Risky toolmaking projects: How to protect yourself when working with a new client

In practice, situations may arise where a supplier starts work on the basis of incompletely agreed terms, delivers some of the outputs or commits its own resources without sufficient contractual and payment safeguards. Such cases may subsequently lead to disputes over the scope of work, payment of invoices, refunds of advance payments or ownership of technical documentation.

We therefore recommend that toolmakers, suppliers of technical solutions and plastics processors exercise caution when dealing with new or previously unverified business partners and structure their cooperation so that both parties to the business relationship are protected.

In particular, we consider it advisable to check the business partner before accepting an order, have a written purchase order or contract with a clear scope of work, agree on advance and interim payments, establish precise rules for handing over documentation, moulds or other outputs, and archive business correspondence, changes to specifications and handover confirmations.

The aim of this notice is to encourage caution in business relationships and prevent situations that may lead to financial losses or commercial disputes. In the event of a specific dispute, we recommend addressing the matter individually through legal channels.