PAYING AGENT AGREEMENT
AGREEMENT made as of the 26th day of April, 2001, by and between, Equitrust
Marketing Services, LLC, a Delaware limited liability company ("Distributor");
and Farm Bureau Life Insurance Company. ("Agent"), a licensed insurance company.
WITNESSETH
WHEREAS, Career Agents of Agent, who are also registered representatives of
Distributor ("Representative"), receive commissions for the sale of Farm Bureau
Life Insurance Company variable insurance products (the "Contracts") to the
public through Distributor; and
WHEREAS, Agency Managers of Agent, who are also registered reps of
Distributor, receive overwrite commissions for the sale of Farm Bureau Life
Insurance Company variable insurance products (the "Contracts") to the public
through Distributor; and
WHEREAS, Agent intends to perform certain administrative functions,
including the payment of commissions on behalf of Distributor.
NOW, THEREFORE, in consideration of their mutual promises, Distributor and
Agent hereby agree as follows:
1. PAYMENT OF COMPENSATION AND EXPENSES
A. COMPENSATION FOR SALES OF THE CONTRACTS. Agent shall pay commissions
on behalf of Distributor pursuant to Section 11 of the Underwriting
Agreement between Agent and Distributor and will maintain the books
and records reflecting such payments in accordance with the
requirements of the Securities Exchange Act of 1934, as amended (the
"1934 Act"), on behalf of Distributor. Distributor shall not be liable
for any losses resulting from commissions paid on premiums which are
not received and retained by Agent.
B. NO RIGHTS TO COMPENSATION. Agent shall have no right to compensation
for the performance of any activities under this Agreement. No
Representative nor any Agency Manager shall have any interest in this
Agreement or right to any compensation to be paid to or on behalf of
Distributor hereunder.
2. PERFORMANCE OF SERVICES
A. PURELY MINISTERIAL SERVICE. Agent represents that the making of
payments by Agent to the Representatives and Agency Manager on behalf
of Distributor shall be performed as a purely ministerial service.
Agent represents that any additional activities it performs on behalf
of Distributor under this Agreement shall be limited to the
ministerial acts of calculating commissions, making and keeping
records, and reporting functions.
B. BOOKS AND RECORDS. Payments by Agent to the Representatives and Agency
Managers shall be properly reflected on the books and records of
Distributor. Distributor shall retain responsibility for the same
recordkeeping requirements which would be applicable to it if the
payments were made directly by Distributor.
C. ACCESS TO RECORDS. Agent represents that any books or records it
maintains on behalf of Distributor pursuant to this Agreement belong
solely to Distributor and, at the request of Distributor, shall be
made available to Distributor for its use or for inspection by any
state, federal, or other regulator.
D. SUPERVISION AND COMPLIANCE. As the principal underwriter for the
Contracts, Distributor shall retain full responsibility for and shall
continue to perform the supervision, compliance, and similar functions
it currently undertakes.
E. SECURITIES ACTIVITIES. Distributor has and assumes full responsibility
for the securities activities of all persons engaged directly and
indirectly in its securities operations, each such person being an
"associated person" with Distributor, as defined in Section 3(a)(18)
of the 1934 Act and, therefore, a person for whom the Distributor has
full responsibility as contemplated by Section 15(b)(4)(E) of the 1934
Act.
F. ADDITIONAL REQUIREMENTS. In all dealings with or on behalf of the
Distributor, with respect to the subject matter of this Agreement,
Agent agrees to comply with all applicable provisions of Securities
Release No. 8389 under the 1934 Act and the terms and conditions of
the SENTRY INSURANCE A MUTUAL COMPANY No Action Letter dated
September 6, 1987, as though it is a person associated with
Distributor and for purposes of the Agreement hereby agrees to be so
associated with Distributor.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
executed by their authorized officers designated below as of the date specified
above.
DISTRIBUTOR
By: /s/ Xxxxxx X. Xxxxxx
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Xxxxxx X. Xxxxxx,
Vice President - Investment Administration
AGENT
By: /s/ Xxxxxxx X. Xxxx
------------------------------------------------------------------
Xxxxxxx X. Xxxx,
Chief Executive Officer and Management Director
PAYING AGENT AGREEMENT
AGREEMENT made as of the 26th day of April, 2001, by and between, Equitrust
Marketing Services, LLC, a Delaware limited liability company ("Distributor");
and Farm Bureau Mutual Insurance Company. ("Agent"), a licensed insurance
company.
WITNESSETH
WHEREAS, Agency Managers of Agent, who are also registered reps of
Distributor, receive overwrite commissions for the sale of Farm Bureau Life
Insurance Company variable insurance products (the "Contracts") to the public
through Distributor; and
WHEREAS, Agent intends to perform certain administrative functions for Farm
Bureau Life Insurance Company ("Farm Bureau Life"), including the payment of
commissions on behalf of Distributor.
NOW, THEREFORE, in consideration of their mutual promises, Distributor and
Agent hereby agree as follows:
1. PAYMENT OF COMPENSATION AND EXPENSES
A. COMPENSATION FOR SALES OF THE CONTRACTS. Agent shall pay commissions
on behalf of Distributor pursuant to Section 11 of the Underwriting
Agreement between Farm Bureau Life and Distributor and will maintain
the books and records reflecting such payments in accordance with the
requirements of the Securities Exchange Act of 1934, as amended (the
"1934 Act"), on behalf of Distributor. Distributor shall not be liable
for non-payment of commissions if Agent has not received payment from
Farm Bureau Life.
B. NO RIGHTS TO COMPENSATION. Agent shall have no right to compensation
for the performance of any activities under this Agreement. No Agency
Manager shall have any interest in this Agreement or right to any
compensation to be paid to or on behalf of Distributor hereunder.
2. PERFORMANCE OF SERVICES
A. PURELY MINISTERIAL SERVICE. Agent represents that the making of
payments by Agent to the Agency Manager on behalf of Distributor shall
be performed as a purely ministerial service. Agent represents that
any additional activities it performs on behalf of Distributor under
this Agreement shall be limited to the ministerial acts of calculating
commissions, making and keeping records, and reporting functions.
B. BOOKS AND RECORDS. Payments by Agent to the Agency Managers shall be
properly reflected on the books and records of Distributor.
Distributor shall retain responsibility for the same recordkeeping
requirements which would be applicable to it if the payments were made
directly by Distributor.
C. ACCESS TO RECORDS. Agent represents that any books or records it
maintains on behalf of Distributor pursuant to this Agreement belong
solely to Distributor and, at the request of Distributor, shall be
made available to Distributor for its use or for inspection by any
state, federal, or other regulator.
D. SUPERVISION AND COMPLIANCE. As the principal underwriter for the
Contracts, Distributor shall retain full responsibility for and shall
continue to perform the supervision, compliance, and similar functions
it currently undertakes.
E. SECURITIES ACTIVITIES. Distributor has and assumes full responsibility
for the securities activities of all persons engaged directly and
indirectly in its securities operations, each such person being an
"associated person" with Distributor, as defined in Section 3(a)(18)
of the 1934 Act and, therefore, a person for whom the Distributor has
full responsibility as contemplated by Section 15(b)(4)(E) of the 1934
Act.
F. ADDITIONAL REQUIREMENTS. In all dealings with or on behalf of the
Distributor, with respect to the subject matter of this Agreement,
Agent agrees to comply with all applicable provisions of Securities
Release No. 8389 under the 1934 Act and the terms and conditions of
the SENTRY INSURANCE A MUTUAL COMPANY No Action Letter dated
September 6, 1987, as though it is a person associated with
Distributor and for purposes of the Agreement hereby agrees to be so
associated with Distributor.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
executed by their authorized officers designated below as of the date specified
above.
DISTRIBUTOR
By: /s/ Xxxxxx X. Xxxxxx
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Xxxxxx X. Xxxxxx,
Vice President - Investment Administration
AGENT
By: /s/ Xxxxxxx X. Xxxx
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Xxxxxxx X. Xxxx,
Chief Executive Officer
