Company Trading Terms and Conditions will have to change as a result of the way businesses have operated during the pandemic.
If you’ve had standard T&C’s for years, it may be time to revise these to include things such as pandemics, government interference, natural disasters etc.
You may want to consider the usage and phrasing of force majeure clauses, which could be considered as just one of several clauses to cover potential outcomes of an unforeseeable or disastrous event.
When re-drafting clauses, it is important to remember that they must be considered ‘fair’.
Other common issues arising from Covid-19 that you may need to re-consider are:
- rights to terminate a contract
- whether you have a right to payment which will depend on the provisions in the contract
- a hardship clause to enable parties to negotiate options before terminating as a last resort
- dispute resolution clause which describe how disputes will be handled and offer a mechanism to resolve disputes quickly
There is always a lot for any small business to be thinking about, especially with everything that is going on at the moment. At AIMS we want to make sure you are covered for all eventualities to secure your business.
For more advice, speak to your local AIMS Accountant.