Terms & Conditions

Freight Cost Solutions Freight Auditing Agreement Terms and Conditions

 

1) Terms and Conditions

Freight Cost Solutions Pty Ltd and our Business Partners enter into agreements authorising Freight Cost Solutions to exclusively examine and analyse our Business Partners domestic freight invoices, documentation and applicable fees.

 

2) Our Business Partners

Our Business Partners agree to undertake the following:

a) To provide Freight Cost Solutions with all copies of the domestic freight documentation and charges for at least one month; and verify the expenditure for the last financial year, including year to date freight costs for all freight services.

b) To provide a copy of each month’s invoices within seven days of receipt from the provider/s for the duration of the agreement.

c) To sign a letter of authority to enable Freight Cost Solutions Pty Ltd to obtain all pertinent information from service provider/s to enable Freight Cost Solutions Pty Ltd to negotiate with the provider/s on behalf of our Business Partners.

d) Our Business Partners may, at their discretion, select a provider/s for a one to five year contract based on the recommendations of Freight Cost Solutions Pty Ltd and the selection criteria of our Business Partners.

 

3) Freight Cost Solutions Pty Ltd

Freight Cost Solutions Pty Ltd agrees to undertake the following:

a)    To examine and analyse all of our Business Partners freight documentation and rates for a minimum of one month for the purpose of a Benchmark Appraisal and Report.

b)    After consultation with our Business Partners, conduct a tender process and analysis; including a Service Level Agreement and Terms and Conditions Agreement.

c)    To provide a written report with provider/s selection recommendation/s.

d)    To negotiate on behalf of our Business Partners with the preferred provider/s all contractual terms of the agreement between the provider/s and our Business Partners to implement all operational and technological requirements between the provider/s and our Business Partners to ensure the efficient delivery of domestic freight.

e)    To examine, analyse and provide to our Business Partner monthly verification of rates, service levels and terms and conditions for the term of this agreement.

f)    To pro-actively work with Our Business Partners to examine ways of reducing the freight costs for the term of the agreement.

g)    Implement a Customer Support Help Desk for the purpose of managing all help desk queries which are directly related to transport company distribution enquiries and resolution only.

 

4) Recommendation and Reports

a)    Freight Cost Solutions Pty Ltd will indicate areas in which our Business Partners can reduce their costs and shall make recommendations for actions required.

b)    Our Business Partners shall notify their acceptance or rejection of all or any part of a report and the recommendations contained therein within 14 days of the Report date. In the event that our Business Partners  wishes to reject any or all of Freight Cost Solutions Pty Ltd recommendations they shall provide those reasons to Freight Cost Solutions Pty Ltd in writing.

c)    Where our Business Partners implement any recommendations made by Freight Cost Solutions Pty Ltd, within 24 months of such recommendations being made and not withstanding that our Business Partner may have notified Freight Cost Solutions Pty Ltd of the rejection of such recommendations, this implementation shall be deemed to be an acceptance of the recommendations, and our Business Partners shall pay Freight Cost Solutions Pty Ltd all charges due arising from the implementation of such recommendations.

 

5) Charges

The following are agreed for the term of this agreement:

5.1. Benchmark Appraisal:

The Benchmark Appraisal is the initial step in the tender process. In the event Freight Cost Solutions Pty Ltd is successful in obtaining a reduction in our Business Partners present or future domestic freight costs either during the initial audit or as a result of subsequent audits our Business Partners agrees to pay Freight Cost Solutions Pty Ltd:

Percentage of the annual difference between our Business Partners existing rates and the new rates negotiated by Freight Cost Solutions (the Projected Saving) upon completion of the Benchmark Appraisal.

5.2. Request for Tender/Quote Report:

Percentage of the actual annual saving (Actual Savings) after our Business Partners signs with the selected provider/s (the New Provider).

5.3. Monthly Proof of Savings Report:

When our Business Partners commences with the New Provider, Freight Cost Solutions Pty Ltd will calculate the actual monthly saving to our Business Partners by comparing our Business Partners previous rates with the new rates negotiated by Freight Cost Solutions Pty Ltd for a month period (the Actual Monthly Saving).

Each month our Business Partners will pay Freight Cost Solutions Pty Ltd a percentage of the Actual Monthly Saving less a  negotiated percentage of the Projected Saving payments already made by our Business Partners.

 

6) Payment Methods

a)    Payment methods are direct debit, business or bank cheque.

b)    All fees are due and payable 14 days from date of invoice.

 

7) Goods & Services Tax

The charges quoted do not include Goods and Services Tax (“GST”).

 

8) Confidentiality

a)    Freight Cost Solutions Pty Ltd agrees to maintain in strict confidence all information received from our Business Partners concerning its Domestic freight rates, contracts and methods of conducting business.

b)    Our Business Partners agrees to maintain in strict confidence all information, including verbal and written reports, received from Freight Cost Solutions Pty Ltd with respect to savings and recommendations, and will not divulge contents of same to any third party, including associated, parent or third party or subsidiary companies.

 

9) Liability

Freight Cost Solutions Pty Ltd accepts no liability for the veracity of documentation provided by provider/s, product damage, lost or stolen products or lapsed service levels or Consequential Loss pertaining to any of Freight Cost Solutions Pty Ltd Services.

Freight Cost Solutions Pty Ltd acknowledges responsibility for the assessment of prices and service levels as indicated in documentation received from our Business Partners and prospective provider/s only.