CPA Bulletin

www.cpa.uk.net CPA Bulletin > February 2025 57 Q&As: 2 If you do not have a firm of solicitors to help you with this, you have a number of options going forward. You could speak with your insurance broker to see if they can recommend a particular firm. This cost may be covered as part of your existing business insurance policies. Failing that, you could contact the Law Society, which represents all the solicitors in England and Wales, www.lawsociety.org.uk/public/for-public-vistors/find-a-solicitor - and ask for firms near your business who could assist. Another option is to contact a debt recovery company, who may work with solicitors. In this instance between the debt recovery company, and/or their solicitors may achieve this. There would be commission/costs, which you could look to add to the debt so that you are not out of pocket. The CPA uses Top Service. Finally, you could go on the Gov UK website - Claims Online - and seek to begin the process yourself. So, with dealing with a bad debt, it is whichever step is easier for you. I am happy to discuss this further with you if you wish. I need to send a solicitor’s letter to a customer that refuses to pay the sums owed. and frankly impossible to get hold of via telephone. I do not currently have a legal company I can go to to issue this; can you please advise of one you recommend or a course of action. Any help would be appreciated. Many years ago, the CPA had a blanket agreement in place regarding travelling and subsistence rates, which ended in 2012/13. At that time, HMRC allowed a figure of £31.85 per night (outside of the M25). It was suggested at that time, companies could contact their local tax office to see if a specific rate could be agreed between the member and their tax office. I cannot say for certain whether the figure you are proposing to offer would be acceptable to HMRC. From doing some research, I came across the following link - https://good-travel.co.uk/ resources/guides/hmrc-subsistence-rates-guide-2024/ - which appears to give a maximum entitlement of £25.00 for incidental overnight expenses. The same link references meals: but also states that any sums given in excess of these sums would incur tax implications. Therefore, I would suggest you speak with your accountants before proceeding. I just wondered if I could get some clarification on the subsistence allowance. If we pay for our people’s hotel bills, are they still entitled to get a £35-per-night subsistence for staying away from home? Also, are they entitled to receive a £15-per-day for meals? The CPA’s 2021 Model Conditions states that if the machine has been off-hired by the customer, then under clause 24(a), it states that the Hirer (customer) is responsible for the machine for the next 7 working days - subject to the machine owner being able to collect it from the site. This comes under clause 24(a). Should the machine be unavailable for collection from the site – refer to clause 23(c) – then the machine remains on hire, and the Hirer remains responsible for it until it is finally collected. The Hirer’s ‘hired-in plant’ insurance policy will remain active until either those 7-working days have elapsed; or, until the machine has been collected - should clause 23(c) apply - whichever is the latter. I hope that answers your question. We have hired out a machine to a customer under the Model Conditions for an ‘open-ended’ period. The customer has now ‘off-hired’ it. How long is the customer liable for the machine? Over the years, CPA members have hired out their plant and equipment to customers, where the site has been in Europe, or further afield, provided that the customer agrees to those terms and conditions. If agreement is reached between the parties, then the Model Conditions are enforceable. What may arise if there is a dispute, is which court will have jurisdiction/authority in overseeing the dispute. Within clause 36(a), it states the following: ‘The Owner will determine which court will have exclusive jurisdiction and interpretation of the law for this Contract be it governed by the country where the Owner’s Head Office or site is located.’ This clause will allow you, the Owner, to determine which court will have jurisdiction, should the matter not be resolved amicably. Let me know if there is any further information you need. We are a UK company that occasionally hires out plant and equipment into mainland Europe; but I am assuming that CPA terms and conditions are not enforceable within Europe? Any advice you can offer would be great.