When you place an order with a supplier, you expect your goods to be delivered safely and securely, arriving to you in the same condition they left the warehouse. But what if your goods are damaged upon receipt? What are your legal options? Our specialists in the field of contract law can assist you to ensure that you get what you are entitled to.
Send a notice of default
If your goods are damaged in transit and/or were not in perfect condition when leaving the warehouse, then your supplier is in breach of contract.
Before you can take legal action, it is important that you give the other party a reasonable chance to still fulfil the agreements from the contract. This can be done by means of a notice of default. For example, you can ask the supplier to make it right be fixing the goods or supplying new products. If your supplier does not respond to this notice of default, then there is an omission. In that case, dependent on the details of your contract and the country of your supplier, you can demand compensation and possibly terminate the contract with your supplier. In Turkey, it is mandatory to send a notice of default.
Before sending a notice of default, be sure to read and understand the contract, in particular the refund and returns policy clauses.
Liquidated Damage Clause in the UK
Do you have a contract with a UK company? If so, has a liquidated damage clause been included? This clause pre-empts the loss if delivery isn’t made correctly and is a genuine pre-estimate of the true loss. If agreed upon, this amount can be charged to the supplier. Should you incur any extra damages, they too can be claimed for however, evidence would need to be provided to prove any considerable changes to that already agreed. If you have included a liquidated damage clause within your UK contract, it is important that you can show evidence that this clause has been negotiated and agreed with your supplier. It cannot just be included without their knowledge and agreement.
Penalty Notices in Europe
For contracts outside of the UK, penalty notices can be included. Do you have a contract with a Turkish, Portuguese or Dutch supplier for example? Has a penalty clause been included? Unlike a liquidated damage clause, a penalty clause does not have to be negotiated. It can simply form part of your contract however, it does need to be reasonable. On top of this, you do not need provide evidence of damage you may have suffered. The clause simply stipulates the amount that needs to be paid should your agreed deadline not be met.
Specialised in solving business conflicts
We have a team of more than 35 lawyers specialising in contract law, both nationally and internationally. They can assist you when contractual agreements regarding the delivery have not been fulfilled.
Advice from a specialist lawyer
Do you have a conflict with your supplier about a delivery? Or would you like to know more about your legal possibilities? Then contact us today. Our lawyers are happy to help you.