Jobber: A Comprehensive Guide to Its Legal Definition and Functions

Definition & Meaning

A jobber is a type of merchant who purchases goods in bulk and then sells them to various retailers. Unlike brokers or agents who act on behalf of clients, jobbers buy products outright and resell them. They often focus on specific categories of products, such as auto parts, electrical supplies, plumbing materials, or textiles. In addition to buying and selling, jobbers may provide additional services related to their products.

In the retail sector, a specific type of jobber is known as a rack jobber. This wholesaler is permitted by a store to install, stock, and maintain certain items on display racks within the store.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: An auto parts jobber buys a large shipment of brake pads from a manufacturer and sells them to various auto repair shops.

Example 2: A rack jobber installs and maintains a display of snack foods in a grocery store, ensuring that the products are stocked and presented attractively. (hypothetical example)

State-by-state differences

Examples of state differences (not exhaustive):

State Jobber Regulations
California Jobbers must register as wholesalers and comply with state sales tax regulations.
Texas No specific licensing is required, but jobbers must follow general business regulations.
New York Jobbers must adhere to strict labeling and safety standards for certain products.

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

Comparison with related terms

Term Definition Key Differences
Jobber A merchant who buys and resells goods. Acts independently; does not represent clients.
Brokers Individuals who facilitate sales on behalf of clients. Do not purchase goods; earn commissions instead.
Agents Represent clients in transactions. Act on behalf of others; do not hold inventory.

What to do if this term applies to you

If you are considering becoming a jobber or working with one, it is essential to understand the legal requirements in your state. You may want to:

  • Research local regulations regarding wholesale operations.
  • Consider using legal templates from US Legal Forms to draft contracts and agreements.
  • If your situation is complex, consult with a legal professional for tailored advice.

Quick facts

  • Typical fees: Varies by industry and product type.
  • Jurisdiction: Commercial law and retail regulations.
  • Possible penalties: May include fines for non-compliance with state regulations.

Key takeaways

Frequently asked questions

A jobber typically buys and resells goods directly, while a wholesaler may sell to other businesses without holding inventory.