Fibre Contract (business to business) - failure to render services - question

blurrr88

Member
Joined
Jul 1, 2011
Messages
10
Hey guys.

We have a 2 year contract with a fibre provider to supply fibre internet to our business.
We had to move premises in the middle our normal lease period (due to sale), we then came to a written agreement with the fibre provider whereby we would pay an additional installation fee and the service would be moved to our new office. There has been a delay of 3 full weeks now and no sign of installation or ETA from the provider. Although we paid the fee a month ago. The provider is continuing to invoice us even though we don't have service and we have not had service for a full invoice month. They have committed to dates and have simply failed to install the line.

Does anyone know if this falls within the ambit of CPA protection or another recourse that we could turn to without needing to take it to the courts/arbitration.

Thanks,
 

Wasabee!

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Apr 5, 2012
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5,319
Follow the correct channels (seems you have done) and then name and shame.
 

DJ...

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Jan 24, 2007
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70,287
CPA is for consumer purposes. Yours is a contractual issue. Your contract should make provision for dispute resolution, or arbitration. You need to raise a formal dispute or set in motion arbitration proceedings in accordance with your contract. But you must attempt to resolve using normal commercial channels first.

Remember that moving a business fibre line is no different to installing a brand new line. This can take anywhere from a few weeks to a few months depending on feasibility and your service provider, and their providers. Your provider typically is also under no obligation to move the line, although if they have committed to a date and failed to provide then you need to enforce the terms of your specific agreement.

Forget the CPA - it doesn't cover a B2B transaction. Your contract, and associated company law cover your agreement...
 

MickeyD

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Oct 4, 2010
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139,117
CPA is for consumer purposes. Yours is a contractual issue. Your contract should make provision for dispute resolution, or arbitration. You need to raise a formal dispute or set in motion arbitration proceedings in accordance with your contract. But you must attempt to resolve using normal commercial channels first.

Remember that moving a business fibre line is no different to installing a brand new line. This can take anywhere from a few weeks to a few months depending on feasibility and your service provider, and their providers. Your provider typically is also under no obligation to move the line, although if they have committed to a date and failed to provide then you need to enforce the terms of your specific agreement.

Forget the CPA - it doesn't cover a B2B transaction. Your contract, and associated company law cover your agreement...

Don't forget the possibility of wayleaves...
 

DJ...

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Jan 24, 2007
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Don't forget the possibility of wayleaves...

Which in and of itself would make a "few weeks" commitment an absurd thing to risk promising to a client. The only time one can realistically guarantee a faster turnaround is if the building already has a fibre tenant, on the same last mile provider, and is in a multi-tenant environment, and the last mile provider made provision for multi-tenant expansion in their initial fibre build. Lots of things have to fall in line together to make this a reality, or to make such a commitment reasonable.

Sounds to me like your provider bullschitted you for the sake of securing or maintaining your contract, or to ensure no sourness on your part when you moved and realised you are still liable for payment to the service provider.

Remember one thing: service providers currently subsidise a lot of the capital expenditure on new fibre builds for business customers. This subsidy is ammortised over a potion of your contract period. This is why the contracts exist in the first place, and is unfortunately why your moving to new premises will not mean you are no longer liable for payment of said fibre connection...
 

blurrr88

Member
Joined
Jul 1, 2011
Messages
10
Hey Guys. Thanks for the replies.
The fibre is being moved into a building that already has fibre with the exact same provider which is why they were happy to commit to a short ETA. They just refuse to move quickly because the contract seems to be so incredibly one sided to their favour. Literally all they need to do is add another Mikrotik Cloud router to the existing cabinet where there are already SFP ports available.
 
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