New client wants to change jurisdiction

UserNameCheckIn on 13/10/2020 - 18:54

I've just started out on my own and created terms of business from a mish mash of ones I found online.

I'm fairly used to reading complex legal documents and industrial relations documents, and have had several new potential clients review my terms legally with no issues.

It's a recruiting business for permanent placements, so there will be no employees / casuals / contractors.

So I'm fairly comfortable the TOBs I created are tight.

I'm in NSW & listed this state to be the Governing Law and Jurisdiction.

A new potential client is in another state / territory & state that the governing law and juristriction needs to be the state / territory they are in.

Is it time for me to get a lawyer to answer what difference this will make? Does anyone have any experience here?

I'm not flush with cash yet so haven't engaged a lawyer to review at this point.

Financial

Comments

  • pharkurnell on 13/10/2020 - 19:27
    +2

    Is it time for me to get a lawyer to answer what difference this will make?

    Could be cheap insurance….

  • digitalaxon on 13/10/2020 - 19:31
    +2

    I'm assuming given your question you might not have worked for a recruitment company before so I would suggest looking at RCSA's website https://www.rcsa.com.au/ which has resources and membership options which you may find useful.

    And yes, there will be differences in legislation between states that you need to factor in so your new potential client is correct. Just because your company is NSW based doesn't mean NSW job rules will apply to a candidate placed in a role in WA for example.

    • UserNameCheckIn on 13/10/2020 - 21:32

      16 years in recruitment through labour hire in blue collar mining and civil and white collar HSEQ & engineering including working in both of those states :-)

      I've been a member of the RCSA previously and find them a fantastic resource. Thank you for the reminder.

      It was more about a potential dispute between myself and the client, rather than anything a candidate may do.

  • onetwothreefour on 13/10/2020 - 19:36
    +2

    Ugh recruiters

  • Drakesy on 13/10/2020 - 19:37
    +2

    Invest in a lawyer and avoid the hassle. I've had too many horror stories of small businesses getting done over by clients because they hadn't had someone ensure their contracts were air tight.

    • UserNameCheckIn on 13/10/2020 - 21:32

      Great comment. I know this is the right action to take.

  • holdenmg on 13/10/2020 - 20:39
    +1

    Also look @ https://ablis.business.gov.au/search/activity
    for licences and permits etc.

  • Almost Banned on 13/10/2020 - 21:04
    +1

    This will really come down to two issues:
    1. how much negotiating power you have compared to how much they have, and
    2. how hard you are willing to fight over it, and how hard they are.
    Ultimately the question comes down to who backs down first.

    • UserNameCheckIn on 13/10/2020 - 21:34

      Good points. We're actually very friendly and provide leads to each others companies.

      I'm assuming their question was driven around convenience for them rather than any ulterior motive, I am very curious as to what the repercussions may mean.

      They have signed my terms, pending the adjustment to the term.

      • SF3 on 13/10/2020 - 22:55

        People can be friendly until you do proper business with them. People change, just treat it as a business dealing, without the presume “friendship”.

  • OZB Al on 14/10/2020 - 11:13
    +1

    I'd be saying: "The change in jurisdiction you have requested will have a financial impact on our services. We are willing to make this change but we will pass on a 10% increase in our rates to cover this impact. Please advise if you accept this increase."

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