Paul E. Hathaway and Brenda J. Hathaway - Page 5

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          He also maintained showrooms, see infra, where he solicited                 
               During the years in issue, TAG did not require its sales               
          representatives to use particular sales techniques or to use                
          specific materials in making sales presentations or finding                 
          customers.  TAG did not give any sales training to Hathaway                 
          during the years in issue, or at any previous time.  TAG sales              
          representatives used their own creativity and experience to                 
          create sales.  TAG did not have the right to change the method by           
          which its sales representatives solicited sales.  TAG did not               
          mandate the time during which its sales representatives were to             
          solicit sales or the portion of their assigned territories on               
          which they were to concentrate; sales representatives used their            
          own business judgment regarding the scheduling of their time.               
          TAG did not provide leads on prospective customers to its sales             
          representatives; sales representatives were not required to                 
          pursue or report on leads.  Most of Hathaway’s customer base was            
          generated through his efforts; there were very few TAG customers            
          in the Iowa-based territory when Hathaway took it over in 1969.             
               TAG had two sales meetings each year and encouraged, but did           
          not require, its sales representatives to attend those sales                
                               Sales Procedure Manual                                 
               TAG provided a sales procedure manual to its sales                     
          representatives.  The sales procedure manual details the way in             

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Last modified: May 25, 2011