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Daniel, Solicitor
Category: Australia Law
Satisfied Customers: 5781
Experience:  Bachelor of Laws (dist) Graduate Diploma in Legal Practise. Admitted NSW Supreme Court / High Court
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we have a dispute with Otis over the contract for Lift maintenance

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we have a dispute with Otis over the contract for Lift maintenance for a small lift between 2 apartments.
Originally a 1 year warranty, then 4 + 4 year contract.
started 30 April 2008
First 4 years expiring 30 April 2013
We initiated verbally for a full review in November 2012
Original Otis employee said to wait until a month before renewal.
We again initiated full review in March 2013 - original Otis employee had departed.
Despite us contacting Otis many times
No renewal proposal put to us until 1 May 2013
(i.e. after Contract Period)
After more discussions, we advised in writing on 15 May 2013
that we wished to terminate the Lift Maintenance Contract with Otis.
(To go to another company owned by Otis - we have only recently told them about ILS)
Otis manager verbally agreed that we had paid in full and could terminate the contract,
but despite our frequent follow ups, nothing in writing was sent to us.

Now Otis say that we did not give 90 days written notice
and the Otis Contract has penalty clauses totalling $3,370.96.

The curent costs with Otis are (inc GST) $4,857.72pa (they say $4,755.17)
Otis has offered subject to approval (5 years ) $4,400.00 pa
(the contract says 4 years....)

ILS (Otis owned)- with full details $3,388.00pa

then Otis 2nd offer (but no details) $4,070.00pa
then Otis 3rd offer (but no details) $1,320.00pa

Another independent quote is (details as Otis + ILS) $3,520.00 pa
or with acceptable reduced conditions $2,860.00pa

We want Otis to:-
1. To acknowledge that we have paid in Full to 30 April 2013
2. To finalise contract with them without penalty as at 30 April 2013

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Thank you,
Customer: replied 4 years ago.


I need an URGENT response by some one who knowns the Law in Victoria Australia.


the main dispute is that only "verbal" notice was given,

mainly as result of no information being forwarded in time to make a decision, despite requests.


Meeting with Otis Sate Sales manager tomorrow.


Yvonne Martin from Otis World Headquarters has been helpful.





Thank you, XXXXX XXXXX continue to look for a professional to assist you. Please let me know if I can be of any further assistance while you wait.

simply put in contractual terms, they acknowledged that the contract was terminated.

This is all that is necessary in regard to the matter. You can argue this point and they accept that the contract has been terminated.

You have undertaken more than reasonable inquiries to settle the matter.

They are simply not mitigating their losses and the matter should be resolved because of 2 points

1. They accepted the contract to be over.

2. You did all that was necessary to resolve the matter.

I would write to them outlining the above and demanding in writing the contract to be terminated.

Please accept.

Daniel, Solicitor
Category: Australia Law
Satisfied Customers: 5781
Experience: Bachelor of Laws (dist) Graduate Diploma in Legal Practise. Admitted NSW Supreme Court / High Court
Daniel and other Australia Law Specialists are ready to help you
Customer: replied 4 years ago.


Your answer was a great assistance to neighbour that we were reasonable and correct.

We had to complain to USA to get any follow up....

Also quoting Consumer Affairs web site (Unfair contract terms) and Sect 126 of Instuments Act (that only Real Estate interests need to be in writing)

Have just received Otis written agreement that contract ended after "Initial Period" withou $3+K of unjust penalties