CPA Bulletin

www.cpa.uk.net CPA Bulletin > February 2023 41 Q&As: 2 No, it does not. However, when any item of plant is taxed, it also needs to be insured. The Driver and Vehicle Licensing Agency (DVLA) database is connected to the Motor Insurers’ Bureau’s Database - so when an item of plant is taxed but not insured, you will receive a letter querying this discrepancy. It will be assumed that if the plant is taxed, your intention will be for you to use it along the public highway, and so it must be insured. If your intention is to not to have it travel along the public highway, then you must obtain a Statutory Off-Road Notice (SORN) for it. I am hoping you may clarify the position when it comes to registering a new item of plant. We bought it from the manufacturer, who had taxed it. However, we have received a letter from the Motor Insurers’ Bureau informing us that it needs to be insured. If it is going on a new building site where there are not any public roads, does the plant still need to be insured? For ‘open-ended’ hires, i.e., ones with a specific start date, but no specific end date, then under clause 24(a) of the 2021 Model Conditions, the customer is responsible for the plant for the next 7 working days after it has been off-hired, after that time responsibility for the plant reverts back to the owner. However, if the owner tries to collect the plant within that 7-day timeframe but is prevented from doing so - and this would need to be reviewed on a case-by-case basis - then under clause 23(c) it will be deemed to be back on hire until such time as it can be collected. Can you confirm how long the customer is responsible for plant supplied under the Model Conditions once it has been off-hired for an ‘open-ended’ hire? We had supplied a machine to a customer under the Model Conditions, and it was damaged during the hire period. The customer is refusing to pay for the damage but has not given any reason for refusing to pay, although he has admitted liability. If the customer has admitted liability, but is refusing to settle, that leaves you with either passing the matter on to your insurance broker, who will then pursue the claim on your behalf - which may likely affect your insurance premiums when they are next renewed - or you (or your solicitor) could commence legal proceedings. In the meantime, you could remind your customer that although he has admitted liability, the ‘idle-time’ rate will continue to accumulate until settlement has been agreed as per clause 13(b). As the Model Conditions fall under contract law, the ‘shelf-life’ of any hire (contract) agreement is six years. Naturally, a plant owner would not take that long to inform their customer of any damage and would instead inform them within a few days or within a week or two; but there is no set time limit stated within the Model Conditions by when the customer must be informed. Once the customer has been informed of the damage, then as a courtesy, the customer (or their representatives) should be allowed a few days to inspect the machine before any repairs are carried out. Could you please advise, is there a set time period indicated within the CPA terms and conditions? One of my drivers is currently absent on sick leave and I am paying him Statutory Sick Pay (SSP) at this time. I thought I could reclaim the SSP from the Government, but I cannot find anything on this. Can you confirm what the position is on this? The Government used to allow small businesses to reclaim any SSP paid to any employee, but that ended in 2014. It was partially reinstated during the Covid pandemic, where the Government did allow companies to reclaim up to two weeks SSP if the employee was self-isolating or had contracted Covid, but that reinstatement ended in March 2022. I am afraid that this cost must be absorbed by you/your company.