IN CONSIDERATION OF the mutual covenants and promises in this Agreement, the receipt and sufficiency of which consideration is hereby acknowledged, H2O Logistics Ltd (“the Owner” or “H2O”) agrees to lease the Vehicle to the Hirer (“you”), and the Hirer agrees to lease the Vehicle from the Owner in accordance with the terms set out in this Agreement.

  • Definitions
    1.  The following definitions are used but not otherwise defined in this Agreement:

“Casualty Value”

means the market value of the Vehicle at the end of the Term or when in relation to a Total Loss, the market value the Vehicle would have had at the end of the Term but for the Total Loss. The Casualty Value may be less than, but will not be more than, the original purchase price of the Vehicle;

“Finance House”

means financial institutions with whom we have contracted to hire, lease purchase or otherwise finance certain Vehicles;

“Relevant Services”

means the provision of courier services by the Hirer to H2O Logistics Ltd, subject to the Contract for Services in place from time to time;

“Total Loss”

means any loss or damage that is not repairable or that would cost more to repair than the market value of the Vehicle;

“Vehicle”

means the specific vehicle handed over to you, for which you have signed for.

 

  • Term
    1. The Agreement commences on the time and ate of handover and will continue on a week-to-week basis (the “Term”) until:
      1. the Hirer gives one week’s notice to the Owner in writing that they wish to return it;
      2. either the Hirer or H2O Logistics Ltd terminates the Contract for Services and/or the Hirer ceases providing the Relevant Services to H2O;
      3. one or more of the circumstances occur, for the Owner to take back immediate possession, subject to the provisions of clause 11; or
      4. the expiry of a period of no more than ninety (90) days from the commencement of this Agreement.
    2. In any case, the Term will never be longer than a period of ninety (90) days in total.

 

  • Rent
    1. The rent, inclusive of VAT, will be as specified at handover, paid each week in arrears, and will be paid on the Friday of each succeeding week throughout the Term (the “Rent”).
    2. The rent will be paid in instalments of £234 (inclusive of VAT) each week for SWB and £254 for LWB, in arrears, and will be paid on the Friday of each week throughout the Term (the “Rent”).
    3. If a different Rent amount will be applicable, the Hirer will be notified by the Owner in writing, prior to confirming the Agreement. In this instance, the amount confirmed separately in writing will supersede the amount stated above.

 

  • Deposit as Security
    1. The Hirer shall pay to the Company a refundable security deposit (“Deposit”) in the amount specified in the Hire Schedule prior to taking possession of the Vehicle.
    2. 1.2 The Deposit constitutes security for the due performance of the Hirer’s obligations under this Agreement.
    3. The Deposit:
      1. is not advance hire;
      2. is not consideration for services;
      3. is not wages, remuneration or earnings;
      4. does not create any trust relationship; and
      5. shall not accrue interest.
    4. The Deposit is separate from and independent of any Service Agreement between the parties.

 

  • Purpose of Deposit
    1. The Owner may apply all or part of the Deposit toward any loss, cost, charge or liability reasonably incurred by the Owner arising out of or in connection with:
      1. Damage to or loss of the Vehicle (excluding fair wear and tear), pursuant to clause 10;
      2. Insurance excess payable following any incident;
      3. Damage not covered by insurance;
      4. Theft where attributable to breach of this Agreement;
      5. Recovery, towing or storage charges;
      6. Lost or replacement keys;
      7. Cleaning beyond reasonable commercial use;
      8. Fuel deficit;
      9. Unpaid hire charges;
      10. Road traffic penalties, PCNs, congestion charges, tolls or fixed penalty notices;
      11. Administrative handling charges (provided such charges are reasonable and proportionate);
      12. Any third-party claim arising from the Hirer’s use of the Vehicle;
      13. Any other direct loss reasonably arising from breach of this Agreement.
    2. The Deposit shall not operate as a penalty and shall only be applied to the extent of actual loss reasonably incurred by the Owner for which the Hirer is liable.

 

  • Reconciliation & Repayment of Deposit
    1. Within 21 days of termination of this Agreement (or later if outstanding liabilities remain unresolved), the Owner shall:
      1. provide a written reconciliation statement; and
      2. refund any remaining balance of the Deposit.
    2. The Owner may retain a reasonable portion of the Deposit pending resolution of:
      1. outstanding insurance claims;
      2. pending PCNs;
      3. third-party claims;
      4. repair cost confirmations.
    3. Where losses exceed the Deposit, the Hirer shall remain liable for the shortfall.

 

  • Picking up the Vehicle
    1. The Hirer will, at the Hirer’s own expense and risk, pick up and transport the Vehicle from the location agreed by the Parties.

 

  • Use of Vehicle
    1. The Hirer will use the Vehicle in a good and careful manner and will comply with all of the manufacturer’s requirements and recommendations respecting the Vehicle and with any applicable law relevant to the use of the Vehicle.
    2. The Hirer will use the Vehicle for the purpose for which it was designed and not for any other purpose.
    3. The Vehicle shall not be used by any person:
      1. To carry any greater number of passengers than the normal which the vehicle is designed to accommodate;
      2. To provide commercial services, or to carry on a business activity, unless expressly authorised by the Owner, H2O Logistics Ltd;
      3. In contravention of any law, or so as to cause damage or risk to the general public, to passengers or to the Vehicle itself;
      4. Outside the United Kingdom;
      5. To transport goods in violation of customs regulations, or in any other illegal manner;
      6. Under the influence of alcohol, illegal drugs or any other substance which may impair their ability to drive safely;
      7. Who is under the age of 21, or over the age of 75;
      8. As a security deposit, or the like.
    4. Unless the Hirer obtains the prior written consent of the Owner, the Hirer will not alter, modify or attach anything to the Vehicle unless the alteration, modification or attachment is easily removable without damaging the functional capabilities or economic value of the Vehicle.

 

  • Repair and Maintenance of Vehicle
    1. The Hirer will, at the Hirer’s own expense, keep the Vehicle in good repair, appearance and condition, normal and reasonable wear and tear excepted. The Hirer will supply all parts that are necessary to keep the Vehicle in such a state.
    2. If the Vehicle is not in good repair, appearance and condition when it is returned to the Owner, the Owner may make such repairs or may cause such repairs to be made as are necessary to put the Vehicle in a state of good repair, appearance and condition, normal and reasonable wear and tear excepted. The Owner will make the said repairs within a reasonable time of taking possession of the Vehicle and where possible, will give the Hirer written notice of any repairs, subject to the provisions of Schedule 1.
    3. The Hirer may, but is not obligated to, enforce any warranty that the Owner has against the supplier or manufacturer of the Vehicle. The Hirer will enforce such warranty or indemnity in its own name and at its own expense.
    4. The Hirer is not to allow the smoking of tobacco, vaporisers or e-cigarettes.
    5. The Vehicle will be in good working order and good condition upon delivery.
    6. The Vehicle is of saleable quality and is fit for the purposes for which it is ordinarily used.

 

  • Loss and Damage
    1. To the extent permitted by law, the Hirer will be responsible for risk of loss, theft, damage or destruction to the Vehicle from any and every cause.
    2. In the instance that any damage is caused to the vehicle whilst in the care of the Hirer, the Owner reserves the right to charge to the Hirer up to the full insurance excess of £2,500 per instance.
    3. Either in addition, or instead of the full insurance excess, the Owner reserves the right to charge the hirer the Casualty Value of the vehicle, or such reasonable costs as set out in Schedule 1, relevant to the circumstances and the reasonable costs, and losses incurred by the Hirer.
    4. If the Vehicle is lost or damaged, the Hirer shall:
      1. continue to pay the Rent in accordance with this Agreement; and
      2. provide the Owner with prompt written notice of such loss or damage, together with all information reasonably required by the Owner or its insurers.
    5. The Owner shall be solely responsible for arranging the inspection, repair or replacement of the Vehicle. Any repairs shall be carried out at a garage or repair facility selected by the Owner, being a reputable, properly regulated repairer and, where applicable, one with whom the Owner has an established commercial relationship. As far as possible, the Hirer will reasonably work with the Owner to ensure the delivery of the vehicle to the nominated garage or repair facility.
    6. The Hirer shall not arrange, authorise or carry out any repairs, nor instruct any third party to do so, without the Owner’s prior written consent.
    7. Nothing in this clause limits the Hirer’s liability for:
      1. uninsured losses, policy excesses, or costs recoverable by insurers; or
      2. loss or damage arising from the Hirer’s breach of this Agreement, negligence, misuse or unlawful use of the Vehicle.
    8. In the event of Total Loss of the Vehicle, the Hirer will provide the Owner with prompt written notice of such loss and will pay to the Owner all unpaid Rent for the Term plus the Casualty Value of the Vehicle at which point, subject to any rights of the of the Finance Houses, ownership of the vehicle may pass to the Hirer’.

 

  • PCNs and Road Traffic Liability
    1. The Company, as registered keeper, may:
      1. transfer liability for any penalty to the Hirer where legally permitted; or
      2. discharge the penalty and recover the Administration Charge from the Hirer (as set out in Schedule 1).
    2. The Hirer indemnifies the Company in respect of all penalties, charges and associated costs incurred during the Hire Period.
    3. The Company shall use reasonable endeavours to notify the Hirer of any such charge within a reasonable time after receipt.
    4. Liability shall remain the responsibility of the Hirer notwithstanding that notice is received after termination of this Agreement.
    5. (Statutory context includes the Traffic Management Act 2004 and Road Traffic Act 1988.)

 

  • Ownership and Right to Lease
    1. Subject to any rights of the Finance House, the Vehicle is the property of the Owner and will remain the property of the Owner.
    2. The Hirer will not encumber the Vehicle or allow the Vehicle to be encumbered or pledge the Vehicle as security in any manner.
    3. The Owner warrants that it has the right to lease the Vehicle according to the terms in this Agreement.
    4. The Owner warrants that as long as no Event of Default, or fundamental breach of this Agreement has occurred, the Owner will not disturb the Hirer’s unrestricted use of the Vehicle for the purpose for which the Vehicle was designed.

 

  • Returning the Vehicle
    1. At the end of the Term, pursuant to section 2, or upon earlier termination of this Agreement, the Hirer will return the Vehicle at the Hirer’s cost, expense and risk to the Owner. Return locations is:
      1. At Severn Beach, Bristol BS35 4BR between the hours of 8:00am to 8:00pm.
    2. If the Hirer fails to return the Vehicle to the Owner at the end of the Term or any earlier termination of this Agreement, the Hirer will pay to the Owner any unpaid Rent for the Term plus 10% of the Casualty Value.
    3. If the hirer does not return the vehicle at the agreed time, and to an authorised representative of H2O, then the provisions of section 11 and/or additional charges set out in Schedule 1 may apply.

 

  • Insurances
    1. The Owner shall, for the duration of the hire period, maintain motor insurance in respect of the Vehicle as required by applicable law. Such insurance is arranged under the Owner’s motor fleet policy and is subject at all times to the terms, conditions, limitations and exclusions of that policy.
    2. Insurance cover is extended to the Hirer and any authorised driver only insofar as the Hirer and driver:
      1. comply with this Agreement;
      2. comply with the eligibility requirements, conditions and exclusions of the Owner’s motor fleet insurance policy; and
      3. use the Vehicle strictly in accordance with the permitted use and applicable law.
    3. The Hirer acknowledges and agrees that the insurance provided by the Owner does not cover, and the Hirer shall be solely responsible for:
      1. all parking charges, parking charge notices (PCNs), congestion charges, tolls, fines, penalties, clamping, towing or impound fees;
      2. any loss, damage, cost or liability arising from driver behaviour, misuse, recklessness, negligence, unlawful use, or breach of licence conditions;
      3. any loss, damage or liability arising where insurance cover is excluded, limited, declined or reduced as a result of the Hirer’s or driver’s act or omission; and
      4. any policy excesses, uninsured losses or sums recoverable by the insurer from the Owner.
    4. The Hirer is not required to arrange separate motor insurance for the Vehicle, but acknowledges that the Owner’s insurance does not provide comprehensive protection for the Hirer and is intended primarily to protect the Owner’s legal and statutory obligations.
    5. The Hirer shall indemnify and keep indemnified the Owner against all losses, liabilities, costs, claims, demands, expenses and charges (including reasonable legal costs) suffered or incurred by the Owner arising out of or in connection with:
      1. the Hirer’s use or possession of the Vehicle;
      2. any breach of this Agreement; or
      3. any circumstance in which insurance cover is excluded, voided, limited or recoverable due to the Hirer’s or driver’s conduct.
    6. A copy or summary of the Owner’s motor fleet insurance policy and relevant exclusions may be requested by the Hirer by contacting enquiries@h2ologistics.co.uk.
    7. The Hirer confirms that they have had the opportunity to review the applicable insurance terms prior to entering into this Agreement. 

 

  • Default
    1. The occurrence of any one or more of the following events will constitute an event of default (“Event of Default”) under this Agreement:
      1. The Hirer fails to pay any amount provided for in this Agreement within seven days after same is due or otherwise breaches the Hirer’s obligations under this Agreement.
      2. The Hirer becomes insolvent or makes an assignment of rights or property for the benefit of creditors or files for or has bankruptcy proceedings instituted against it under the bankruptcy law of the United Kingdom or another competent jurisdiction.
      3. The Hirer:
  1. ceases to qualify for insurance cover under the Owner’s motor fleet insurance policy
  2. fails to notify the Owner of any matter affecting insurance eligibility; or
  3. any insurance cover is excluded, avoided, restricted or rendered recoverable as a result of the Hirer’s or driver’s act or omission.
  1. A writ of attachment or execution is levied on the Vehicle and is not released or satisfied within 10 days.
  1. On the occurrence of an Event of Default, the Owner will be entitled to pursue any one or more of the following remedies (the “Remedies”):
  1. Declare the entire amount of the Rent for the Term immediately due and payable without notice or demand to the Hirer.
  2. Apply the Deposit toward any amount owing to the Owner.
  3. Commence legal proceedings to recover the Rent and other obligations accrued before and after the Event of Default.
  4. Take possession of the Vehicle, without demand or notice, wherever same may be located, without any court order or other process of law, which may incur the Collection Charges specified in Schedule 1.
  5. Terminate this Agreement immediately upon written notice to the Hirer.
  6. Pursue any other remedy available in law or equity.
  7. The Hirer is entitled to the protection and remedies available to them under the Consumer Credit Act 1974.
  • Step-in Rights
    1. The Hirer acknowledge that the finance houses used by us in order to fund the acquisition or use of certain goods have certain rights under this agreement, even though they have not signed the agreement. These rights include:
      1. the right to visit and enter your premises to confirm the whereabouts of goods funded by them (“Financed Goods”); and
      2. in the event that we enter into receivership, administration or liquidation and we have not fully paid the Finance House for Financed Goods funded by it, or a termination event or default occurs under an agreement between us and the relevant Finance House, the Finance House has the absolute and immediate right to enter your premises, identify the whereabouts of its Financed Goods and uplift them from your premises. As an alternative, the Finance House may, at its discretion, without prejudice to its rights under this clause, agree to enter into a direct relationship with you to continue leasing the Financed Goods to you until the end of the rental period.
    2. Subject to the Finance House’s agreement, if we go into liquidation, administration or receivership you shall be entitled to pay the rental charges to the Finance House directly so as to avoid termination of the rental agreement in respect of the Financed Goods, such payments must be made without set off, deduction or counterclaim.

 

  • Eligibility & Entire Agreement
    1. This Agreement will constitute the entire agreement between the Parties. Any prior understanding or representation of any kind preceding the date of this Agreement will not be binding on either Party except to the extent incorporated in this Agreement.
    2. The Hirer acknowledges that continued eligibility for insurance cover under the Owner’s motor fleet policy is a fundamental condition of this Agreement. The Hirer shall comply at all times with all insurance eligibility requirements and shall immediately notify the Owner of any matter which may affect such eligibility.

 

  • Address for Notice
      1. Service of all notices to the Owner, under this Agreement must be:
        1. sent by email to enquiries@h2ologsitics.co.uk; and/or
        2. delivered personally or sent by registered mail or courier to: Tagus House, 9 Ocean Way, Southampton, Hampshire, United Kingdom, SO14 3TJ 
  • General
    1. Headings are inserted for the convenience of the Parties only and are not to be considered when interpreting this Agreement. Words in the singular mean and include the plural and vice versa. Words in the masculine mean and include the feminine and vice versa.

 

  1. Governing Law

This Agreement will be construed in accordance with and governed by the laws of England and Wales and the Parties submit to the exclusive jurisdiction of the English and Welsh courts.

If there is a conflict between any provision of this Agreement and the applicable legislation of England (the “Act”), the Act will prevail and such provisions of the Agreement will be amended or deleted as necessary in order to comply with the Act. Further, any provisions that are required by the Act are incorporated into this Agreement.

In the event that any of the provisions of this Agreement are held to be invalid or unenforceable in whole or in part, those provisions to the extent enforceable and all other provisions will nevertheless continue to be valid and enforceable as though the invalid or unenforceable parts had not been included in this Agreement and the remaining provisions had been executed by both Parties subsequent to the expungement of the invalid provision.

 

  1. General Terms

This Agreement may be executed in counterparts. Facsimile signatures are binding and are considered to be original signatures.

Time is of the essence in this Agreement.

This Agreement will extend to and be binding upon and inure to the benefit of the respective heirs, executors, administrators, successors and assigns, as the case may be, of each Party to this Agreement.

Neither Party will be liable in damages or have the right to terminate this Agreement for any delay or default in performance if such delay or default is caused by conditions beyond its control including, but not limited to Acts of God, Government restrictions, wars, insurrections, natural disasters, such as earthquakes, hurricanes or floods and/or any other cause beyond the reasonable control of the Party whose performance is affected.

 

  1. Notice to Hirer

This is a hire agreement. You are not buying the Vehicle. Do not sign this Agreement before you read it. You are entitled to a completed copy of this Agreement when you sign it.

SCHEDULE 1: ADDITIONAL CHARGES

Any Vehicle damage recorded on the return, or during the Term of any vehicle hire may be subject to the following charges:

Additional Charge Type

Circumstance

Cost

Administration Charge

If the Hirer incurs a PCN, which is settled by the Owner, subject to clause 6

£30

Collection Charge

If the Hirer is unable or unwilling to return the vehicle to the location 

£400

Door Handle Charge

If the vehicle’s door handles are damaged or not working 

As invoiced

Excess Mileage Charge

Any mileage more than 4,100 miles per month

£0.10 per mile

Failure to Report Charge

If the Hirer has negligently failed to report any incident, fault or damage to the vehicle

£50

Fuel Charge

If the vehicle is returned with less than full tank of fuel

£2,83/L

Key Charge

If the Hirer has lost or damaged one or more of the keys supplied with the vehicle

£400-£900

Puncture Charge

If a tyre is punctured or damaged

£120 per tyre

Late Return Charge

If the vehicle is returned after 20:00 on the agreed return date

£33.43 per day

Smoking Charge

If the vehicle is returned with damage or evidence of smoking tobacco, vaporisers or e-cigarettes

£100

Tool Kit Charge

If the vehicle is returned with a missing, incomplete or damaged tool kit

£150

Tyre/Spare Wheel Charge

If the vehicle is returned with kerb damage to the wheels, or a missing or damaged spare wheel

£100-£400

Valeting Charge

If the vehicle is returned in a condition that requires a professional valet

£75

Windscreen Charge

If the vehicle is returned with a damaged or missing windscreen, window or another glazed panel  

£800

 Please be aware that in certain circumstances of a non-fault incident where a vehicle requires recovering by one of H2O Logistics Ltd vehicle partners, an additional charge in respect of this recovery may apply.

This is to reimburse the actual costs suffered by H2O to the vehicle partner in these circumstances. H2O will, at the earliest possible time, notify you:

  1. If these charges will apply to any incident in which you have been involved;
  2. The amount of the additional charge applicable, as notified to us by the vehicle partner; and
  3. The date at which the additional payment will be due, and any arrangements for payment.

All charges are excluding VAT which will be applied at the applicable rate.

No charge will be applied unless it can be proved that the damage was incurred by the Hirer, or whilst the vehicle was in the care of the Hirer.

The existence and extent of any damage is assessed subject to the reasonable opinion of the Owner, who has exclusive right to apply charges, make good any damage or other appropriate course of action, unless agreed otherwise with the Hirer in writing.

Prices are subject to change, errors and omissions excepted.

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