A retailer has been left with two ATMs and is facing potential action from both suppliers after his email to an operator to exit his contract was not deemed as “written” notice.
The retailer, who did not want to be named, emailed Cashzone to terminate his five-year contract believing he was giving notice in the correct way according to his contract with the company.
However, Cashzone has said that it was not acceptable within the terms of his deal. The retailer, who is now in a rollover contract with the company due to a clause in the contract, had also already negotiated a new supplier, and is now left with two ATMs.
The NFRN is challenging the clause on the retailer’s behalf and is aiming to persuade Cashzone that email notice was good enough.
Chief executive Paul Baxter said: “In a modern digital world, emails are an acceptable and reliable form of communication. Having a clause that does not accept emails as a means of ‘writing’ is unacceptable – we no longer live in an age of quill pens.
“We will be challenging Cashzone on such a ‘well structured’ set of words within the termination clause.”
The federation is rem-inding retailers to read the small print in their contracts to make sure the terms for terminating are entirely clear.
A Cashzone spokesman said: “It’s important that our customers know they can rely on what we say in our contracts. When it comes to terminating a partnership with us, our contracts clearly state how notice should be given. Our customer service team will be happy to help anyone who has questions about their contract.
“We also encourage all retailers to seek legal advice about any contracts they enter into, particularly if they have the opportunity to do so through an industry association, such as the NFRN.”