The Deal You Make

People doing business can make an agreement about almost anything. If a problem occurs one party may be entitled to a remedy because the other side didn't hold up their end of the deal. Make sense so far? Of course it does.

Not so fast. What happens when an agreement is made that does not contain important information, or is based on differing assumptions? Nothing good, I assure you. This is often the only time that people examine closely what they agreed to in the first place. Consider the following:


Hadley v. Baxendale 1854
Mr. Hadley, a mill owner in jolly old England, needed to ship a certain part away for repairs, and contracted with Mr. Baxendale for the transport. The part failed to arrive at the repair shop by the agreed date, and Mr. Hadley sued for lost profits because his mill was idle in the meantime. Mr. Baxendale maintained he was not responsible for the "consequential damages" of the delay because he did not know, and was not told, that the mill would be idle.

The Court of Exchequer Chamber, led by Baron Sir Edward Hall Alderson, (picture left), found on appeal that Mr. Baxendale was not liable for the "special" damages because they were not contemplated within the original agreement. You might call it the "I don't have a crystal ball" defense.

So much for legal trivia; but I will confess that Mr. Baxendale comes to mind from time to time in my dealings with printing clients. Here are some issues which sometimes lead to misunderstanding, (or what I refer to as "agreement via post-mortem"). Please note that these are all firsthand accounts of actual events.

QUANTITY

• Customer Said: "I need 10,000".
• Customer should have said: "My mailing list has 9999 names.
• Discussion: Be aware that, on occasion, print runs come up a little short. Standard practice is to pro-rate the invoice amount down by the quantity short, (up to about 5% at which point we need to back to press). Many people think this is just hogwash, but our entire industry disagrees. This tiny bit of flexibility saves the print-buying public an enormous amount of money because the alternative would be to overrun every single job.
• Suggestion: If your quantity is critical specify "No Unders".

PROOFING

• Customer Said: "I have to make changes but I don't need to see another proof".
• Customer should have said: "Don't make another proof because I don't want to pay for it, and I'm too busy to look at it anyway. If anything goes wrong, however, I'll make you print the job over again at no cost".
• Discussion: When you choose not to see a revised proof you are deputizing someone else to check the work, but the responsibility for approval stays with you and you will have to live with their decision. If you are unwilling to take that chance why would you expect the printer to do so?
• Suggestion: When in doubt go for the proof.

USE

• Customer Said: "I need some stickers".
• Customer should have said: "I need some parking stickers for outdoor use, (in the Florida sun and rain), which need to last for an academic year without peeling or fading.
• Discussion: It's almost impossible to give the printer too much information about how your printed item will be used. Chances are that the more you tell them, the more the printer will be able to suggest appropriate stock, inks, and finishing.
• Suggestion: In addition to verbal specs, a sample you can provide, which would meet your needs, is invaluable.

DUE DATE

• Customer Said: "Can I get them by Friday"?
• Customer should have said: "I need them on Friday at noon, when my Chairman will be at the airport boarding a plane to New York. If they are not in his briefcase I'll lose my job".
• Discussion: He really needed them Thursday at noon, for sure.
• Suggestion: This one needs no elaboration.

PAYMENT

• Customer Said: Well, nothing, actually.
• Customer should have said: (and eventually did) "If this campaign isn't successful we won't have the money to pay you for the printing".
• Discussion: Beyond the obvious, let me add there is nothing more aggravating than having a customer pay slowly for a rush job.
• Suggestion: This one also needs no elaboration.

DELIVERY

• Customer Said: "I need them next Wednesday".
• Customer should have said: (and eventually did) "I need them next Wednesday in Orlando".
• Discussion: Final delivery is the most often overlooked piece of information in a printing order. Be aware that any loose end in the order opens the door for mistakes and misunderstandings later.
• Suggestion: State your requirements clearly regarding when they are needed and where. It's not uncommon for the cost of express freight to meet or exceed the actual cost of the printing if something goes wrong.

Remember: Mr. Baxendale did not know the mill would be closed because Mr. Hadley never told him. If Mr. B. had bargained for, and accepted, that "special risk" I'll bet the part would have arrived on time. It's all about the deal you make.

Many people unknowingly withhold information because the prospect of trouble intimidates them, and the result is that they neglect their obligations as a buyer. By the same token, many printers take it for granted that every print buyer is an expert, and fail to ask questions which would clarify what needs to happen. In the middle, between these two limited perspectives, is where the problems live.

Remember: none of these issues are difficult if they're discussed before the fact. Get your cards out on the table and ask questions until you're satisfied. Don't let your project become an episode of CSI: Printshop.

With Best Wishes,

Hugh Butler

Your Friend in the Printing Business