The Competition and Markets Authority (“CMA”) has, in recent times, cast doubt on some terms that are often in contracts between providers and independent paying residents. This includes up-front payments for admission into a home (a ‘joining fee’) and after death liabilities.
Providers should review their existing agreements to ensure they do not fall foul of consumer law. These contracts usually address medium to long term arrangements so the validity and enforceability of them is important when considering the business security of a care service.
Ensuring that your customers understand proposed terms and commit with informed knowledge is important. Failure to do so could render agreements unenforceable and could result in regulatory fines or claims for damages.
Ridouts can provide advice to providers on these contracts, whether it is a one-off agreement or management of contract arrangements on an on-going basis.
Ridouts can help you by:
- Reviewing existing contracts;
- Providing standard form contracts;
- Providing customer information packs;
- Providing an online webinar on contract management;
- Providing telephone advice on contract troubleshooting.
Outcomes achieved include:
- Drafting new service user agreements which are CMA compliant
