supervisory duties, territory or accounts, and expected working hours or travel obligations.

Compensation and Commissions

Describe base salary, commission calculation, payment timing, draws, thresholds, and any clawback or recovery policy for returns or cancellations.

Confidentiality and IP

Include nondisclosure language protecting proprietary lists, customer data, trade secrets, and specify IP ownership of sales materials and proposals.

Termination and Post-Termination

State termination for cause/without cause, severance if applicable, post-termination non-solicitation limits, and how final commissions are computed and paid.

Step-by-step: preparing and executing the agreement

Follow a concise sequence to draft, approve, and sign the agreement to reduce delays and ensure compliance.

01

Collect information: Gather legal names, employee tax ID, job details, and commission formulas.
02

Draft terms: Write clear compensation, KPI definitions, and any restrictive covenants or IP assignments.
03

Review and approve: Have HR, payroll, and legal review language for tax and enforceability issues.
04

Sign and distribute: Obtain signatures and provide copies to payroll and the employee for records.

Typical digital workflow settings for online completion

Configure a controlled workflow to preserve audit trails and reduce signer friction when using an eSignature platform.

Field	Configuration
Upload method	PDF or DOCX upload with version control
Signer order	Employee first, then HR or authorized manager
Authentication	Email link or SMS code; use stronger auth for restricted covenants
Template reuse	Create a template for role-specific commission schedules

How eSigning and routing usually operates

A standard eSignature flow reduces turnaround and ensures each step is logged for compliance and payroll processing.

Upload and tag fields: Place signature, date, and initial fields where required.
Assign signers: Add employee and HR or manager email addresses in order.
Verify identity: Use email link, SMS code, or higher assurance where required.
Archive executed copy: Store signed agreement in HR system and payroll records.

Technical considerations for digital execution

Choose a platform that supports audit trails, proper authentication, and secure storage for personnel records.

Integration needs: Supports HRIS and payroll connectors like Workday or NetSuite
Document formats: Accepts PDF, DOCX, and generates signed PDF with audit trail
Security standards: TLS in transit, AES-256 at rest

Timing and common deadlines to track

Several administrative and tax deadlines relate to employment agreements and reporting; track these dates to avoid penalties.

Provide W-9 or taxpayer info:

W-9s supplied on request to avoid backup withholding

Year-end tax reporting:

Form 1099-NEC / W-2 deadlines generally Jan 31 reporting

I-9 retention rule:

Retain I-9 three years after hire or one year after termination per 8 CFR §274a.2

Annual agreement review:

Review commission plans and quotas at least annually

Contract renewal notice:

Provide 30–60 days notice where fixed-term renewals apply

Key milestones from drafting to retention

Track milestones in sequence so approvals, execution, and storage are completed without gaps.

01

Draft Approval

Legal and payroll approve terms before signature.

02

Effective Date

Agreement becomes operative on the stated MM/DD/YYYY.

03

Commission Cycle

First payout occurs after measurement period completes.

04

Record Retention

Signed copy archived to HRIS and retained per policy.

Common errors that delay execution or reduce enforceability

Unclear commission language that leaves payout triggers or timing unspecified, creating disputes over amounts owed.
Mismatched names or incorrect legal entity names that complicate payroll, tax reporting, and verification of signer identity.
Missing effective date or retroactive dates that conflict with payroll cycles and statutory notice periods.
Failure to document consent for electronic records where required by consumer-facing rules, invalidating e-signature reliance.

Risks and penalties associated with incorrect or incomplete agreements

Tax Penalties: Late or incorrect information returns can trigger IRC §6721 fines

I-9 Violations: Paperwork errors may incur DHS fines of $281–$2,789

Unenforceable Clauses: Overbroad restrictions may be void under state law

Wage Claims: Misstated commissions can lead to wage-and-hour litigation

Confidentiality Breach: Improper handling of PII can violate HIPAA or privacy laws

Notarization Errors: Missing notarization where required may reduce evidentiary weight

How employee agreements differ from independent contractor arrangements

Key legal and tax distinctions determine classification, withholding obligations, and whether I-9s and benefits apply.

Criteria	Employee	Independent Contractor
Tax Withholding
Benefits Eligibility
I-9 Required
Unemployment Coverage		typically no

Typical eSignature vendor pricing and feature snapshot for contract signing

Comparison of starting prices and core capabilities across common eSignature vendors. signNow is listed first in accordance with pricing data and plan distinctions.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by vendor	Varies by vendor	Varies by vendor	Varies by vendor
Bulk Send	Yes (Business Premium)	Yes	Yes	Yes	Limited
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes (BAA available)	Yes (BAA available)	Yes (BAA available)	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Practical use cases for the agreement

Real-world examples show how the agreement resolves common operational issues for sales leadership and HR teams.

Regional Manager Example

A regional sales manager joins with a quota-based commission plan

Commission payout tied to booked revenue quarterly
The employer used a written agreement to define clawback if clients cancel, reducing disputes and supporting payroll accuracy.

On-Target Earnings Example

An employer defines OTE with base salary and accelerators

Accelerators trigger after 120% quota
Clear written metrics eliminated ambiguity on commission timing and prevented post-exit wage claims.

Practical tips to reduce disputes and administrative burden

Adopt consistent drafting and storage practices to minimize errors and speed payroll reconciliation.

Use clear commission formulas

Provide worked examples and define triggering events, returns handling, and timing to prevent later disagreements and simplify payroll calculations.

Align terms with payroll

Coordinate with payroll to ensure withholding, deductions, and reporting structures match agreement language to avoid tax and wage issues.

Limit restrictive covenants appropriately

Tailor non-solicitation and non-compete clauses to role and geography to improve enforceability and reduce litigation risk.

Maintain an auditable record

Store signed copies in HRIS with version history and access controls to support audits and employment claim defense.

FAQs and solutions for frequent questions

Answers to common questions about eSigning, enforceability, and document corrections to help you avoid execution and compliance issues.

Need help? Contact support

Can this agreement be signed electronically?
Yes. Electronic signatures are generally enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted. Ensure intent to sign, consent to electronic records, clear attribution, and reliable retention to satisfy the legal test.
Are witnesses or a notary required?
Most employment contracts do not require notarization or witnesses. Some states or specific clauses (e.g., certain POAs or statutory acknowledgements) may require notarization; verify state rules before adding witness or notary steps.
How do I correct a signed agreement?
If a clerical error exists, prepare an amendment or corrective addendum signed by all parties rather than editing the executed copy. Preserve the original and the correction for audit and legal clarity.
Who has authority to sign for the employer?
An authorized officer, HR director, or delegated manager with written signing authority should sign. Confirm internal delegated authority to avoid later challenges to enforceability.
What happens to commissions after termination?
Payable commissions depend on the agreement language, timing of earned compensation, and applicable wage laws. Define earned vs. payable events and include examples to reduce disputes.
How can the agreement be revoked or cancelled?
Include termination clauses specifying notice, cause/non-cause termination, and any severance. Mutual rescission requires written agreement signed by both parties; oral revocation risks uncertainty.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now