These arrangements (that is, anything other than a commission or a gross margin, which are paid when the business is done) are not unusual. However, they are not the norm because they are risky. Paying a reseller a fee or reimbursing expenses subjects the manufacturer to the risk of moral hazard (i.e., being cheated after the arrangement has been put into place) because it is difficult to verify that the paid-for activities have been performed or that the expenses are not inflated. Hence, the manufacturer may be reluctant to pay in this manner.