Understanding Legal Contract Negotiation Process
A legal contract is formed through an offer, acceptance, consideration passing, and the intention to create a legally binding relationship. The AES legal process involves the offer, acceptance, and confirmation, leading to contract formation. AES's service involves marketing campaigns and candidate recruitment. Negotiation is essential, focusing on client needs and agreements. Consultants can negotiate rates, payment terms, invoice dates, and rebate terms with AES.
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Presentation Transcript
Module 4 Legal contract / negotiation A legal contract is formed after: An offer by one party and an acceptance of that offer by the other party. Consideration passing between the parties, each party providing some consideration for the offer and acceptance of the offer. An intention to create a legally binding relationship.
AES legal process: An offer by one party we use the Agreement statement and Service agreement. Acceptance of the offer We use the confirmation email on page 47 of your manual and your AES terms. Contract is formed As above or when a candidate is interviewed if an agreement hasn t been reached. Contract is executed and payment due when a candidate is offered and accepts the role.
AESs service AES is responsible for taking a brief, turning it into a marketing campaign and then advertising, marketing and head hunting candidates until we find people who want the role, are in the geographical area, are interested in the salary and if offered the role would accept. If the candidate leaves, after accepting, AES has got something wrong; A REBATE IS DUE. The Client is responsible for interviewing the candidate, checking references / qualifications and establishing if they are competent, capable and legal. If the candidate is not competent, capable or legal and they get dismissed it is the responsibility of the Client; NO REBATE IS DUE
Two documents Service agreement normally sent with an agreement statement. Terms and Conditions of business.
Negotiation. Negotiation - a definition; discussion aimed at reaching an agreement. The key word is discussion . So if you understand your clients NEEDS, you should be able to have a discussion and negotiate a mutual agreement. If the Client does not have NEEDS (a HR person rarely has NEEDS) they are not interested in negotiation; it s take it or leave it.
What can a consultant negotiate on? % rate for the fee or a flat rate if you prefer. Payment days for the invoice to be paid. Invoice date; AES prefers to invoice on acceptance, sometimes a company likes the invoice on the start date. Important; rebate terms can t be changed without agreement from AES.
