Legal Question in Business Law in California

Bribery

I would like to know how to compensate someone without falling into the California Penal code 641.3 trap. Our corporation sells a new and unique type of coupling for hydraulic lines. We have shown this coupling to a few construction mechanics at various companies and one of them is very enthusiastic. He has bought one already and likes it. He plans on showing the coupling to every other mechanic in the very large and multistate company. If the other mechanics purchase these couplings from us with ''company'' funds and we reward the original mechanic with a referal or finders fee is this legal? If the purchases by other company mechanics were large enough his referal bonus could be substantial ( several thousand dollars)


Asked on 11/06/06, 11:46 am

2 Answers from Attorneys
H.M. Torrey The Law Offices of H.M. Torrey

Re: Bribery

We would need to know more detailed facts to further assist you here. For a free phone consultation, contact us directly today.

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Answered on 11/06/06, 1:47 pm
Terry A. Nelson Nelson & Lawless

Re: Bribery

You should be setting up a marketing and sales program that allows such people to earn commissions on sales and referrals. Contact me to discuss this if interested in doing it right.

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Answered on 11/06/06, 3:25 pm


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