Tool Hire Terms and Conditions (B2C)

Individuals often choose to forego the expense of buying large numbers of tools. Many seldom frequently undertake building work and DIY. Hire is often the preferred choice.

This template is designed for use by businesses which hire out tools and light plant to individuals (not companies or businesses). It is for use only where the customer of the hire business acts as a consumer as defined in the Consumer Rights Act 2015. 

Detailed terms and conditions have been assembled in this document which govern key factors ranging from hire term and fees to the customer’s use and care of the hired equipment.

In these terms and conditions the hire fees are payable on or before collection of the tools. The customer is given the right to cancel, and there is provision for a full refund of hire fees subject to deduction by the supplier of a cancellation fee where customer cancellation occurs less than a stated period (e.g. 24, 48, 72 hours) before commencement of the hire. 

Customers may damage hired items, whether accidentally or otherwise. Provision is therefore made for an accidental damage waiver, and there is also provision for a refundable security deposit to cover loss or damage where the customer is at fault. Damage (or loss) outside of the accidental damage waiver should be covered by the security deposit. 

However, these provisions need to be considered carefully in view of the following points. These terms and conditions are written for use when dealing with consumer customers. Applicable consumer law constrains the extent to which a supplier may limit or exclude their liability. It also limits a supplier's ability to take and forfeit any amount that the supplier requires as security against loss or damage of items hired and any amount charged for cancellation of the contract by the customer. 

This document contains limits on the supplier's liability (see Clause 14). It also provides for a “Security Deposit” against loss or damage (see Clause 5) and a charge for customer cancellation of an advance booking (see Clause 7). 

Whilst these provisions are intended to comply with the applicable consumer law, users of this template are advised to exercise great care and to take legal advice as to what in the particular circumstances will be legally permissible and enforceable before proceeding. In particular, users will need to focus on the following. 

Firstly, they should consider whether to include Sub-Clause 14.6 (which sets a fixed cap on total liability) and if they do decide to do so so, they should consider whether the proposed amount of the limit under that Sub-clause would be legally permissible and enforceable. 

Secondly, if they wish to include any limits on or exclusions of liability not already included in this document, they should consider whether such additional limits or exclusions would be legally permissible and enforceable. 

Thirdly, they should consider what would be a legally acceptable and appropriate amount of Security Deposit.  

Finally, they should consider whether the cancellation charge (Sub-Clause 7.1.2) would be appropriate and legally permissible and enforceable, and this will involve considering the amount of the charge and also the time at which cancellation occurs - the 24 hour or other period suggested may or may not be appropriate in the particular circumstances. 

However, where the customer of the hire business is not acting as a consumer (i.e. the customer is hiring the tools wholly or mainly for business purposes), we have provided an accompanying alternative set of terms, the Tool Hire Terms and Conditions (B2B).

It is important to note that this document is not designed for use with the hire of heavy plant and machinery. In some cases businesses which supply a wide range of small and large equipment may require separate terms and conditions for different categories. Specific terms and conditions for use with such equipment are also available.

Optional phrases / clauses are enclosed in square brackets. These should be read carefully and selected so as to be compatible with one another. Unused options should be removed from the document.

These Tool Hire Terms and Conditions (B2C) contain the following clauses:

1. Definitions and Interpretation
2. Information About Us
3. The Contract 
4. Hire Term 
5. Security Deposit 
6. Fees and Payment          
7. Cancellation of Advance Bookings
8. Collection, Hire and Return    
9. Use and Care of the Equipment
10. Your Responsibilities     
11. Maintenance   
12. Insurance and Accidental Damage Waiver   
13. Loss and Damage    
14. Liability   
15. How We use your personal information (Data Protection)  
16.  Termination   
17. Events Outside of the Company's Control (Force Majeure) 
18. Communication and Contact Details 
19. Complaints and Feedback 
20. Regulations 
21. Information 
22. Other Important Terms
23. Governing Law and Jurisdiction
[Schedule - Copy of Privacy Notice]  

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