payment terms

A verbal contract is binding whether it’s made over the phone or face to face. The difficulty, as you point out, is proving what’s been said.

I don’t know about Scotland (or why you mentioned it) but in England you’re perfectly at liberty to record a telephone conversation without informing the other party. You can’t use the recording in court but you CAN use a transcript of the recording. If the other party then disputes what was said then you can use the recording.

None of which is particularly relevant to the original question.

Posted under Courier Financial Issues, Late Payment

Posted by Alec at 5:05 pm, June 25, 2007

2 Comments so far

  1. Alec added on  June 25th, 2007 at 17:11

    Wait for 30 days then slap a late payment charge on them.

  2. Alec added on  June 27th, 2007 at 09:44

    It depends what was agreed at the time the contract was made Mark. And that depends on when you both believe the contract was made.

    If payment terms were agreed on the telephone before the confirmation was sent then those terms apply. If no terms were agreed at that time then the question is whether a contract with no payment terms had been agreed, ie payment due on the supplier’s whim, or whether your ‘Network’ confirmation was the final stage of the contractual agreement.

    I suspect that if you sent the confirmation before they had set things in motion then the terms on the confirmation would apply if no other terms had been agreed verbally. If you sent the confirmation after a vehicle had been despatched then their terms would apply if you hadn’t already agreed otherwise.

    It’s fairly irrelevant in your case anyway. If you didn’t agree terms in advance then there’s nothing the supplier can do if you pay within 30 days of invoice. Late payment legislation doesn’t kick in until 30 days by default and they’d probably end up paying your and their own costs if they issued a court claim against you within 30 days of issuing an invoice.

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