CPA Bulletin
40 CPA Bulletin > August 2022 www.cpa.uk.net Q&As: 1 q&a s If the items supplied were damaged during the hire period, then under clause 13(b) it states that charges will continue at the idle-time rate as defined in clause 25. The final line of clause 25 states that if the plant is supplied with an operator as an “All-in” rate, then the machinery is charged at two-thirds, but the operator element is charged in full. These rates continue until settlement has been agreed between the parties. Once agreed, then the rates cease for 3 weeks for payment to be processed and paid. If payment is not received within that 3 week window, then charges would resume fromwhen they ceased. We have had a customer hire somemarine equipment fromus under the CPA’s Model Conditions. During the hire, there was an incident which resulted in some significant damage. It is being resolved through both parties’ insurers, but we wanted to include a charge for our lost revenue between the incident and the recovery and repair of the equipment. Under the Model Conditions, should/could this be charged at the full hire rate? We have been unfortunate to have had some GPS equipment stolen from a hired-in bulldozer. Can you clarify whether we are liable for the cost of replacing the items as new, or only for what the value of the equipment was at the time? When an item of plant (or any ancillary equipment) is supplied under the CPA’s Model Conditions, and is then stolen during the hire period, then in that instance, the customer would have ‘to make good’ the loss. This falls under clause 13(b) of the Model Conditions. The clause does not say that the replacement item has to be brand new, instead, the stolen item’s age/state/condition will play a factor in determining the ‘loss’ value of it. However, if the item itself was brand new when it was originally supplied, then that should be reflected in the settlement figure. We have received a penalty notice from Transport for London (TfL) regarding the use of a mobile crane within the Ultra-Low Emission Zone (ULEZ). We are aware that mobile cranes are exempt, but do you have any contact numbers or advice you could provide? I have spoken with Transport for London (TfL) on 0343 222 1111 - that is their general enquiries number. On previous occasions when a penalty notice has been issued to other members for an exempt vehicle, e.g. a mobile crane, TfL have asked for a copy of the vehicle’s V5 form, and pictures from four sides of the vehicle. I would also send in a copy of the penalty notice that has been issued. Once this has been received by TfL, the penalty notice is rescinded. Should you have any difficulties on this issue, then please get in touch. I am in the process of starting my own plant and tool hire company. I will be signing up to CPA when I launch the business. I have everything in place except for insurance. Which insurance policies does the CPA offer, and are you able to provide a quote? The CPA does not offer any form of insurance cover, as we are not regulated to provide it; however, there are a number of insurance brokers which can be found on the CPA’s website at www.cpa.uk.net/legal-insurance-plant-theft/ insurance . If you speak to them, they will tell you the various insurance policies your business should have. If you have any further questions, then please get in touch. Whilst every care has been taken to ensure the accuracy of the answers given within this section of the CPA Bulletin, no liability for any damage, liability, cost, loss and/or expense which the reader has incurred can be accepted by the Construction Plant-hire Association (CPA). The reader should obtain independent legal advice on any issue reported within the CPA Bulletin, before proceeding with a course of action.
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