Has any contractor here been asked by their agency to provide a personal guarantee against any losses the agency may suffer from an umbrella?
I'm in the process of switching umbrellas (from an MSC style scheme to straight PAYE with another umbrella) due to the recent legislation, so the agency has to draft new contracts in the name of my new brolly as we're mid contract.
Presumably with the onset of third party (agent) liability next year they're starting to arse cover now, and sent the following for me to sign. It looks well out of order, and won't be getting any wet ink, any one else had something similar?
GUARANTEE AND INDEMNITY
This Guarantee is made the 10 April 2007
BETWEEN
(1) <THE CONTRACTOR> of <CONTRACTORS ADDRESS> (the
Guarantor ); and
(2) PROJECT PEOPLE LIMITED (Registration No 3027453) whose registered office is at Whitefriars, Lewins Mead, Bristol BS1 2NT ( Project People )
WHEREAS
(1) By a Supplier Agreement dated 01 Jan, 2006 made between <NAME OF OLD UMBRELLA CO.> and Project People ( Supplier Agreement ) the Guarantor
agreed to provide services to the clients of Project People, subject to the terms and conditions contained therein.
(2) The Guarantor now wishes to provide services to the Client through <NAME OF NEW UMBRELLA CO.> and for Project People to enter into a Supplier Agreement with <NAME OF NEW UMBRELLA CO.> ( Replacement Supplier Agreement )
NOW IT IS HEREBY AGREED as follows:
(1) It is hereby agreed that the Guarantor does hereby guarantee to Project People all and any obligations and all or any monies now or hereinafter due to Project People from <NAME OF NEW UMBRELLA CO.> under the Supplier Agreement.
(2) This Guarantee is in respect of sums outstanding under the Supplier Agreementand shall remain in full force and effect not withstanding any extension, compromise, adjustment, forebearance, waiver, release or discharge of any partyor guarantor, or release in whole or in part of any security granted for the said indebtedness or compromise or adjustment thereto until the expiry of the Supplier Agreement.
(3) The Guarantor shall on demand immediately pay all sums outstanding under the Supplier Agreement to Project People.
(4) The obligations of the Guarantor shall at the election of Project People be primary and not necessarily secondary.
(5) The Guarantee hereunder shall be unconditional and absolute and the Guarantor waives all rights of subrogation and set-off until all sums due under this Guarantee are fully paid.
(6) In the event payments due under the Guarantee are not paid punctually upon demand, then the Guarantor shall on demand pay all reasonable costs and solicitors fees necessary for the collection and enforcement of this Guarantee.
(7) The Guarantor warrants and represents he has full authority to enter into the Guarantee.
(8) The Guarantor acknowledges that he has taken all necessary advice to enter into the Guarantee.
(9) The Guarantee shall be binding upon and inure to the benefit of the parties, their successors or assigns.
IN WITNESS OF WHICH the parties have signed this agreement the day and year first above written.
SIGNED as a DEED )
but not delivered until the date hereof by )
GUARANTOR )
in the presence of (witness)
Name
Address
Occupation
I'm in the process of switching umbrellas (from an MSC style scheme to straight PAYE with another umbrella) due to the recent legislation, so the agency has to draft new contracts in the name of my new brolly as we're mid contract.
Presumably with the onset of third party (agent) liability next year they're starting to arse cover now, and sent the following for me to sign. It looks well out of order, and won't be getting any wet ink, any one else had something similar?
GUARANTEE AND INDEMNITY
This Guarantee is made the 10 April 2007
BETWEEN
(1) <THE CONTRACTOR> of <CONTRACTORS ADDRESS> (the
Guarantor ); and
(2) PROJECT PEOPLE LIMITED (Registration No 3027453) whose registered office is at Whitefriars, Lewins Mead, Bristol BS1 2NT ( Project People )
WHEREAS
(1) By a Supplier Agreement dated 01 Jan, 2006 made between <NAME OF OLD UMBRELLA CO.> and Project People ( Supplier Agreement ) the Guarantor
agreed to provide services to the clients of Project People, subject to the terms and conditions contained therein.
(2) The Guarantor now wishes to provide services to the Client through <NAME OF NEW UMBRELLA CO.> and for Project People to enter into a Supplier Agreement with <NAME OF NEW UMBRELLA CO.> ( Replacement Supplier Agreement )
NOW IT IS HEREBY AGREED as follows:
(1) It is hereby agreed that the Guarantor does hereby guarantee to Project People all and any obligations and all or any monies now or hereinafter due to Project People from <NAME OF NEW UMBRELLA CO.> under the Supplier Agreement.
(2) This Guarantee is in respect of sums outstanding under the Supplier Agreementand shall remain in full force and effect not withstanding any extension, compromise, adjustment, forebearance, waiver, release or discharge of any partyor guarantor, or release in whole or in part of any security granted for the said indebtedness or compromise or adjustment thereto until the expiry of the Supplier Agreement.
(3) The Guarantor shall on demand immediately pay all sums outstanding under the Supplier Agreement to Project People.
(4) The obligations of the Guarantor shall at the election of Project People be primary and not necessarily secondary.
(5) The Guarantee hereunder shall be unconditional and absolute and the Guarantor waives all rights of subrogation and set-off until all sums due under this Guarantee are fully paid.
(6) In the event payments due under the Guarantee are not paid punctually upon demand, then the Guarantor shall on demand pay all reasonable costs and solicitors fees necessary for the collection and enforcement of this Guarantee.
(7) The Guarantor warrants and represents he has full authority to enter into the Guarantee.
(8) The Guarantor acknowledges that he has taken all necessary advice to enter into the Guarantee.
(9) The Guarantee shall be binding upon and inure to the benefit of the parties, their successors or assigns.
IN WITNESS OF WHICH the parties have signed this agreement the day and year first above written.
SIGNED as a DEED )
but not delivered until the date hereof by )
GUARANTOR )
in the presence of (witness)
Name
Address
Occupation
Comment