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Watch Out!!!

Discussion in 'Business Fundamentals' started by dayexco, Sep 30, 2010.

  1. dayexco

    dayexco Senior Member
    Messages: 312

    contract signing time

    don't make the mistakes in signing a contract...

    #1. give up your rights to file a lawsuit in your local jurisdiction for non payment, or disagreement of contract...don't end up in let's say.....for giggles and sheets...pennsylvania in front of a hand picked arbitration board.

    #2. don't give a 4% rebate on gross dollars over $10k.

    #3. don't sign up for early payment with a discount...there is no such thing.

    #4. make sure, that EVERYTHING correspondence wise you send is by certified mail. keep fax logs, ask for email received receipts...horror stories of payments not being sent because of paper work not being in compliance in my experience are the norm.

    #5. if the snow season in some areas starts as early as late october...why wait until late january to receive first payment on your seasonal contract? insist that first payment comes when you expect it.

    #6....PLEASE, PLEASE, have your attorney view any contracts before signing them.
  2. elite1msmith

    elite1msmith 2000 Club Member
    from chicago
    Messages: 2,762

    #3 is a common discount given in a lot of industries, however it is normally dictated by the vendor and normally a "quick/early "is net 10
  3. dayexco

    dayexco Senior Member
    Messages: 312

    PLEASE feel free to add to my list.
  4. LoneCowboy

    LoneCowboy PlowSite.com Addict
    Messages: 1,760

    watch out for the hold harmless clause.

    don't think because YOU wrote a contract that it's actually going to hold up once the lawyer's get a hold of it.
  5. northernsweeper

    northernsweeper Senior Member
    Messages: 397

    Make sure your insurance company has a copy of your commercial contracts. If not, they may bail on you, when you need them most.
  6. csi.northcoast

    csi.northcoast Senior Member
    Messages: 320

    my compliments to you post ...it shoulld be required reading for anyone new to the business...esp those who want to jump into bed with nationals....unfortunately ....no matter what business you are in it is not that easy as doing the job and getting paid.... i only wish i couls just jmp in a truck and plow a lot rather than meet with my attorney/ins agent/banker etc etc.. again very good post
  7. snowman5313

    snowman5313 Member
    Messages: 86

    Thats funny. I was contacted by a local company and they have many of the same clauses that you guys are saying. Its funny because why sub if you are going to take on liability and get paid down the road? I should just do the foot work myself, find work, do the work, take on liability, and get paid down the road.
  8. grf_1000

    grf_1000 Senior Member
    Messages: 295

    thats wording from a USM contractor pack they sent me. lol
  9. dirtmovr

    dirtmovr Junior Member
    Messages: 25

    I have a USM contract in my hands, nowhere in it is the hold harmless and defend clause. Do they use a one for all contract with their prospective subs? Also how receptive is USM to the sub modifying the contract before signing it and sending it back to them for their signature? Just Curious.
  10. kpmsnow

    kpmsnow Senior Member
    from Elkhart
    Messages: 156

    Read carefully because it is in there contract packet that they sent me. I have it on my desk at the shop.
  11. Mick

    Mick PlowSite.com Veteran
    from Maine
    Messages: 5,546

    Try it and see:laughing:. Let us know how it turns out.
  12. basher

    basher PlowSite Fanatic
    from 19707
    Messages: 8,990

    Number six should be number one, then you don't have to worry about number one, the lawyer would have told you it's really not an enforceable clause.

    Right on! Too restrictive a contract is worthless. No court in the land is going to accept a "I am not libel for anything" statement.

    You should meet with both your insurance man and your lawyer to review any major contracts.

    The difference between a amateur lowballer and a professional

    About as receptive as I am when some one changes my contract. changed contracts go to the circular file (trash can) and I look for other companies to fulfill the commitment.
  13. swtiih

    swtiih PlowSite.com Addict
    Messages: 1,179

    great posts, unfortunately there will be people who won't listen
  14. lilweeds

    lilweeds PlowSite.com Addict
    Messages: 1,178

    Basher has got it hit on the head. Real simple, if you do what's asked of you including paper work, I don't care who your plowing for you'll get paid.
  15. dumbyankee

    dumbyankee Member
    Messages: 66

    Discounts when a client pays their bill. NOOOOOOOOOOOOOO! Pay the dam bill as stated on time or I will make a trip to your dam office and take it from you.
  16. plowman4life

    plowman4life Senior Member
    Messages: 557

    no discount for early bill pay

    how about pay your bill on time and i wont charge a late fee or leave 12' of snow in the entrance to your lot
  17. dirtmovr

    dirtmovr Junior Member
    Messages: 25

    Well, we got their contract......... crossed a few things off that we don't like or want changed. So far we have gotten a green flag with the changes TAKEN out of the contract!!! So some things are not carved in stone with a chisel after all. Also we agreed on our price to do the lots. So here's to you......:gunsfiring::laughing:
    With all that said, I still feel uneasy with their paperwork and hoops to jump through to get paid.
  18. Mick

    Mick PlowSite.com Veteran
    from Maine
    Messages: 5,546

    Don't be too quick. It "ain't a done deal" yet. I'd be uneasy, too. I got one of their contracts a few years ago. I got about half way through it before I threw it in the trash.
  19. dirtmovr

    dirtmovr Junior Member
    Messages: 25

    Thanks, We edited the worst out of the contract but there is still alot of questionable areas in it. I have not signed anywhere at this point, still considering. Whats funny is the store managers are not happy with how the nationals deal with the snow, they would rather hire it out locally but their hands are tied.
  20. ivyleague

    ivyleague Junior Member
    Messages: 2

    The verbage in the contract is frustrating enough, but they changed my rebate from 4% - 8% and told me that someone in my office signed for a letter (we don't have) so they want to hold us to the 8%. Then I was told that we had to agree on a lower number from last season or they would shop around.