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On April 18, 1954, petitioner Orin F. Farnsworth (Mr.
Farnsworth), formerly known as Jose Farnsworth, married Gloria
Farnsworth, from whom he is now divorced.
From 1956 through part of 1962, Mr. Farnsworth was employed
as an agent of Farmers Insurance Group2 (Farmers) in El Paso,
Texas, selling home, commercial casualty and life insurance.
In 1962, Mr. Farnsworth, Gloria Farnsworth, and their family
moved to Chico, California. From 1962 through part of 1966, Mr.
Farnsworth worked as a division agency manager for Farmers in the
Chico, California, area.
On September 30, 1966, Mr. Farnsworth applied to become a
district manager with Farmers. On November 1, 1966, Farmers and
Mr. Farnsworth entered into the DMAA, under which he was
appointed district manager for district number 98-26, in Redding,
California. The DMAA between Mr. Farnsworth and Farmers was
effective, including addenda, from its execution on November 1,
1966 through Mr. Farnsworth’s retirement on January 31, 1995.
Under the DMAA, Farmers agreed to pay Mr. Farnsworth an
“overwrite” on all business produced by agents of Farmers within
district number 98-26. An “overwrite” is a percentage of the
commissions earned by the sales agents supervised by the district
2Farmers Insurance Group (Farmers) is a collection of
companies which, during 1966, included Farmers Insurance
Exchange, Truck Insurance Exchange, Fire Insurance Exchange, Mid-
Century Insurance Co., and Farmers New World Life Insurance Co.
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Last modified: May 25, 2011