well, it sounds as if you are an employee based upon what you have last posted. If you file the ss-8 IRS form, that will settle it once and for all.

If you are an employee, he can control your actions just about totally.

At the time of the split of the territory he gave all the option to take his surgical items or not take them. He idicated that no ramifications would occur. I chose not to take his
Ok, fine. You had the option of not takind his but that does not give you the right to pick up a side account if it competes with his products.

I guess at this point, what is your question and your intention? If he is not paying per your contract, then make a demand for the balance. If he does not pay you then, if you are an IC, then sue him for the balance. If you are an employee, contact the DOL.