# Formal Contract refusal question



## Dhudson (Nov 5, 2013)

I have a few residential contracts and recently decided to get into the commercial side of it.

I have a pretty extensive contract that I have not had any issues with until today.

They have accepted my bid, but are not willing to sign a contract. I believe they had a bad experience with a former company with whom they were locked into a contract with.

My question is, should I refuse to take on this job due to them not willing to sign a contract?

All correspondence has been through email. 

Thanks in advance!


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## goel (Nov 23, 2010)

No contract signed. No formal acceptance.


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## grandview (Oct 9, 2005)

If they won't sign then payment in full= signed contract to me!

PS,if someone falls you were never there!


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## Dhudson (Nov 5, 2013)

If they respond to my quote by email, acknowledging acceptance, is that considered a contract agreeing to the terms listed in the quote?


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## OldSchoolPSD (Oct 16, 2007)

Why won't they sign the contract? I'd let the next guy handle them. 

If they really meant what they say then they would have no issue putting it on paper.


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## grandview (Oct 9, 2005)

Time to pick up the phone and call.


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## Dhudson (Nov 5, 2013)

I have called. I have met with them. The contact person sat down with me and we went over everything. I told him I would drop off a formal contract for him to sign. He said ok and later today I did as I promised. He emailed me to inform me that when he went to the owner, he was informed that they do not sign contracts for snow removal.


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## goel (Nov 23, 2010)

Clear as a bell to me. Walk

Peon says we want you. 

Guy that signs the checks says hahaha.


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## Mr.Markus (Jan 7, 2010)

It is the time of the year for the procrastinators to come out playing hardball. You have the upper hand because it is so late in the season. He misunderstood you...the contract "is" acceptance of the bid. Without it neither of you have agreed on anything.


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## Dhudson (Nov 5, 2013)

I replied to his email indicating I was not interested in providing my services without a formal contract. I'm patiently awaiting his reply.


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## Mass-hole (Dec 7, 2009)

I would just call him and ask what kind of contract he would be comfortable with... 

You want to be paid for your work...
He wants you to do your work...


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## cda817 (Nov 20, 2009)

In CT it is state law that any service provided over $500 requires a written contract. I'm sure Ohio has something similar. You can always offer to include an clause that allows them to cancel the contract with 30 days notice for cause.


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## grandview (Oct 9, 2005)

This what happens when guys try to "protect" themselves with fancy contracts.When someone whats to sign with someone else they are gun shy with the next company and now have this problem.


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## Dhudson (Nov 5, 2013)

grandview;1675697 said:


> This what happens when guys try to "protect" themselves with fancy contracts.When someone whats to sign with someone else they are gun shy with the next company and now have this problem.


What type of contract do you use?


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## Mass-hole (Dec 7, 2009)

cda817;1675693 said:


> In CT it is state law that any service provided over $500 requires a written contract. I'm sure Ohio has something similar. You can always offer to include an clause that allows them to cancel the contract with 30 days notice for cause.


It is actually the Uniform Commercial Code. I cannot remember if there are any states that have not adopted it.


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## grandview (Oct 9, 2005)

Dhudson;1675705 said:


> What type of contract do you use?


Simple one page,address and how much for the season.


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## OldSchoolPSD (Oct 16, 2007)

At a minimum you need your scope of work, payment terms, and a dollar amount.


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## goel (Nov 23, 2010)

The last line on mine just above there signature says something like " I have authorization to bind the company / corporation to the terms outlined in this agreement."


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## Chineau (Aug 24, 2010)

I wouldn't blow by what Grandview said, can you get cash up front, 50% now the rest in two months? Some of mine pay for the season once i have the cash it is pretty much all good just deliver.


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## Wilnip (Oct 4, 2011)

No contract, no deal. My liability ins will not cover me unless a contract is in place.


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## MSsnowplowing (Nov 1, 2012)

Dhudson;1675526 said:


> I have a few residential contracts and recently decided to get into the commercial side of it.
> 
> I have a pretty extensive contract that I have not had any issues with until today.
> 
> ...


Try to find out what is the issue, it may be different parts of the contract they don't like and you can take those out.

If it is simply they don't like contracts, run don't walk to the nearest exit. 
Unless they are going to pay you in full for the entire season.

No contract means you can do the work and they do not have to pay you. Try backing that up in court with no contract in place.

Also check your GL insurance they may not cover you, My insurance has a clause I must have contracts with all places I do business with spelling out scope of work etc... if I don't, I'm not covered.

   

Let's us know what happens and don't leave us hanging.


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## Chineau (Aug 24, 2010)

Now I just learned something, no contract no insurance. It is a question I will ask my insurance folks. Laws maybe different here to there.


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## thelettuceman (Nov 23, 2010)

goel;1675619 said:


> Clear as a bell to me. Walk
> 
> Peon says we want you.
> 
> Guy that signs the checks says hahaha.


That's the way I understand this also

WALK


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## Dhudson (Nov 5, 2013)

Just updating... I was asked to simplify my contract. Two pages covering costs, the 2" trigger we set, along with a liability clause. Two signatures. Thanks to everyone for the advice!


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## BC Handyman (Dec 15, 2010)

Chineau;1676061 said:


> Now I just learned something, no contract no insurance. It is a question I will ask my insurance folks. Laws maybe different here to there.


Mine is like that as well, no contract, I'm not covered then, insurance also says I must keep a log book with times,dates ect. to be covered. only way I dont need a contract is for 1 time service.


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## snowcrazy (Nov 18, 2010)

Wilnip;1675841 said:


> No contract, no deal. My liability ins will not cover me unless a contract is in place.


I will have to look into this....... I have multiple places that I supply work to in my area with verbal agreement. most are franchises in my small town. Mcdonalds, long johns, strip malls, banks and of all things, my own insurance company. Most everyone in my small town knows me well and they trust me as I trust them. If I worked outside of my small town where I didn't feel so cozy about the deal I would try to work in a contract........

Wilnip, Im going to call my ins comp about what you said above to make sure that wouldn't happen to me..... Geez that would piss me off.


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## Wilnip (Oct 4, 2011)

Snowcrazy, that's the first call I would make tomorrow. You sure don't want to find out the hard way that you are not covered.


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## Billious (Sep 21, 2010)

If their fear is being "locked in", simply point them to the exit clause. Any contract must have a valid and legal way for the parties to dissociate. My contract terms simply state that either party can break the contract with notice in writing 10 days ahead.


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## poopdeckpappy (Oct 31, 2009)

If you are legitimate, you have to insist on signing! Let your customer know that having a signed contract with you makes you liable for slip and falls! No contract, no liability is what you say. People(customers)that hesitate in signing don't have much understanding as to the residual effects of not doing so. Anything alterior motive wise should set off loud alarms about getting paid once services have been provided!


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