Rights to Recourse Contract for goods from China

[walkies]

Hello, I'm looking for some help please. I need to get Public Liability Insurance for a board game which is being launched in April. The game is 85% cardboard, for aged 7 years upwards and doesnt have small pieces. It is made in China. The Insurance Company I have spoken will only insure me if I have a Rights to Recourse Contact with the manufacturers.

Please can someone help me with where I can get such a contract to send to my manufacturers? Is there a standard template for this type of thing?

Thank you for any help you can give me.

Kind regards Catherine

 

[Gyumri]

If you do a search for "recourse" on this forum you will find some interesting postings.

Or @Frank the Insurance guy may be able to give some assistance.

 

[fisicx]

Agree, talk to @Frank the Insurance guy

 

[Paul Kelly ICHYB]

Speak to @Frank the Insurance guy and other insurers.

In most cases, these recourse agreements are not worth the paper they are written on.

 

[Frank the Insurance guy]

Hi @walkies

Have the insurers asked where you have full rights of recourse against your China supplier, or have they asked specifically for this to be specified in the contract?

In most cases they just want to know that you have the rights of recourse - As long as you do not remove your rights of recourse in the contract and make sure there is no waiver of your rights and you do not provide an indemnity to your supplier, you should be fine.

As @Paul Kelly ICHYB says, where China is concerned these rights of recourse agreements are pretty much irrelevant as they are hard to enforce!

 

[walkies]

Hi @walkies

Have the insurers asked where you have full rights of recourse against your China supplier, or have they asked specifically for this to be specified in the contract?

In most cases they just want to know that you have the rights of recourse - As long as you do not remove your rights of recourse in the contract and make sure there is no waiver of your rights and you do not provide an indemnity to your supplier, you should be fine.

As @Paul Kelly ICHYB says, where China is concerned these rights of recourse agreements are pretty much irrelevant as they are hard to enforce!

Hi Frank

Hi @walkies

Have the insurers asked where you have full rights of recourse against your China supplier, or have they asked specifically for this to be specified in the contract?

In most cases they just want to know that you have the rights of recourse - As long as you do not remove your rights of recourse in the contract and make sure there is no waiver of your rights and you do not provide an indemnity to your supplier, you should be fine.

As @Paul Kelly ICHYB says, where China is concerned these rights of recourse agreements are pretty much irrelevant as they are hard to enforce!

Hello Frank

Thank you for your reply. I am all very new to this and whilst I have a Non-Disclosure Agreement in place with the manufacturer in China and I have worked closely with my contact there, they have provided a written quote for making the components of my Board Game but there is no official 'contract' in place.

I have spoken to the Insurance people I found on Google and they are a brooker who said they will check with the Insurance company as to whether they will insure me with no 'rights to recourse'.

The company in China have agreed that if I send over a contract with this in then they will happily sign it. I just need to know where I can get a standard contract to be able to do this.... or is there not a standard contract?

Any advise or help would be greatly appreciated. If you are able to draw up a contract for me please feel free to email me directly and we can discuss how much this would cost.

Thank you again for your time and help!

Kind regards

 

[Frank the Insurance guy]

there is no official 'contract' in place.

There must be some form of contract - even if it is a purchase order or written agreement on what they are supplying!

I have spoken to the Insurance people I found on Google and they are a brooker who said they will check with the Insurance company as to whether they will insure me with no 'rights to recourse'.

Ask them for a quote on the basis that you have full rights of recourse. In the UK/Europe if you purchase goods from a manufacturer, but have no formal contract, you still retain full rights of recourse against the manufacturer - I am sure this is also the case with a China Manufacturer (although in reality you will have little to no chance of actually enforcing it).

Usually contracts will not explicitly say that you have rights of recourse - they will only say if the opposite is true (ie. you have no rights of recourse or have provided a waiver or indemnity).

If you want a contract drawn up, you need to pay a legal professional and get legal advice.

 

[IanSuth]

you may find @MOIC is a useful member for knowing someone used to creating a contract suitable for both the UK & Chinese parties

 

[MOIC]

There must be some form of contract - even if it is a purchase order or written agreement on what they are supplying!


Ask them for a quote on the basis that you have full rights of recourse. In the UK/Europe if you purchase goods from a manufacturer, but have no formal contract, you still retain full rights of recourse against the manufacturer - I am sure this is also the case with a China Manufacturer (although in reality you will have little to no chance of actually enforcing it).

Usually contracts will not explicitly say that you have rights of recourse - they will only say if the opposite is true (ie. you have no rights of recourse or have provided a waiver or indemnity).

If you want a contract drawn up, you need to pay a legal professional and get legal advice.

Agree with what @Frank the Insurance guy has said above.