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Ensuring the University's STC apply
Currency
Warranties
Insurance
A contract is created where:6
- The buyer accepts without amendment a valid quotation that we have issued
- An order from the buyer is accepted in writing (including emails)
- A formal contract is agreed and signed between the parties
When a contract is in place, the University’s STC must apply, and any contract must include a clear statement that these are the terms which will apply to the sale.
There is a different set of STC for web sales. The applicable STC must be made available to all external customers before the commencement of trading.
Additionally, where there is a new type of sale, institutions must consider what specific arrangements need to be agreed with the customer in relation to that activity which are not likely to be covered in the STC.
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For example,
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The STC should not be used when selling second hand goods. Please contact the AR team who will advise in these instances.
Amendments to the STC are only possible with prior consultation and agreement by the Finance Division. It is important to understand what obligations are included in the customer’s STC as these must align closely with those of the University.
Ensuring that the University’s STC apply
Often there is an exchange between sellers and buyers whereby one party states that their standard terms and conditions are to apply. The other counters by sending their standard terms stating that these are to govern the contract. Quite simply, the terms which apply will be those whose conditions are sent last. The process can take place by e-mail.
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For example, the University sends a quotation with a statement that the University’s STC apply, with a copy of, or link to, the STC. The Purchaser then sends a purchase order. This will generally always include a statement that the Purchaser’s STC apply. Possible outcomes: Option (b) is followed, but the Purchaser persists in requiring that their STC apply. At this point you may need to take further advice from the Accounts Receivable Team. Much will depend on how onerous the other terms are; whether the University is able to fulfil them; whether the price would need to be increased; whether they could be amended to be more acceptable or whether we need to insist that our STC apply. |
Best practice is to insist that the University’s STC apply and that those are the only terms on which you are prepared to sell. However, on occasion, it may be necessary to work with customers and consider their terms and conditions. In these cases, check that the customer’s terms and conditions are acceptable to the University.
Currency
The invoicing currency should be sterling. Invoices in other currencies must only be issued in exceptional circumstances. Invoices raised and payments received in other currencies result in exchange gains or losses, and bank charges for which the institution will be liable. Refer to the AR Helpdesk in the first instance so that the risk can be assessed.
Warranties
Although the STCs exclude all other warranties, you should not knowingly provide goods or services of poor quality.
If your customer has specified that they have specific requirements and you have accepted these, it is important to conform to those requirements. If you are supplying something which both parties recognise may or may not work, you need to make this clear to the purchaser (see also Insurance below).
Where equipment is brought from a third party and sold on, prior checking of the contract with our supplier is essential, to ensure that any warranty can be passed on.
Refer to the Warranty section in the summary of the STCs for specifics.
Insurance
Insurance is not available for normal breach of contract e.g., warranties, poor service, nor is the sale of manufactured goods (other than prototypes or software) covered. Conversely, accidental acts or omissions such as negligent advice or hidden defects are covered by the University’s insurance. However, the University’s excess for this type of claim is substantial. See the Insurance webpage for details of the University’s insurance coverage.
6 Clauses 1.2 and 1.4 of the University’s Standard Terms & Conditions (STC)
Latest version 16 April 2024