# price escalation clauses



## NW Snow Removal (Oct 12, 2007)

Anyone adding fuel escalation clauses? terrorism clause? We are adding something to ensure that if **** hits the fan with the US Dollar, and it is greatly devalued, and prices of material skyrockets, we can change to price to reflect market prices. you should too.


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## grandview (Oct 9, 2005)

Season is over wait till summer to see what happens.


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## NW Snow Removal (Oct 12, 2007)

grandview;1259877 said:


> Season is over wait till summer to see what happens.


you don't resign any people at the end of the winter? we always try ASAP.


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## grandview (Oct 9, 2005)

No need to. In our area loyalty is bigger then price.


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## NW Snow Removal (Oct 12, 2007)

our clause reads something like this.

We will not be responsible for any delay or failure to service caused wholly or in part by any cause not resulting in negligence on our part, including without limitation, fire, flood, accident, strike, labor trouble, civil commotion, rioting, acts of terrorism, war, demands, requests, or requirements of governmental authority, product available, inability to obtain fuel, power, raw materials, or acts of god, including naturally occurring conditions.


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## NW Snow Removal (Oct 12, 2007)

grandview;1259881 said:


> No need to. In our area loyalty is bigger then price.


I hear ya, but It helps our nerves to not have to wait til september to have the signed client folder start filling up.


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## grandview (Oct 9, 2005)

NW Snow Removal;1259883 said:


> our clause reads something like this.
> 
> We will not be responsible for any delay or failure to service caused wholly or in part by any cause not resulting in negligence on our part, including without limitation, fire, flood, accident, strike, labor trouble, civil commotion, rioting, acts of terrorism, war, demands, requests, or requirements of governmental authority, product available, inability to obtain fuel, power, raw materials, or acts of god, including naturally occurring conditions.


Not to start a pissing match,but in your other posts your going on about having the right equipment and stuff yet you don't stock and extra supplies for an emergency? We it snows here I don't give a rats as about any of those things my only job is to get my stuff taken care of.


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## NW Snow Removal (Oct 12, 2007)

grandview;1259890 said:


> Not to start a pissing match,but in your other posts your going on about having the right equipment and stuff yet you don't stock and extra supplies for an emergency? We it snows here I don't give a rats as about any of those things my only job is to get my stuff taken care of.


I appreciate any and all input, it only helps for understanding of what is actually happening. Multiple perspectives are always welcome! Thanks for your ideas. We have 1000s of tons and 100s of pallets on hand during winter, but what happens if salt becomes unavailable due to something unimaginable. What if gas is unavailable? What if there is rioting in cities due to the collapse of the dollar. I am a conspiracy theorist so I am always thinking worst case scenario and I am buying the hell out of silver. Dollars might soon be worthless. http://online.wsj.com/article/SB100...6132170181013248.html?mod=WSJ_hp_mostpop_read


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## grandview (Oct 9, 2005)

Well unless your being paid in gold bars and if the dollar collapses ,why are you still plowing these places?


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## Pristine PM ltd (Oct 15, 2005)

with a 30 day termination clause, you don't really have to worry that much.


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## NW Snow Removal (Oct 12, 2007)

grandview;1259906 said:


> Well unless your being paid in gold bars and if the dollar collapses ,why are you still plowing these places?


that's why the clause is there; to exempt us from service if this unspeakable happens. without the clause we would still be required to service and the value of our payment would have gone through the floor.


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## NW Snow Removal (Oct 12, 2007)

Pristine PM ltd;1259909 said:


> with a 30 day termination clause, you don't really have to worry that much.


 good point.


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## Mr.Markus (Jan 7, 2010)

NW Snow Removal;1259902 said:


> I appreciate any and all input, it only helps for understanding of what is actually happening. Multiple perspectives are always welcome! Thanks for your ideas. We have 1000s of tons and 100s of pallets on hand during winter, but what happens if salt becomes unavailable due to something unimaginable. What if gas is unavailable? What if there is rioting in cities due to the collapse of the dollar. I am a conspiracy theorist so I am always thinking worst case scenario and I am buying the hell out of silver. Dollars might soon be worthless. http://online.wsj.com/article/SB100...6132170181013248.html?mod=WSJ_hp_mostpop_read


You can always move up here... our dollar is getting stronger, (Just remember you won't be stacking for me.lol.) I hear Mexico used to be nice.


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## rcn971 (Jan 28, 2011)

If there is rioting in the city because the dollar collapsed and there is a war going on I dont think anyone is really gonna care about your snow plowing...lol. On the other hand it sounds like you have a standard contract written by a laywer. None of it really covers or even addresses for that fact your original concern of escalating fuel costs. There needs to be writing in the contract that your pricing is based on fuel costing $x per gallon and if that cost on your local average goes up by Y% than an increase will be incurred to cover that cost.You can not add profit into that number, it is only ensure you make the same.Likewise, if the riots cease,the war treaty is signed and fuel costs go back to original pricing at the time of contract signing, you will have to once again adjust your pricing....if all your trucks weren't flipped over and set ablaze in the streets on their way to plow your sites by then that is.To simplify it....you are gonna pass the buck down the line. Oh and the other guy that mentioned the 30 day "out" clause was right as well...don't know how that wasn't in there already.


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## grandview (Oct 9, 2005)

NW, I don't usually ask this but are you a man or women?


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## Pristine PM ltd (Oct 15, 2005)

next you are going to ask if NW needs Cranberry juice! hahahaha


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## grandview (Oct 9, 2005)

Just curious about something.


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## NW Snow Removal (Oct 12, 2007)

grandview;1260630 said:


> NW, I don't usually ask this but are you a man or women?


Both! Ha there are many people behind the posts. A few of us have access.


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## coldcoffee (Jul 17, 2008)

NW Snow Removal;1260667 said:


> Both! Ha there are many people behind the posts. A few of us have access.


Wow, I only have 3 personalities...I think you've got me beat!


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## swtiih (Nov 30, 2008)

NW Snow Removal;1259874 said:


> Anyone adding fuel escalation clauses? terrorism clause? We are adding something to ensure that if **** hits the fan with the US Dollar, and it is greatly devalued, and prices of material skyrockets, we can change to price to reflect market prices. you should too.


NW I think you have a very good idea here. Not sure to what extent you should go but covering fuel and salt are a good start.


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## TPC Services (Dec 15, 2005)

grandview;1260630 said:


> NW, I don't usually ask this but are you a man or women?


 I know where you are going with this. I seen the same thing on this persons website. I'am wondering if it's just a gimmick?? Then I read their response to this and am really wondering since they didn't anwser it out right.


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## snobgone (Feb 2, 2010)

NW, we have a seperate fuel clause, a disaster recovery clause and material shortage clause that most customers dont bat an eye at. We have yet to see a need for a terrorism clause.....

The 30 day termination seems to protect us all as someone mentioned.

Grandview, I remember when our market used to be as loyal. Good to hear there are still some regions like that.


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## NW Snow Removal (Oct 12, 2007)

snobgone;1260896 said:


> NW, we have a seperate fuel clause, a disaster recovery clause and material shortage clause that most customers dont bat an eye at. We have yet to see a need for a terrorism clause.....
> 
> The 30 day termination seems to protect us all as someone mentioned.
> 
> Grandview, I remember when our market used to be as loyal. Good to hear there are still some regions like that.


care to post part of your clauses? We posted the version we are using. I'd love to see what you have. We got ours from our trucking co, but it is kinda vague.

to all you wondering. Our ceo is a woman, she created this account years ago and rarely posts, but does sometimes. There are 4 other managers(3 men 1 woman) that come on here with the account, to get ideas if they need them, depending on what they are working on at the time.(like me, who is working on updating our contract for next season)


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## snobgone (Feb 2, 2010)

Owner acknowledges that product and material shortages or other circumstances beyond the Contractor’s control may require Contractor, if Contractor finds it necessary or expedient to do so, to make material/substance substitutions and/or modifications to substance mix. 

Due to the fluctuating cost of fuel, the contract amount is subject to change. A surcharge may occur if there is a significant increase in the cost of fuel. Contractor reserves the right to charge an increase as deemed necessary due to the gasoline price increases. (we usually attach the government fuel index chart that illustrates the associated % increase with the cost per gallon)


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## snobgone (Feb 2, 2010)

NW, we have a disaster recovery and resumption plan too that would cover major disasters, terrorism, etc. That was created specific to our organization in conjunction with our insurance company and attorney. We made it because of a request from a government contract that we have, more Katrina related than terrorist. It was an interesting project and something we laughed at initially until we really started thinking about what would we do if we lost everything. One of our subs that owns a tree service had his building burn with most of his equipment inside. That was an eye opener. Almost put him out of business after 20 years of hard wok.


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## grandview (Oct 9, 2005)

I'm wondering about the women owned thing. Are you getting contracts just because of that. More or less an unfair advantage. You might not even be the lowest bidder but they give it to you because it's company policy to deal with women owned.


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## TPC Services (Dec 15, 2005)

grandview;1261054 said:


> I'm wondering about the women owned thing. Are you getting contracts just because of that. More or less an unfair advantage. You might not even be the lowest bidder but they give it to you because it's company policy to deal with women owned.


 I thinking they have that on there as a gimmick since they would not answer the question. sounds kind of shady to me. might just have it on there for poops an grines.


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## NW Snow Removal (Oct 12, 2007)

TPC Services;1261092 said:


> I thinking they have that on there as a gimmick since they would not answer the question. sounds kind of shady to me. might just have it on there for poops an grines.


I answered the question honestly. Our CEO is a woman and we have multiple managers that post on here. Don't get the idea that we are trying to doop anyone. We are straight shooters just looking for some public opinion. If you want our company history let's meet at SIMA this year


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## NW Snow Removal (Oct 12, 2007)

grandview;1261054 said:


> I'm wondering about the women owned thing. Are you getting contracts just because of that. More or less an unfair advantage. You might not even be the lowest bidder but they give it to you because it's company policy to deal with women owned.


Yea, that's the only way we get any jobs. because of an unfair advantage. HaHa. We just do a good job, give people what they need, and expect, at a fair price. If anything we have a disadvantage. All of our ideas have to get approved by the female at the top.:salute:


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## TPC Services (Dec 15, 2005)

NW Snow Removal;1261180 said:


> I answered the question honestly. Our CEO is a woman and we have multiple managers that post on here. Don't get the idea that we are trying to doop anyone. We are straight shooters just looking for some public opinion. If you want our company history let's meet at SIMA this year


 sounds good my me. just Depends on my work load!!! :salute:


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## JD Dave (Mar 20, 2007)

Mr.Markus;1259929 said:


> You can always move up here... our dollar is getting stronger, (Just remember you won't be stacking for me.lol.) I hear Mexico used to be nice.


I got a good laugh out of that.


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## grandview (Oct 9, 2005)

Sorry again NW, you have a female CEO ,that's different from being "women owned"


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## NW Snow Removal (Oct 12, 2007)

grandview- when the CEO also owns the business. She works, not just owns.


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## grandview (Oct 9, 2005)

That's all I wanted to know.


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