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Can you prove that the BIFA STC apply?
So far as a court is concerned, before the contract is concluded the other party needs to have accepted and agreed to be bound by the STC, writes Robert Keen, BIFA Director General
As I have mentioned in this month’s leader column, we have heard of a couple of instances recently where BIFA Members seeking to rely on the BIFA STC have had a setback in court as they could not demonstrate that the conditions had been brought to the attention of their customer. There are many aspects to the incorporation of
the BIFA STC, but the key message is that if you are seeking to rely on the BIFA STC you must be able to evidence that they have been incorporated in contracts with your customer. So far as a court is concerned, this means that before the contract is concluded the other party needs to have accepted and agreed to be bound by the STC. It is very easy to conclude a contract
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either orally and/or in writing – all you need is an offer which is accepted, and for which value passes such as an agreed price. Therefore, be sure to refer to the application of the STC as early as possible, and preferably in the body of any quote offered.
Confirmation Be sure to confirm on all quotations or offers sent to the customer, by whatever method, that: “All business of the company is transacted under the current edition of the Standard Trading Conditions of the British International Freight Association”. If you have a credit application form, ensure that there is a clear reference to the BIFA STC so
that you have your customer’s signature accepting that the STC are incorporated at the earliest stage of trading. Make sure that the reference to the STC states that the credit is offered subject to the customer’s acceptance of the BIFA STC applying to all business to be conducted by you for them. If you simply refer in a credit application to the
application of STC, they may be taken to apply only to the credit agreement and not to all business conducted between the two of you. Beware of counter offers or customers that
accept your quote subject to their own conditions, as these could then negate your BIFA STC. If using e-mail, link to the BIFA website so that the customer can see the STC. I cannot stress how important it is that you can
evidence that the BIFA conditions apply, as the recent cases reported to us have demonstrated. Please contact me if you require any clarification or assistance with the BIFA Standard Trading Conditions.
Robert Keen –
r.keen@
bifa.org September 2017
Courtesy of the Port of Felixstowe
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