Business Standards Protect Your Company
Dillon Mooney, Technical Consultant, Printing Industries of America
I am often asked about stan- dards for various printing industry processes, includ- ing those to define quality, equipment, and personal productivity. The graphic arts industry is large and diverse, with each job being custom manufactured, mak- ing setting specific standards unrealistic.
The Magazine 8
SUMMER 2017
A common request I receive from printers who are having disputes with customers over business practices or contract terms. Agreements with customers are often verbal, and printers are seeking current trade customs to inform the customer of industry standard practices.
The trade customs document that guided industry behavior for decades was replaced in 2001 by the Best Business Practice Guidelines for Terms and Condition of Sale, written by a committee representing PIA, GATF, NAPL, and NPES (The term “trade customs” has fallen out of favor due to legal and antitrust implications). The Best Business Practices document is meant as a guide to create custom best business practices and terms for conditions of sale for your company and avoid misunderstandings with customers. Some parts of the document may need adjustment for specific customers based on needs and expectations.
Printers should be aware that these documents are not recognized by an official standards organization and thus are not “standards.” These documents are typically not binding in court unless both parties are aware of the terms and conditions before the quote or contract to print the job is accepted.
Aside from quality not meeting expectations, the three most common sources of misunderstandings or disputes that should be addressed in terms and conditions documents are:
Ownership of materials used to produce a job: Many customers assume the cost to print a job covers all materials used and that they have paid for and own these assets. Printers consider materials they produce to print the job their property and would not want to furnish them to a customer. The customer could provide the materials to a competitor who would not have to create them and could then underbid the printer. The current Best Business Practices document includes language addressing this issue under “Insurance, Risk of Loss.” Files, artwork, and other materials supplied by the customer are the customer’s property. If the customer is charged to correct their digital files, does the customer own the corrected files? If the printer creates artwork and charges the customer, does the
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