11 June 2024
Small businesses pressured into long-term contracts for health and safety support
Small businesses are being pressured into long-term contracts for health and safety support, according to an article published by The Times.
Many have been pushed into unreasonably long agreements of up to 10 years that, on expiring, automatically ‘rollover’ into another contract of the same length. Companies are often being pushed to sign these types of arrangement on the basis that they will be paying a lower fee, but these fees can still be very high. This can also leave the business locked into services because leaving requires settling most of the remaining contract value.
The Building Safety Group’s (BSG) advice is to keep contract durations short, with a right to terminate on agreed notice terms. A view which is shared by lawyers, Keeleys Solicitors.
This is why BSG’s membership agreements are only subject to six months’ notice. We understand that our members’ circumstances can change quickly when working in a fluctuating market-place like the construction sector. So we won’t legally bind companies into paying for unwanted services over a protracted period, should they wish to cancel.
