Lease agreements and a change of mind!!?

Question

I have sold some telephone equipment on a 7year lease to a company, not a huge seel only £50pm and now a month later they are now saying they do not want it, any ideas on where I stand as I have outlayed all the costs so far and that alone is near £1000.

Answer 1

It depends what is stated in the contract.

Did you put a clause in for early cancellations i.e. fees, etc?

As mentioned, if they have already signed, they are obliged to pay the full term.

Answer 2

if they have signed the contract then they are stuffed, even in court

Answer 3

They signed the contract, they have to keep it.  See how your contract is actually written.  Did you have a lawyer vet it?  Does it have a contingency fee for backing out?  If not, see a lawyer ASAP, someone who will tell you exactly what your rights are and what you should put in your next contract.

Maybe you can work out a deal where they pay a penalty and can return the equipment in the same condition they received it.  It's possible the lease was just too long for the company and their finances so they could just stop paying.  You need to do whatever you can to get as much money as possible and everything back in excellent condition.

Are they willing to work with you to adjust the program?  Did they buy too much?  They can dump you but there are consequences.  See what your contact states they are.  Then, you are going to have to enforce it.

And don't say you sold the equipment if you leased it to them.

For one thousand pounds, a lawyer would be cheap.