LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

Risks involved in service agreement

ACS Deepika Chowdhary (Company Secretary) (280 Points)

12 November 2012

We are in process of buying 3 trucks for the purpose of transportaion of goods, being in retail segment. Now beofre entering into service contract with the service provider, just want to know what all areas should be kept in mind while entering into the agreement or what risks can be faced consequent upon entering into agreement. Plz guide.

Thanks & Regards

Reply
Follow
Share

1 Replies

Sriram (Manager(Admn)) (27 Points)
Replied 14 November 2012

Deepika Ji,

Please note, when you are buying new trucks, you will have the warranty period for Vehicles for part replacement as well as service. But after warranty period you need agreement with the service provider for serving vehicles out of warranty period. But almost all Vehicle Companies they are proving service out of warranty period in the name of Annual Maintainance contract. For this you have go for an agreement with either Company or Authorised Dealer. Printed Agreement terms would be availalbe with any Vehicle Dealer for your reference.