CPA Bulletin

www.cpa.uk.net CPA Bulletin > May 2023 49 Q&As: 2 You are still covered under the Model Conditions when only supplying an operator, as clause 8 would apply; and that individual would still be treated as the customer’s ‘servant or agent’ and be under their direction and control; consequently, the individual would fall under the customer’s insurance policies for the duration of the hire period. When I am supplying a machine and operator to a customer under the Model Conditions, I know that the customer’s ‘hired-in plant’ insurance policy covers both elements - machine and operator - during the hire period; but what happens if I am simply supplying only the operator. Are we still covered under the terms and the customer’s policy? Yes, the customer is indeed liable to pay for the replacement of tyres which were damaged during the hire period. This is highlighted within clause 9(c) of the Model Conditions. Under CPA terms, is it the customer’s responsibility to pay for replacement tyres on a machine once they are worn beyond the safe limit, if we supplied the machine with new tyres at the start of the hire? We have unfortunately had an item of plant stolen from site. Can you outline what the process is for reporting the loss? If you can provide the CPA with as much detail as possible, we can circulate that information to the membership, in the hope that it is seen and quickly recovered. Details regarding the plant, where it was delivered, etc., should be reported to the police, and a Crime Reference Number (CRN) obtained. The CRN, together with any other relevant information, should be passed to your insurance broker. If the plant was hired out under the Model Conditions, and it was stolen during the hire period, then the customer will be liable for the loss. The customer’s ‘hired-in plant’ insurance policy should cover the loss to the plant, but also the on-going two-thirds (idle-time) rate. If you need further clarification on reporting the loss or any other aspect of this response, then please get in touch. Does the CPA have a Modern/ Anti-Slavery template document which members can download? A copy of the document can be found near the bottom of the Employment page within the Legal Section of the website at www.cpa.uk.net/employment. The maximum daily hours an individual can work is 13 hours in any day, even when they sign the ‘opt-out’. The benefit of the operator signing the ‘opt-out’ means that an individual can work more than an average of 48 hours in any given week if work demands it, but the operator must still be limited to an average of 48 hours working time per week over the Reference Period which can cover a period of 17, 26 or 52 weeks. So by way of an example, if the Reference Period was of six weeks duration, and the operator works 56 hours per week for the first two weeks, then works 48 hours per week for the next two weeks, then they must only work 40 hours per week for the final two weeks to achieve an average of 48 hours working per week across that six week Reference Period. So to achieve the greatest flexibility for the company to cover any peaks and troughs, a company will use a long Reference Period to ensure that the operator achieves that 48 hour average. If an operator ‘opts-out’ of the Working Time Directive, what is themaximum number hours that may be worked daily, or are the operator’s hours spread across a period, such as 12 weeks? As a member of the CPA, there are occasions when I need to cross-hire an item of plant. I contacted a plant company to discuss the possibility of hiring an item of plant, and was quoted a price. I needed to confirm with my customer that they still needed this additional machine for that rate. The customer declined on the need for another machine, and I rang the other plant company back some 20 minutes later, and was informed that they had incurred costs during that interim period, and were attempting to charge a disproportionate rate. Would that be correct? It may be questionable on how the other plant company had incurred such costs within a 20 minute window; however, if a contract had been made with them using the CPA Model Conditions, then under clause 24(c) - reproduced below - any cancellations prior to the hire commencing would be subject to all reasonable costs incurred by the plant owner. c) If the Hirer terminates the Contract before the Hire Period commences, then the Hirer is liable for all reasonable costs and charges incurred by the Owner or to which the Owner is committed at the time of termination. The obvious question would be for the plant owner to justify what reasonable costs they had incurred within that time frame. It may be worth mentioning the clause and discussing the matter further.