When trading or supplying to different businesses, it’s important that you have contracts in place to reflect these relationships.
Sale of Goods
Once an agreement has been made for the purchase of goods, including the cost of the goods, a contract has been formed. This also applies to trader manufacturers where an agreed finished product is sold in exchange for an agreed cost.
You should consider utilising sales contracts with consumers and retailers to set a robust framework of exactly what is being sold and the agreed sale price. In doing so, all ambiguity is removed from the relationship and you can be safe in the knowledge of each parties’ responsibilities. The sales contract will also determine the ramifications should either party not meet the demands of the contract.
Hire of Goods
Hire of goods is often more complicated because it involves the goods being returned to the trader. Therefore, the contracts must make provision for the minimum standard of quality the product must be in on return, along with the responsibility for making the return and the dates of when the hire period begins and ends.
Hire purchase agreements are essential in these situations as they clearly set the terms of the agreement and identify where the responsibility sits.
Breach of Contract
If the statutory rights are not met, the trader is likely to be in breach of contract and may face a legal remedy charge.
Whether you need a sales contract reviewed or you require a hire purchase agreement drafted, our team of Commercial law experts will be able to advise you on the consumer rights elements and the statutory rights of the consumers receiving your products.
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