I was a shareholder in a company that was on the rocks around covid. it limped along. The staff, most 5-10 years with the business, wanted it to continue. Before it went bust the trading name lapsed & I registered it & the sole director signed over the phone number & website to me and authorised essential rented machine be moved (with owners consent) to new premises I rented. I am sole director of new company. The rental on the equipment was paid by the new company no questions asked afaik.
Unbeknown to me the equipment was subject to x2 contracts. (rental & maintenance). Also unbeknown to me the director of the former company extended the rental contract 12 months on the equipment (to 2024). When the company with whom both agreements were signed ceased maintaining the equipment we were made to pay RRP for consumables, parts & servicing, I reluctantly entered into negotiations, assuming they could demand the old equipment returned in 30 days (as the agreement states) and I would be a sitting duck without it.
The sales rep I was dealing with was the same one with whom the current (old) equipment had been rented from 5 years earlier in 2018. I didnt like him one bit & he knew it. Took days to reply, if it at all, and never answered fully. He knew that the maintenance rate they offered on new equipment, tho 33% higher than we had been paying, was still the cheapest in town.
I do not believe he was aware I was heading a different company (the first sales order he produced was in the name of the former company). He never advised me that the equipment rental agreement on the old equipment had been extended til 2024 & that the remaining rental would be outstanding, should I proceed. He knew I didnt want or need two almost identical machines. I had been shopping around. In the end a dealer offered me a maintenance contract within 5% of the multinational & as this bloke had been prompt, upfront, transparent I signed with them.
A few weeks later the finance company who the multinational engaged 5 years earlier to finance that rental, comes knocking for outstanding rental payment. I count myself lucky, they let it go as "abandoned". Then asked me if I want to buy it for 1 month rent! The new equipment was all for what?
So if I had known that the equipment was still under a rental agreement I would have continued with it - albeit having to pay RRP for service/consumables (which by then didnt faze me, worked out the same most months).
Basically I felt forced to upgrade becoz the rep wasn't transparent re the extended rental contract.
My monthly payments have doubled & maintenance agreements increased 33%.
I assume Ive got no legal leg to stand on but hope someone who may know more definitively could tell me so & to just chalk it up & move on...
cheers John
Unbeknown to me the equipment was subject to x2 contracts. (rental & maintenance). Also unbeknown to me the director of the former company extended the rental contract 12 months on the equipment (to 2024). When the company with whom both agreements were signed ceased maintaining the equipment we were made to pay RRP for consumables, parts & servicing, I reluctantly entered into negotiations, assuming they could demand the old equipment returned in 30 days (as the agreement states) and I would be a sitting duck without it.
The sales rep I was dealing with was the same one with whom the current (old) equipment had been rented from 5 years earlier in 2018. I didnt like him one bit & he knew it. Took days to reply, if it at all, and never answered fully. He knew that the maintenance rate they offered on new equipment, tho 33% higher than we had been paying, was still the cheapest in town.
I do not believe he was aware I was heading a different company (the first sales order he produced was in the name of the former company). He never advised me that the equipment rental agreement on the old equipment had been extended til 2024 & that the remaining rental would be outstanding, should I proceed. He knew I didnt want or need two almost identical machines. I had been shopping around. In the end a dealer offered me a maintenance contract within 5% of the multinational & as this bloke had been prompt, upfront, transparent I signed with them.
A few weeks later the finance company who the multinational engaged 5 years earlier to finance that rental, comes knocking for outstanding rental payment. I count myself lucky, they let it go as "abandoned". Then asked me if I want to buy it for 1 month rent! The new equipment was all for what?
So if I had known that the equipment was still under a rental agreement I would have continued with it - albeit having to pay RRP for service/consumables (which by then didnt faze me, worked out the same most months).
Basically I felt forced to upgrade becoz the rep wasn't transparent re the extended rental contract.
My monthly payments have doubled & maintenance agreements increased 33%.
I assume Ive got no legal leg to stand on but hope someone who may know more definitively could tell me so & to just chalk it up & move on...
cheers John
