blinded

General vending talk
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Ade
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Posts: 852
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Area Covered: east and west midlands
Machines Used: kiddie rides, sweet and toy vend
Referred by?: M.Slater
Location: tamworth & b`ham + surrounding areas

blinded

Post by Ade »

i bumped into a fellow operator today who has been with tubz vending for 10 months. out of curiosity i asked if he had noticed a considerable reduction in what he was paying for sweets now as opposed to 10 mths ago/ the answer was no! Needless to say i gave him the forums addy. shine the light :whistle: :evil:
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FlintVending
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Area Covered: Norfolk, Suffolk, Cambridge
Machines Used: Bulk, Tower, Pringle, rings and pills, lighters
Location: Norfolk, suffolk

Re: blinded

Post by FlintVending »

Ade wrote:i bumped into a fellow operator today who has been with tubz vending for 10 months. out of curiosity i asked if he had noticed a considerable reduction in what he was paying for sweets now as opposed to 10 mths ago/ the answer was no! Needless to say i gave him the forums addy. shine the light :whistle: :evil:

Hi Ade
Ill bet that tubz vending operator is sure glad he met you but you didnt mention whether he was a franchise or an independant?
He may not have the option to go elsewhere if he has signed an exclusive supply agreement with them.
To be fair to tubz vending, the other two suppliers do this as well!
It also happens in most other industrys.
Thanks to guys like Glenn Borthwick though, all the smart operators on here are benefitting from the price reductions which would have not materalised otherwise!
Happyvending
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Area Covered: London-down to south coast
Machines Used: towers, bulk, herbal viagra, wash prods, pringles

Re: blinded

Post by Happyvending »

Ade wrote:i bumped into a fellow operator today who has been with tubz vending for 10 months. out of curiosity i asked if he had noticed a considerable reduction in what he was paying for sweets now as opposed to 10 mths ago/ the answer was no! Needless to say i gave him the forums addy. shine the light :whistle: :evil:

payback time ade :2gunsfiring:
Ade
Coin Op Group Grand Master
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Posts: 852
Joined: July 6th, 2009, 7:43 pm
Area Covered: east and west midlands
Machines Used: kiddie rides, sweet and toy vend
Referred by?: M.Slater
Location: tamworth & b`ham + surrounding areas

Re: blinded

Post by Ade »

FlintVending wrote:
Ade wrote:i bumped into a fellow operator today who has been with tubz vending for 10 months. out of curiosity i asked if he had noticed a considerable reduction in what he was paying for sweets now as opposed to 10 mths ago/ the answer was no! Needless to say i gave him the forums addy. shine the light :whistle: :evil:

Hi Ade
Ill bet that tubz vending operator is sure glad he met you but you didnt mention whether he was a franchise or an independant?
He may not have the option to go elsewhere if he has signed an exclusive supply agreement with them.
To be fair to tubz vending, the other two suppliers do this as well!
It also happens in most other industrys.
Thanks to guys like Glenn Borthwick though, all the smart operators on here are benefitting from the price reductions which would have not materalised otherwise!

Thats my point, shouldnt tubz vending be offering him the lower prices purely out of customer loyalty, he definatley a franchisee but we all know the contracts they get you to sign are not worth the paper they are written on.

Ade
Happyvending
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Posts: 234
Joined: January 28th, 2009, 12:24 pm
Area Covered: London-down to south coast
Machines Used: towers, bulk, herbal viagra, wash prods, pringles

Re: blinded

Post by Happyvending »

Ade wrote:
FlintVending wrote:
Ade wrote:i bumped into a fellow operator today who has been with tubz vending for 10 months. out of curiosity i asked if he had noticed a considerable reduction in what he was paying for sweets now as opposed to 10 mths ago/ the answer was no! Needless to say i gave him the forums addy. shine the light :whistle: :evil:

Hi Ade
Ill bet that tubz vending operator is sure glad he met you but you didnt mention whether he was a franchise or an independant?
He may not have the option to go elsewhere if he has signed an exclusive supply agreement with them.
To be fair to tubz vending, the other two suppliers do this as well!
It also happens in most other industrys.
Thanks to guys like Glenn Borthwick though, all the smart operators on here are benefitting from the price reductions which would have not materalised otherwise!

Thats my point, shouldnt tubz vending be offering him the lower prices purely out of customer loyalty, he definatley a franchisee but we all know the contracts they get you to sign are not worth the paper they are written on.

Ade

is his name John mate?
MEGA VEND

Re: blinded

Post by MEGA VEND »

Hi Ade ~ I hope you are well mate?

I have never seen the tubz vending contract, maybe David (aka Naughty Vend) can give some input due to "most" franchise contracts start in a basic format.
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david@naughtyvend
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Re: blinded

Post by david@naughtyvend »

MEGA VEND wrote:Hi Ade ~ I hope you are well mate?

I have never seen the tubz vending contract, maybe David (aka Naughty Vend) can give some input due to "most" franchise contracts start in a basic format.
Sorry, just reading this posting May 04th...

There is debate about the enforcability of exclusive product supply under franchise law in that it does not allow for fair competition and in arbitration you'd be scrutinised under what is deemed to be 'fair and reasonable', but note that reaching the stage of any dispute process will affect your relationship with the franchisor. If the franchisor has spent time, money and effort building a brand it is reasonable to expect some caveats in return for using their brand and case history exists to reflect this. Usually it is no longer the opinion of the franchisee they should be held to this agreement once their business is established and that's where situations of doubt and frankly greed kick in or the desire to 'get away with it' although it always comes out in the wash.

A franchisee (in my opinion) should be able to benefit from their agreement and have favourable terms, all of ours pay less than the advertised prices on the .co.uk site. There will be suppliers willing to undercut us and some operators will be buying from them, in a recent conversation I was told "...we know where Naughty Vend buy their products..." implying that contractual interference would be an option... to which I listened and asked where indeed I bought my products from and you could hear the Doh in the background echo as the penny dropped. :rofl:

So regardless of the debate on enforcability and legality it's probably not something you'd want to do unless the franchisor is of absolutely no benefit to the franchisee and they (the franchisee) firstly choose to terminate the agreement under the terms. Normally some fundamental rudimentary breach should exist such as say consistent failure to supply product if there is such a term in the agreement OR no longer being able to provide for some other part of the franchise agreement, which will be weighted in favour of the franchisor.

First course of action, speak to the franchisor rather than become embroiled in tittle tattle in the public domain as this can be refered to in a court of law, be careful therefore.
Ade
Coin Op Group Grand Master
Coin Op Group Grand Master
Posts: 852
Joined: July 6th, 2009, 7:43 pm
Area Covered: east and west midlands
Machines Used: kiddie rides, sweet and toy vend
Referred by?: M.Slater
Location: tamworth & b`ham + surrounding areas

Re: blinded

Post by Ade »

david@naughtyvend wrote:
MEGA VEND wrote:Hi Ade ~ I hope you are well mate?

I have never seen the tubz vending contract, maybe David (aka Naughty Vend) can give some input due to "most" franchise contracts start in a basic format.
Sorry, just reading this posting May 04th...

There is debate about the enforcability of exclusive product supply under franchise law in that it does not allow for fair competition and in arbitration you'd be scrutinised under what is deemed to be 'fair and reasonable', but note that reaching the stage of any dispute process will affect your relationship with the franchisor. If the franchisor has spent time, money and effort building a brand it is reasonable to expect some caveats in return for using their brand and case history exists to reflect this. Usually it is no longer the opinion of the franchisee they should be held to this agreement once their business is established and that's where situations of doubt and frankly greed kick in or the desire to 'get away with it' although it always comes out in the wash.

A franchisee (in my opinion) should be able to benefit from their agreement and have favourable terms, all of ours pay less than the advertised prices on the .co.uk site. There will be suppliers willing to undercut us and some operators will be buying from them, in a recent conversation I was told "...we know where Naughty Vend buy their products..." implying that contractual interference would be an option... to which I listened and asked where indeed I bought my products from and you could hear the Doh in the background echo as the penny dropped. :rofl:

So regardless of the debate on enforcability and legality it's probably not something you'd want to do unless the franchisor is of absolutely no benefit to the franchisee and they (the franchisee) firstly choose to terminate the agreement under the terms. Normally some fundamental rudimentary breach should exist such as say consistent failure to supply product if there is such a term in the agreement OR no longer being able to provide for some other part of the franchise agreement, which will be weighted in favour of the franchisor.

First course of action, speak to the franchisor rather than become embroiled in tittle tattle in the public domain as this can be refered to in a court of law, be careful therefore.

well said dave,my argument with tubz vending has always been they claim a site founded by them is always the franchisee`s, which is absolute tat, because they also say you can only put their stock in which i think is fair enough if they are not charging £20 + vat for the privelage. its a case of want cake and eat it and then some.

Regards

Ade
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Venderbase
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Re: blinded

Post by Venderbase »

David, whats your opinion on franchises that use rolling 12 month contracts, where the contents of the contract can change every year in favour of the franchisor, but failing to resign results in you pretty much losing everything you've worked and paid for?
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david@naughtyvend
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Re: blinded

Post by david@naughtyvend »

Venderbase wrote:David, whats your opinion on franchises that use rolling 12 month contracts, where the contents of the contract can change every year in favour of the franchisor, but failing to resign results in you pretty much losing everything you've worked and paid for?
Not good... :hmmm:

A contract is an agreement between a number of parties and any change should be mutually agreed, it should not change to suit any party to the contract and certainly not in favour of the party making the change via autonomous means. Effectively the franchisee is being 'churned' by this action in order to facilitate new blood and new sign-up fees as certain less moral franchisors are known to do, however it's difficult to comment without specifics in this regard... although it would appear franchisees are being held to ransom effectively.

Problem being though is that you (I assume you) entered this franchise agreement with open eyes, you may be able to argue this is unfair and that you did not have proper understanding of the agreement nor was this given but that involves legal argument and hence legal fees.
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