Contract Terms

I would write up a request for proposal (RFP) with the our expectations and limitations within it.

The vendor would submit a bid and contract.

I would verify the contract matched the RFP before signing.

Let A,
I always say that Contracts are written for the person who wants you to sign. I review them closely and given the dollar amount of the contract make suggestions or have things stricken if they are totally one sided. Not all vendors are willing to except these changes, so it really only makes the most sense on the largest contracts.

I agree with John about the RFP for large contracts as well though most companies have their own boiler plate contracts and are not written to match the customers RFPs.

Regarding the small mics. items it really depends on the vendor and the relationship your management has with them. Who wants to have a vendor have to contact someone to replace a part under $50.00? Time is money. I did however make our Landscaping contractor submit pictures of the areas that they had to repair prior to submitting the bill.

We have our attorney review any large contract, after we got burned by our property manager signing the contract with our pool refinishing contractor with very vague terms that worked against us when we were considering a lawsuity.

However, you can try to get the vendor to accept any changes you want, but that doesn't mean they will. Usually smaller vendors are ok with changes, but the larger ones are not. Comcast refused to negotiate or make any changes to our cable contract. It was take it or leave it. Our property management company allowed only very minor changes. We don't always have a lot of choice in my area. For example, there is only one contractor in the whole area that does the particular type of fence that we have surrounding the community.

I think the most important issue for HOAs and COAs is the right to terminate. We won't ever anything but a 30 day right to terminate for any reason. Right now we are stuck in a contract with Pitney Bowes for our postage meter lease. It auto-renewed for five more years with an increase in price and a very large termination penalty. Our PM didn't realize it was coming due (he was new) so he let it auto-renew. Never again.