Does Your Provider Have This?

Under the standard right of first refusal clause, when the current contract expires, your current vendor has the right to meet any authentic bid from any competitor. And if he does meet the best bid you get, then you are bound to allow his company to continue operating in your building, even if you'd prefer to switch.

Not long ago, the right of first refusal clause was standard operating procedure within the laundry industry. But things are changing. Today some service providers are vehemently opposed to it and others include it in their contracts with reluctance. However, there are a handful of companies that not only have the right of first refusal in their contracts, but they will take you to court over it.

Doing Business Without the Clause

Weightwash Limited, an industrial laundry company and workwear rental services provider based near Southampton with clients throughout Hampshire and Wiltshire, no longer has the clause in their contract. Weightwash provides laundry service contracts.  We dropped it about ten years ago because we believe we're here to provide a service, says company director David Killeen. Our competitors may match our bid, but can they match the fact that I'm in my office at 6:30 p.m. talking to a customer? We've even created a program that offers shorter term options than usual to fight the right of first refusal. And when it comes to bidding against companies that still have it, we don't waste our time because they're not matching our bid, they're just copying it.

Enforcing the Clause

Negotiable, yes. But only when a company is willing to consider continuing with their current laundry services provider. Companies can and do find themselves in court to fight the right of first refusal when they want to go elsewhere and aren't able to show a default of service. They often find that the jury is out regarding the enforceability of the clause.

Can The Clause Be Stricken?

Many management company principals demand that the clause be stricken as a stipulation for laundry contractors to work with their companies.

We absolutely advise boards against signing contracts that include a right of first refusal clause.

Sometimes a company gets lucky and the laundry company does walk away. Others are not so fortunate, and find themselves embroiled in costly litigation.

Keeping Your Eyes Open

Boards may be well advised to take advantage of this flexibility and willingness to negotiate. If you have the right of first refusal in your existing contract, document your dissatisfaction throughout the course of the contract and make certain to terminate in accordance with the termination provisions. If it's a new contract, think twice before you sign. The right of first refusal is negotiable, and it should come out.

Your solicitor should be involved, and you should also know the history of the company you're getting involved with not only the type of machinery they're going to install, but also the attitude and the nature of the people you're dealing with. It's not just about the pounds. It's also about service, reputation and the inclination to litigate.

Weightwash has become a specialist in the correct cleaning of the more specialised workwear garments such as PROBAN, Pyrovatex, anti-static in overalls, boileruits and lab coats.

Many laundries do not have the capabilities that we have.  We don't just wash but we can also dry-clean and this is important particularly if you have garments made in the far east.

Specialised garments often require very low temperature washing and drying to avoid shrinkage.

We minimise shrinkage with our care program.

We can also pre-shrink a sizing set so that yor workers end up in garments that fit them.

We are also extremely cost effective.  We can clean an overall for significantly less than you can, and we can prove this.

Call us on 02380 870815 to discuss your WORKWEAR LAUNDRY and LAUNDRY SERVICES needs.

We have recently introduced this facility and are getting a huge take up from all our customers

Normally Sage can only handle single customer invoicing by mail bu we have a way of batching these for sending.  We also keep a copy of everything sent.  If you, like us, are a small company with lots of regular invoices to send out, then we can help you get this set up and working.  Its actually very straightforward once you know how.  Let us know if we can help you.

...and thankyou to all our customers for helping us to use this facility...

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