A Brief Introduction About the Vending Machine Contract
The Vending Machine Contract involves the various subjects in the picture and the various people involved in it. The type of business that is being done should be discussed in brief, and the requirements should be elicited in detail. Vending Machine is a machine that offers a wide variety of choices to the user ranging from Snacks, Soft drinks to Paper plates, Tissues, etc.
Who Takes the Vending Machine Contract? – People Involved
Vendor selection is the first and foremost important aspect of the Vending Machine Contract. The vendor must possess the right to have the share of profits in the business done through the Vending Machine. Any other machine that is viewed as a competitor to the Vending Machine should not be installed on the company premises. The Machine maintenance and servicing works should be undertaken by the vendor and not the Machine User. All the details pertaining to the vendor should be mentioned in the contract stating: Vendor’s Name, Address, Telephone number.
Purpose of the Vending Machine Contract– Why Do You Need It?
The basic purpose of the contract should be discussed with the vendor. It may be to supply soft drinks and mineral water in the Canteen Premises of College or Educational Institutions. The number of Cans required the potential number of Cans or Materials that can fit in the Vending Machine should be intimidated in the contract. Also, what should be done In case of wastage or tampered cans.
Contents of the Vending Machine Contract – Inclusions
Contract Time: The period of the contract should be decided beforehand. The agreement should be renewed within the prescribed time frame and notified to all the parties involved in the work. The agreement should be followed strictly without any time lapses or delays.
Payment, Late Payment, Penalty, and Compensation: The payment schedule should be mentioned in the contract, and it should be strictly adhered to as per the terms portrayed in the contract. Monthly payments to the vendor should be made on time without delay. In case of any payment delay, the other party should be informed as soon as possible. In case of any penalty or compensation, it should be paid to the respective person as soon as possible. This has to be executed in a diligent and sincere manner for the successful implementation of the Vending Machine Contract.
How to Draft the Vending Machine Contract?
Points to Consider While Preparing the Agreement
Legal: The Legal angle of the rules should be agreed by the parties involved in the Contract of the Vending Machine, and in case of any queries or apprehensions with aspect to the Legal view of the Vending Machine Contracts, it has to be discussed and solved beforehand. Any amendment or waiver included in the contract it should be notified to all the parties within a period of 30 days. Taxes should be paid by the vendor.
Cancellation or Renewal: Either party should intimate the other party regarding the cancellation or the renewal of the contract. The intimation should be done approximately 30 days beforehand. In case any discrepancies have been observed, then the party that has observed the discrepancy should inform the other parties immediately. In case even after ten days of intimation, the other party has not resolved the matter, then the party that has observed the discrepancy has the right to cancel the contract.
Theft and Vandalism: The security requirements and the precautions to adhere while handling the Vending Machine should be informed to the Vending Machine Company using the machine in their respective premises. Company using should take responsibility to maintain the security of the machine. Manipulation, vandalization, or theft of the machine or the machine parts should not take place.
Negotiation Strategy
If any details of the contract have to be debated, then a discussion must be held as to what procedure must be adopted to deal with the situation? The party having the query must put forward its point, and other parties must genuinely deal with the situation. In case the discussion fails, then alternative methods of handling the situation must commence.
Benefits & Drawbacks of the Vending Machine Contract
The Insurance
Liabilities and the Insurance cover required shall be discussed and reviewed beforehand, and the insurance period and subjects should be agreed by both the parties in the agreement. Insurance should cover software damage, body damage, and interior body damage. The agreement does not specify the exact efficiency rate of the Vending Machine. The rate specified and observed in the performance of the Vending Machine can be different. Maintenance shortcomings are more in the Vending Machine on observing the performance. Servicing the Vending Machine has to be done more regularly than what mentioned in the contract. The functioning of the machine in the night time cannot be guaranteed because many issues occur during the night time working hours. A lot of money has to be spent on the maintenance and resources part of the machine.
What Happens In Case of Violation?
In case any disputes arise after implementation of the contract, then arbitration must be followed and adhered to as the City, State Jurisdiction, and the verdict rendered should be abided by the respective parties involved in it. The fees towards the arbitration process should be shared cordially and accepted by all the parties involved in it. A breach in contract policies should be intimated to the concerned parties within 30 days time frame. If no response, then it should be subjected to cancellation.
The above feature of the Vending Machine Contract should be systematically implemented in a timely manner. The contract should be reviewed on a timely basis and coherently followed by everybody. The above points cater to the needs of this contract.