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Chapter
Costs and Charges
DOI link for Costs and Charges
Costs and Charges book
Costs and Charges
DOI link for Costs and Charges
Costs and Charges book
ABSTRACT
Grounds on which the services may exceptionally be terminated early should be identified in the contract. During the course of the contract, the customer's business practices may be modified and its focus may consequently shift. It is unsafe to assume permanence or predictability either in the relationship or in the services, and the duration of the contract will therefore almost inevitably be for a fixed term. Where the contract term is relatively short, charging rates may be linked to its duration, giving some certainty of income and expenditure for the supplier and customer respectively. The effects of termination for a supplier who does not immediately have other sources of work will be severe, consisting of loss of profits and unemployed resources. All associated contracts, leases and licences must be investigated at termination for transfer. It should be recognized that exit management plan drafted at an early stage of the contract relationship is going to be in outline form and incomplete.