I sell commercial GPS tracking equipment, my customer signed a contract yesterday with a compedtitor but wants to cancel that contract and sign with us instead, the equipment has not been installed by the compeditor yet.(New Zealand law if available, please state if your answer applies to NZ or Australia)Thanks, Carl
Province: Auckland, New Zealand
Everyone I know
I am NZ based and this answer applies to NZ - although I need further information.
Is the customer purchasing the equipment by credit or cash and if cash, has payment been made?
Also, has the customer received a copy of the contract and looked to see if it contains a right of cancellation clause?
The potential customer is a Ltd business and they have signed a contract to lease the equipment they have not paid any money.
not sure if they have a copy of the conract and I would prefer not to call him again as I called him many times today.
Unfortunately, unless you see the contract they signed you cannot tell them whether or not they can cancel with the first provider and resign with you. The right of cancellation will be contained within the contract so whether or not there is a cancellation fee or any costs that are going to be incurred is an unknown.
The only other suggestion I can make (if you don't want to ask the customer) is to have someone ring the other company (not you, it would be deceptive as you are a competitor) and ask "if i decide to lease your equipment, can I change my mind and cancel the contract before it's installed?".
Sorry - not a terribly legal answer but we are limited to the response we can give based on the information you can provide.
You are welcome to click "ACCEPT"
LLB (Honours, First Class)
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