Terms and Conditions Consultation

Having good ‘Terms and Conditions’ set out and shared prior to commencing business with a customer can help you avoid problems at a later stage.

What are Terms and Conditions?

Commonly called T’s and C’s these are the contractual requirements or obligations which your customer must agree to when using your service.

Why are Terms and Conditions important to your business?

Your T’s and C’s govern your dealings with your customer and you need them to be as effective as possible to ensure they work for you.

Effective T’s and C’s may deter customers from paying you late.

When should I give my customer my Terms and Conditions?

Your T’s and C’s must be incorporated into your contract with your customer and it is good practice to ask for it to be signed and returned to you prior to commencing work for them. This is proof they have received them and confirms they accept them.

NB:- Sending T’s and C’s with your invoice is too late – it is post contractual i.e – after the event. At this point your contract may already be formed.

What sort of information should I include in my T’s and C’s?

Your Terms and Conditions should be personal to your business. Each business will have different issues that the Terms should address, however, standard clauses that should be included are:-

  • Your obligations to your customer and vice versa
  • Time for delivery
  • Charges and expenses
  • Payment terms
  • Insurance details, if any
  • Termination of contract details

Other issues that should be considered are:-

  • A clause to reclaim your legal costs and expenses incurred in having to pursue your debts
  • Late payment charges
  • Interest and compensation
  • Retention of Title

Can I claim Late Payment Interest?

Yes you can, as long as your Terms and Conditions do not include payment at a contractual rate. These are usually expressed as a percentage over a bank rate.

As bank base rates are so low at the moment claiming Late Payment Interest is usually more profitable.

What does a ‘Retention of Title’ clause do?

If you have supplied goods that your customer has not paid for, this clause gives you the authority to recover them.

What should I do if I am in a contract with my customer to supply goods and I am not getting paid?

Your T’s and C’s should include a clause that states that if your invoices are not paid within the due period not only will you stop supplying your customer but all invoices will immediately become due and payable.

This will enable you to claim all your invoices at the same time which will save time, money and legal costs.

Anything else that I should consider?

  • You can never refer to your T’s and C’s too many times, include them on your estimates, quotations, order acknowledgments, delivery notes and invoices, to remind your customer of the terms on which you are doing business.
  • Be careful! Make sure you do not inadvertently contract on your customer’s Terms as you may be agreeing to something which disadvantages you.

Can I write my own Terms and Conditions?

Bespoke Terms and Conditions that reflect your business ensures that if something goes wrong with your client you have a solid basis if legal action is required.

Contact us today to discuss your matter in confidence

GET IN TOUCH

There Are Four Key Stages That We Follow In The Debt Collection Process

4-stage-1A Letter Before Action to the Debtor states the value of the debt and the time frame for payment. In most cases the debt is settled quickly and we do not take the matter further.
4-stage-2If the debt is still not paid or a reply has not been received we issue a County Court Claim.
4-stage-3If an Acknowledgment or Defence is not received within the Court time frame we will apply for a County Court Judgment (CCJ).
4-stage-4There are a number of different ways to enforce the Judgment once obtained.

What We Do Best

  • Claiming Late Payment Charges
  • Enforcement
  • Disputed Claims
  • Overseas Collections
  • Alternative Dispute Resolution
  • Terms & Conditions Consultation

What Our Clients Say

In twenty or so years of using Lane & Co as our solicitors for assisting in collecting overdue debt, we have had nothing but exemplary service and are always welcomed with a friendly and professional attitude. They have regularly proved to be a valuable and cost effective asset to our own business. Thoroughly recommendable!
Paul DuncanAccounts Receivable ManagerEaton-Williams