Contract is 12 years old, neither party holds a copy

WaterBourne

Hi all,

I've recently taken over managing a local sports team, we have a 20ft container to store our equipment which costs £900 per year. 
This contract was taken out 12 years ago, confirmed by the company, and neither party holds a copy of the contract. 
How do I get my team out of this fund draining contract? A new container would cost less than £2000, we have so far paid in excess of £10000. 

Thanks all. 

Aylesbury_Duck

The obvious thing to do is to tell the company you no longer want it.  See what they say.  If they say something about a notice period, ask them for a copy of the contract.  If they still can't find one, I wonder if reasonable notice might be the same as the payment frequency, i.e. you end the rental once 12 months has elapsed since the last payment.

When was the last payment made? 

WaterBourne

Hi, thanks for the comments. 

Last payment was made at the start of December which is how this has come to light. 

Thing is, we do need a container, not necessarily this one, but a container. 

Aylesbury_Duck

I'm not a lawyer, but presuming each payment is made for the following 12 months, I'd have thought it reasonable to notify them now that you won't need the container beyond early December 2025.

p00hsticks

WaterBourne said:

How do I get my team out of this fund draining contract? A new container would cost less than £2000, we have so far paid in excess of £10000. 

Playing devils advocate (as someone belonging to a sports club who own such a container...) 

would you have somewhere to put the container ? 
Would there be a ground rent to pay ?
Have you looked at how much it would cost to get it delivered and sited there ?
And the cost of insurance for the goods inside ? 
And are you likely to need to move it at some point in the future ? 

There is more involved that just the base cost of the container itself....

user1977

What’s your understanding of what the terms of the (possibly unwritten) contract actually are? Are you assuming you’d need to give some huge period of notice to get out of it? I’d have thought it most likely to be year to year, if that.

Olinda99

you could also have a look at what the contract they issue for new customers says.

theoretica

Is the hired container sitting on your land and you want to replace it with one that you own?  Simplest to try would be to try to buy the one that is there off the company for less than the cost of a newer one and everyone saves on shipping and hassle. Maybe invoke words about goodwill and support for the sports club!  Do the company sell containers?  You would then become liable for disposal of it if you need to vacate the site.

WaterBourne

would you have somewhere to put the container ? Yes
Would there be a ground rent to pay ? Yes
Have you looked at how much it would cost to get it delivered and sited there ? No
And the cost of insurance for the goods inside ? Yes
And are you likely to need to move it at some point in the future ? No.
 What’s your understanding of what the terms of the (possibly unwritten) contract actually are?
Are you assuming you’d need to give some huge period of notice to get out of it? I’d have thought it most likely to be year to year, if that.
 Is the hired container sitting on your land and you want to replace it with one that you own? Simplest to try would be to try to buy the one that is there off the company for less than the cost of a newer one and everyone saves on shipping and hassle. Maybe invoke words about goodwill and support for the sports club! Do the company sell containers? You would then become liable for disposal of it if you need to vacate the site.


I'm not wanting to get rid of the container, just massively reduce what we are paying.

A_Geordie

WaterBourne said:

I'm not wanting to get rid of the container, just massively reduce what we are paying.

So you negotiate with the owner if you want to reduce the payment amount.

In the absence of a contract or written terms, reasonable notice should be given to terminate. What counts as reasonable notice depends on the facts of each contract and the circumstances at the time you give notice. If you pay annually, you could give one months' notice and take the risk you lose of the right to use the container for the remainder of the contractual year. Equally, if you pay month to month you could also argue one months' notice is also reasonable. 

Should you give notice to terminate, put it in writing and I would make it clear that neither party has a copy of any written contract and in the absence of that, you are giving reasonable notice. Ask the owner to acknowledge your termination notice (though they are not obliged) as evidence of their agreement of the termination. 

GDB2222

This is headed consumer rights. Does that depend on how the club is structured? 

But, I agree that it is sensible to negotiate.