When is a rate cut not a rate cut ?

[ASB]

Contracts normally have a condition that states 'error or omissions notwithstanding' or 'force majeur' (sp?).

The agent could claim the rate increase is a clear error at a time when all other contractors with the same client were being informed of a rate cut.

They could also similarly claim force majeur in that the administrative error of the increase was beyond their control as a slip of the pen.

Force Majeure is a different thing. But you are quite right in terms of the E & OE. It seems to me there is an audit trail justifying and documenting the rate cut etc and nothing to document the changed condition of the upward rate. I would think that the chance of making the wrong rate stick are close to nil.

But, as was pointed out if the agency has made such an error maybe they won't notice anyway. Personally I would keep quite, bank what I cold be be prepared to pay the excess back when asked.

Of course if the agency review this board this may give them an incentive to do some checking of recent contracts :-)