Terminating Agency Agreements

^{Agency Agreements Byelaw, paragraph 11B}

2.1 No managing agent shall terminate or purport to terminate an agreement in the terms of the standard managing agent’s agreement (general) or the standard managing agent’s agreement (corporate member) otherwise than pursuant to and in accordance with the provisions of clause 11 of that agreement.

^{Agency Agreements Byelaw, paragraph 11B(1)}

2.2 Where a managing agent proposes to give notice to terminate an agreement in the terms of the standard managing agent’s agreement (general) or the standard managing agent’s agreement (corporate member) under clause 11.6 of that agreement, it shall, other than in the case of a syndicate merger, apply to the Council for permission to do so in accordance with the following provisions of this paragraph.

^{Agency Agreements Byelaw, paragraph 11B(2)}

2.3 An application under this paragraph:

(a) shall be in writing;

(b) shall specify the underwriting member to whom the notice is proposed to be given;

(c) shall specify the syndicate to which the proposed notice relates and the member’s syndicate premium limit of that underwriting member with respect to that syndicate;

(d) in the case of a notice proposed to be given under clause 11.6 of an agreement in the terms of the standard managing agent’s agreement (general), shall include the name of any members’ agent through which the underwriting member to whom the notice is proposed to be given participates in that syndicate;

(e) shall include an explanation of the reasons why the managing agent proposes to give the notice; and

(ea) shall include such further information as the Council may specify, whether generally or in relation to a particular case or class of cases;

(f) shall be made by 30 April in the year in which the notice is proposed to be given, or , save where the application relates to a proposed increase in fees or profit commission, such later date in that year as the Council may permit (and such permission may itself be granted after 30 April of that year).

^{Agency Agreements Byelaw, paragraph 11B(3)}

2.4 Unless the Council otherwise allows, a managing agent which makes an application under this paragraph shall at the same time send a copy of the application:

(a) to the underwriting member to whom the relevant notice of termination is proposed to be given; and

(b) where the application relates to a notice proposed to be given under clause 11.6 of an agreement in the terms of the standard managing agent’s agreement (general), to any such members’ agent as is referred to in [2.3(d)] above;

and shall inform that underwriting member and, if applicable, that members’ agent that he is entitled to make representations to the Council within 21 days after the despatch to him of a copy of the application under this sub-paragraph, or within such longer period as the Council may allow.

^{Agency Agreements Byelaw, paragraph 11B(4)}

2.5 Unless the Council otherwise determines:

(a) an underwriting member to whom such a notice is proposed to be given; and

(b) any such members’ agent as is referred to  in [2.3(d)] above;

shall be entitled to make representations to the Council within 21 days after the despatch to him of a copy of the relevant managing agent’s application to the Council under sub-paragraph (4) above, or within such longer period as the Council may allow.

^{Agency Agreements Byelaw, paragraph 11B(5)}

2.6 The Council may require a managing agent which has made an application under this paragraph to provide such additional information or explanations with respect to the proposed notice of termination as the Council thinks fit.

^{Agency Agreements Byelaw, paragraph 11B(6)}

2.7 If the Council is minded to refuse an application made under this paragraph, or to grant the application subject to conditions, it shall by notice in writing so inform the managing agent which made the application and shall permit that managing agent to make representations within such period as the Council may require.

^{Agency Agreements Byelaw, paragraph 11B(7)}

2.8 The Council may grant an application made under this paragraph subject to such conditions as it may think fit, including, where the application relates to a proposed notice to an underwriting member who participates in a syndicate through a members’ agent, a condition requiring the managing agent to offer to that underwriting member the opportunity to continue to participate in the syndicate through a different members’ agent.

^{Agency Agreements Byelaw, paragraph 11B(8)}

2.9 If the Council grants an application made under this paragraph it may permit the relevant notice of termination to be given later than 31 May of the year in which the notice is proposed to be given; and such permission may itself be granted after 31 May of that year.

^{Agency Agreements Byelaw, paragraph 11B(9)}

2.10 The Council may for the purposes of this paragraph make requirements that a managing agent provide to the Council, or to any underwriting member to whom a notice of termination is proposed to be given or to the members’ agent of any such underwriting member such information as may be specified; and such requirements may apply generally or in relation to a particular case or class of cases.

^{Agency Agreements Byelaw, paragraph 11B(10)}