The Caldwell Partners International Inc. (TSX: CWL), a Toronto-based executive search firm, and CPGroup Latam agreed to end their affiliation agreement, effective Feb. 28.

Caldwell Partners formed a strategic alliance with CPGroup Latam in 2015 to expand its footprint in Latin America. Under the affiliation agreement, CPGroup Latam would operate exclusively under the Caldwell Partners brand and have access to Caldwell Partners’ proprietary search methodology, processes, training and other intellectual property.

The alliance agreement included an initial term of five years and provided for CPGroup Latam to pay Caldwell Partners 2.25% of Latin American revenue for the first two years of the agreement and 4.25% in subsequent years.

In addition to making normal license fee payments through Feb. 28, CPGroup Latam will also make a one-time payment to Caldwell of US$165,000, less applicable withholding taxes, for the early termination of the affiliation agreement.