Iowa Admin. Code r. 875-218.501 - Making sales or obtaining orders
(1) Rule 218.5(91D) requires that the
employee be engaged in:
a. Making sales
within the meaning of 875-subrule 218.5(1), or
b. Obtaining orders or contracts for services
or for the use of facilities.
(2) Generally included are the transfer of
title to tangible property and, in certain cases, of tangible and valuable
evidences of intangible property. Sales of automobiles, coffee, shoes, cigars,
stocks, bonds, and insurance are construed as sales within the meaning of
"sale" or "sell" which includes any sale, exchange, contract to sell,
consignment for sale, shipment for sale, or other disposition.
(3) The exempt work includes not only the
sales of commodities, but also "obtaining orders or contracts for services or
for the use of facilities for which a consideration will be paid by the client
or customer." "Obtaining orders or... for the use of facilities" includes the
selling of time on the radio, the solicitation of advertising for newspapers
and other periodicals and the solicitation of freight for railroads and other
transportation agencies.
(4) The
word "services" extends the exemption as outside salespersons to employees who
sell or take orders for a service, which is performed for the customer by
someone other than the person taking the order. It includes the salesperson of
a typewriter repair service who does not personally perform the repairing. It
also includes otherwise exempt outside salespersons who obtain orders for the
laundering of the customer's own linens as well as those who obtain orders for
the rental of the laundry's linens.
(5) The inclusion of the word "services" is
not intended to exempt persons who, in a very loose sense, are sometimes
described as selling "services." It does not include persons such as service
persons even though they may sell the service which they themselves perform.
Selling the service in these cases would be incidental to the servicing rather
than the reverse. It does not include outside buyers, who in a very loose sense
are sometimes described as selling their employer's "service" to the person
from whom they obtain their goods. It is obvious that the relationship here is
the reverse of that of salesperson-customer.
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.