Common use of AUTHORITY AND DUTIES OF GENERAL AGENT Clause in Contracts

AUTHORITY AND DUTIES OF GENERAL AGENT. A. LICENSING AND APPOINTMENT OF SUB-AGENTS General Agent is authorized to appoint sub-agents ("Sub-agents") to solicit sales of the Contracts. General Agent agrees to fulfill all requirements set forth in the General Letter of Recommendation attached as Schedule A hereto in conjunction with its submission of licensing and appointment papers for all Sub- agents. General Agent warrants that it and all of its Sub-agents appointed pursuant to this Agreement shall not solicit nor aid, directly or indirectly, in the solicitation of any application for any Contract until they are fully licensed by the proper authorities under the applicable insurance laws within the applicable jurisdictions where General Agent and Sub-agents propose to offer the Contracts, where Pacific Mutual is authorized to conduct business and where the Contracts may be lawfully sold. General Agent shall periodically provide Pacific Mutual with a list of all Sub-agents appointed by General Agent and the jurisdictions where such Sub- agents are licensed to solicit sales of the Contracts. Pacific Mutual shall periodically provide General Agent with a list which shows; (i) the jurisdictions where Pacific Mutual is authorized to do business; and (ii) any limitations on the availability of the Contracts in any of such jurisdictions. General Agent shall prepare and transmit the appropriate appointment forms to Pacific Mutual. General Agent shall pay all fees to state insurance regulatory authorities in connection with obtaining necessary licenses and authorizations for Sub-agents to solicit and sell the Contracts. Pacific Mutual will pay appointment fees for General Agent and resident appointment fees for Sub-agents. Non-resident appointment fees for Sub-agents will be paid by the General Agent. All renewal appointment fees will be paid by the General Agent for Sub-agents who have generated less than $20,000 target premium within the prior 12 months. Pacific Mutual may refuse for any reason to apply for the appointment of a Sub- agent and may cancel any existing appointment at any time.

AUTHORITY AND DUTIES OF GENERAL AGENT. A. LICENSING AND APPOINTMENT OF SUB-AGENTS General Agent is authorized to appoint sub-agents ("Sub-agents") to solicit sales of the Contracts. General Agent agrees to fulfill all requirements set forth in the General Letter of Recommendation attached as Schedule A hereto in conjunction with its submission of licensing and appointment papers for all Sub- Sub-agents. General Agent warrants that it and all of its Sub-agents appointed pursuant to this Agreement shall not solicit nor aid, directly or indirectly, in the solicitation of any application for any Contract until they are fully licensed by the proper authorities under the applicable insurance laws within the applicable jurisdictions where General Agent and Sub-agents propose to offer the Contracts, where Pacific Mutual is authorized to conduct business and where the Contracts may be lawfully sold. General Agent shall periodically provide Pacific Mutual with a list of all Sub-agents appointed by General Agent and the jurisdictions where such Sub- agents are licensed to solicit sales of the Contracts. Pacific Mutual shall periodically provide General Agent with a list which shows; (i) the jurisdictions where Pacific Mutual is authorized to do business; and (ii) any limitations on the availability of the Contracts in any of such jurisdictions. General Agent shall prepare and transmit the appropriate appointment forms to Pacific Mutual. General Agent shall pay all fees to state insurance regulatory authorities in connection with obtaining necessary licenses and authorizations for Sub-agents to solicit and sell the Contracts. Pacific Mutual will pay appointment fees for General Agent and resident appointment fees for Sub-agents. Non-resident appointment fees for Sub-agents will be paid by the General Agent. All renewal appointment fees will be paid by the General Agent for Sub-agents who have generated less than $20,000 target premium within the prior 12 months. Pacific Mutual may refuse for any reason to apply for the appointment of a Sub- Sub-agent and may cancel any existing appointment at any time.