This can't be legal can it?

Hugh_Jarse_2

I work as a self employed driver for a taxi firm. The firm offers a facility to purchase a car over a period of weeks, the price of the car already inflated, there is no interest payable on the agreement. Obviously the firm are not registered as a finance company, this is purely for the benefit of the drivers to buy cars without credit checks etc.

The agreement looks like this...

xxxxxxxxxxxxxxxxx TAXIS

PURCHASE AGREEMENT

VENDOR XXXX TAXIS, XXX ROAD, XXXXX

BUYER xxxxxxxxxx
ADDRESS xxxxxxxxxxxxxxxxxxxxxxx
DATE OF PURCHASE xxxxxx
REG NO xxxxxxxxx
MAKE AND MODEL xxxxxxxx xxxxxxxxx



I xxx name xxxx OF xxx address xxxx

AGREE TO PURCHASE THE ABOVE VEHICLE ON THE STRICT UNDERSTANDING THAT ALL PAYMENTS MUST BE MADE AS THEY BECOME DUE. IN THE EVENT OF NOT MAKING THE PAYMENTS DETAILED BELOW OWNERSHIP OF THE VEHICLE AND THE COUNCIL LICENSE WILL BECOME THE PROPERTY OF xxxxxxxxxx TAXIS.

VEHICLE COST £xxxx.xx

PAYABLE AT £xx PER WEEK FOR xx WEEKS


RADIO PAYMENT OF £ PER WEEK TO BE PAID WEEKLY FOR THIS PERIOD.IN THE EVENT OF AN INSURANCE CLAIM ALL OF THE ABOVE MUST BE DECLARED TO THE INSURERS AND ANY RESULTANT MADE BY THE INSURES MUST BE MADE PAYABLE TO xxxxxxxxxxxxx TAXIS.


BUYERS SIGNATURE __________________

SIGN xxxxxxxxxxx TAXIS ________________




Thats the actual wording of the document.

There is no dispute about the price of the vehicle or the number of weeks the agreement is over. However if you choose to leave the company, the company say you must hand over the keys and leave the vehicle.

If it was a hire purchase agreement with a finance company, then they could not take the vehicle when you had paid one third of the original agreement price.

All payments are up to date, no arrears and no late or missed payments.

Two thirds of the payments have now been made.

The company effectively say you must remain renting a radio from them for the duration of the agreement, or they take the car back. Surely that can't be legal?

All payments would still be made for the car, just not the radio rental.

Also the amount of rental for the radio is left blank on the agreement. Does this mean i pay £0 each week as signed in the contract.

Any advice please?

Many thanks

Hugh