& Contract – updated review process
Governance
January 2025
Revised process will ensure the following;
- confidential information sharing with potential suppliers
- formal contract review process to ensure harmonisation of terms
- correctly executed supplier agreements
- central repository of contracts in effect
- tracked contract end dates and reminders
▪ Prior to sharing information with a potential supplier (new or old) there should be a NDA
▪ Governance holds the company approved NDA template
Step 1
Email contracts@lomond.group with the heading: NDA request and detailing the purpose of the NDA, supplier name, company number and company address
Step 2
Step 3
A completed NDA in PDF format will be shared with you
Check the document before forwarding on to the supplier for signature
Information regarding our business not already in the public domain should not be shared until an NDA is executed and in effect
The preference is for Lomond’s template NDA to be used, not the suppliers
Any changes to the Lomond template NDA to be shared with contracts@lomond.group for review
If ever in doubt if an NDA is required, please put in a request regardless
Now a contract or engagement letter can be drafted following the steps below
Contract owner to carry out the first read of the contract and highlight any clauses they have concern with
Contract owner to prepare a brief summary consisting of:
1) supplier
2) cost and method of payment
3) term & termination
4) governing jurisdiction
5) concerns
Send your summary, a copy of the contract and the latest terms of business to contracts@lomond.group
Material contracts of significant value £250k and above require ICG & board approval
Contracts above a value of £10k will need to be approved by the C-Suite
Emails from contracts@lomond.group should not be shared externally – purely for internal use
A second review can be completed if the supplier provides additional information which is material
Our review does not equal a green light to sign or enter a contract = line manager approval required
Only a Companies House director can sign a contract on behalf of any entity OR give express authority in writing for an employee to sign on behalf of any entity
Autorenewal clauses – we don't do these! We will always insist these are struck out.
Payment terms – should be standard 30-day payment terms from date of invoice, not by direct debit
If a contract is going to cover all subsidiaries then the company name to use is Chianti Holdings
Ensure there is a clear start date and term specified, plus a break or termination date if applicable
There must be a clearly explained method to terminate – specific email address and postal address for notice to be served to as well as a clearly explained notice period
Once the contract or engagement letter signed by all parties you must send a copy to contracts@lomond.group
The final version will be uploaded and stored in Lomond's contract repository platform along with any previous version of agreements with the same supplier
Even if you do not require a review of the contract, please still share the signed contract with us on contracts@lomond.group
Contracts centrally stored are tracked with automated reminders of expiry or anniversary dates for review