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I have no hesitation in recommending Paul at Abacus Accountancy, he has always provided a professional and expert service. I have known him for many years and have always found him helpful, friendly and reliable.
Each of our letters of engagement is tailored to the client and their respective requirements, but here is a typical example.
Example letter of Engagement
In accordance with the recommendations of our professional bodies, this letter confirms the basis on which we will provide services to you in order to avoid any misunderstandings of our respective responsibilities.
1. NATURE OF SERVICES
1.1 ANNUAL ACCOUNTS - SOLE TRADERS/PARTNERSHIPS
Your responsibility for the preparation of accounts
1.1.1You have undertaken to make available to us, as and when required, all the accounting records and related financial information necessary for the compilation of the accounts. You will make full disclosure to us of all relevant information. The accounts need to be approved by you before we are able to issue our report.
1.1.2 You are responsible for ensuring that, to the best of your knowledge and belief, financial information, whether used by the business or for the accounts, is reliable. You are also responsible for ensuring that the activities of the business are conducted honestly and that its assets are safeguarded, and for establishing arrangements designed to deter fraudulent or other dishonest conduct and to detect any that occur.
1.1.3 You are responsible for ensuring that the business complies with the laws and regulations applicable to its activities, and for establishing arrangements designed to prevent any non-compliance with laws and regulations and to detect any that occur.
Our responsibilities for the preparation of accounts
1.1.4 We will compile your annual accounts based on the accounting records and the information and explanations given to us by you. We shall prepare draft annual accounts for your approval.
1.1.5 We will advise you as to the adequacy of your records for preparation of the annual accounts and make recommendations for improvements which we consider necessary. We shall not be responsible if, as a result of you not taking our advice, you incur losses or penalties.
1.1.6 We will use reasonable skill and care in the preparation of your accounts but will not be responsible for errors arising from incorrect information supplied by you.
1.1.7 We will report, with any variations that we consider may be necessary, that in accordance with your instructions and in order to assist you to fulfil your responsibilities, we have compiled
without carrying out an audit, the accounts from your accounting records and from the information and explanations supplied to us.
1.2 ANNUAL ACCOUNTS - LIMITED COMPANIES
Responsibilities of Directors
1.2.1 As director of the company, under s386 of the Companies Act 2006 you are responsible for ensuring that the company maintains proper accounting records and for preparing accounts set out in s477 of the Act, and for determining whether, in respect of the period, the exemption is not available for any of the reasons set out in section 476.
1.2.2 You will keep records of sales invoices, purchase invoices, receipts and payments, together with any other documents relating to the company’s transactions and activities. It will also be necessary for you to provide a record of stock at the company’s year end.
1.2.3 A private company is required to file its accounts at Companies House within 10 months of the year end. The company will be liable to a fine if it fails to do so. In order to avoid this we will produce statutory accounts, suitable for filing, within the required period, provided all your records are complete and presented to us within 3 months of the year end, and all subsequent queries are promptly and satisfactorily answered.
1.2.4 We have agreed to act as your agent and to submit the accounts to the Registrar of Companies.
1.2.5 You have agreed to complete all the returns required by law, for example, the annual return and the notification of changes in directors. We shall, of course, be pleased to advise you on these and any other company secretarial matters if requested.
Responsibility of the accountants
1.2.6 In relation to the accounts, we will prepare the company’s accounts on the basis of the information that is provided to us. We will also draft the accounts in accordance with the provisions of the Companies Act, and related Accounting Standards for approval by the Board.
1.2.7 Should our work lead us to conclude that the company is not entitled to exemption from an audit of the accounts, or should we be unable to reach a conclusion on this matter, then we will advise you of this fact.
1.2.8 You have instructed us to prepare your financial statements for the year ended …………… and subsequent years.
1.2.9 You are responsible for the detection of irregularities and fraud. We would emphasise that we cannot undertake to discover any shortcomings in your systems or any irregularities on the part of your employees or others, although we will advise you of any such circumstances that we encounter in preparing your accounts, unless prohibited from doing so by the Anti Money Laundering Legislation.
1.2.10 We will report, with any variations that we consider may be necessary, that in accordance with your instructions and in order to assist you to fulfil your responsibilities, we have compiled, without carrying out an audit, the accounts from your accounting records and from the information and explanations supplied to us.
1.2.11 We have a professional duty to compile accounts which conform to generally accepted accounting principles. Furthermore, the accounts of a limited company are required to comply with the Companies Act 2006 and applicable accounting standards. 1.2.12 Where we identify that the accounts do not conform to accepted accounting principles, or if the accounting policies adopted are not immediately apparent, this will be made clear in our report, if it is not clear in the accounts.
1.3 PERSONAL TAX – INDIVIDUALS AND SOLE TRADERS
1.3.1 Your spouse is legally responsible for his/her own tax affairs and should be dealt with independently. However, if both spouses sign this letter you agree that we can disclose to your spouse such details of your financial affairs as are required to consider your combined tax position.
1.3.2 We will be pleased to act as your personal tax advisers in the UK with effect from ……………………….
1.3.3 We will prepare your personal income tax and capital gains tax return together with all supporting schedules and prepare/check HMRC’s calculation of your self-assessment of tax and Class 4 National Insurance contributions.
1.3.4 We will forward to you your tax return form with tax computations for your approval and signature. Once the return has been approved and signed by you and returned to us, we will submit it with the computations to HMRC. You authorise us to file the return electronically under HMRC ‘File by Internet’ Service.
1.3.5 We will advise you as to amounts of tax and National Insurance contributions to be paid and the dates by which you should make the payments, including payments on account and the balancing payment, and if appropriate we will initiate repayment claims when tax and national insurance contributions appear to have been overpaid.
1.3.6 We will deal with HMRC regarding any amendments required to your return and prepare any amended returns which may be required.
1.3.7 We will advise as to claims and elections arising from the tax return and from information supplied by you and, where instructed by you, we will make such claims and elections in the form and manner required by HMRC.
1.3.8 You have asked us to undertake all correspondence with HMRC on your behalf. To avoid any problems would you please send to us any forms or correspondence received from HMRC as soon as you receive them. In particular would you please ensure that no payments are made to HMRC without our confirmation that the demands are correct.
1.3.9 HMRC has powers to charge both interest and penalties if there is a delay in submitting a tax return. Such charges are automatic if the tax return is submitted after 31st January following the end of the tax year, or if any payments are made after the respective due dates.
1.3.10 It is therefore important that all details required for the preparation of your tax return are forwarded to us as soon as possible after 5th April each year and by 30th June at the latest. If the information is received after that date, we will not accept responsibility for any penalties or surcharges charged by HMRC.
1.3.11 HMRC audits a number of tax returns each year, many of these audits are the result of a random selection. Assistance in respect of such an audit beyond the answering of straightforward queries regarding entries on the tax return is additional work and will result in separate charges. We will keep you fully informed before undertaking any extra work in respect of such an audit.
1.3.12 We will provide our professional services outlined in this letter with reasonable care and skill. However, we will not be responsible for any losses, penalties, surcharges, interest or additional tax liabilities arising from the supply by you or others of incorrect or incomplete information, or your or others’ failure to supply any appropriate information or your failure to act on our advice or respond promptly to communications from us or the tax authorities.
1.3.13 You agree that we can approach such third parties as may be appropriate for information that we consider necessary to deal with your affairs.
1.3.14 Please sign and return the enclosed HMRC form 64-8 which authorises HMRC to send us copies of formal notices. In practice, HMRC will treat this as authority to correspond with us, in which case they will not correspond with you except to the extent that they are formally required to do so. However, this authority does not apply to all HMRC correspondence, and even where it does, HMRC sometimes overlook it. You should therefore always send us the originals or copies of all communications you receive from HMRC.
1.4 PARTNERSHIP TAX
1.4.1 We will prepare the income tax and capital gains tax computations based on the partnership accounts from the accounting records and other information and explanations provided by you.
1.4.2 We will prepare the firm’s annual partnership return, including the partnership statement of total income, gains, losses, tax credits and charges of the firm for each period of account ending in the return period.
1.4.3 We will forward to you the income tax and capital gains tax computations and the tax return for your approval and signature. Once the return has been approved and signed by you and returned to us, we will submit it, with the accounts and computations, to HMRC. You authorise us to file the return electronically under HMRC ‘File by Internet’ Service.
1.4.4 We will advise all the partners who were partners of the firm during the period of their respective shares of the firm’s total income, gains, losses, tax credits and charges in order that they are able to file their personal self-assessment tax returns within the relevant time period.
1.4.5 We will deal with HMRC regarding any amendments required should the partnership self-assessment tax return be challenged.
1.4.6 We will advise as to claims and elections arising from the tax return and from information supplied by you and, where instructed by you, we will make such claims and elections in the form and manner required by HMRC.
1.4.7 We will deal with all communications relating to the partnership return addressed to us by HMRC or passed to us by you. However, if HMRC choose the partnership tax return for enquiry, this work will be the subject of a separate assignment and we will seek further instructions from you. Assistance in respect of such an enquiry beyond the answering of straightforward queries regarding entries on the tax return is additional work and will result in separate charges. We will keep you fully informed before undertaking any extra work in respect of such an enquiry.
1.4.8 You have asked us to undertake all correspondence with HMRC on the partnership’s behalf. To avoid any problems would you please send to us any forms or correspondence received from HMRC as soon as you receive them.
1.4.9 HMRC have powers to charge both interest and penalties if there is a delay in submitting a tax return. Such charges are automatic if the tax return is submitted after 31st January following the end of the tax year. For partnership penalties, the amount due is multiplied by the number of partners. Delays in submitting the partnership return may also have an effect on the returns of all the partners, with the possibility of penalties, interest and surcharges being payable by each individual partner.
1.4.10 It is therefore important that all details required for the preparation of your tax return are forwarded to us as soon as possible after 5th April each year and by 30th June at the latest. If the information is received after that date, we will not accept responsibility for any penalties or surcharges charged by HMRC.
1.4.11 You agree that we can approach such third parties as may be appropriate for information that we consider necessary to deal with your affairs and undertake to authorise such third parties to communicate directly with us.
1.4.12 Please sign and return the enclosed HMRC form 64-8, which authorises HMRC to send us copies of formal notices. In practice, HMRC will treat this as authority to correspond with us, in which case they will not correspond with the partnership except to the extent that they are formally required to do so. However, this authority does not apply to all HMRC correspondence, and even where it does, HMRC sometimes overlook it. You should therefore always send us the originals or copies of all communications you receive from HMRC.
1.5 CORPORATION TAX
1.5.1 We will prepare, in respect of each accounting period of the company, a computation for corporation tax purposes adjusted in accordance with the provisions of the Taxes Acts. We will also prepare the corporation tax return (form CT600) required under the Corporation Tax Self Assessment regulations. The corporation tax return, together with the supporting corporation tax computations, will be sent to you for approval and signature prior to submission to the Inspector of Taxes.
1.5.2 It should be recognised that in law a taxpayer cannot contract out of his fiscal responsibilities and that computations and return forms are prepared by us as agent for the company. You are legally responsible for making correct returns and for payment of tax on time. If we ask you for information to complete the tax return and it is not provided within the time-scale requested, so that the preparation and submission of the return are delayed, we accept no responsibility for any penalty or interest that may arise.
1.5.3 We will advise you of the corporation tax payments to which the company will be liable, together with the due date of payment. You must inform us immediately if the company pays or receives any interest or makes any other payment, or transfers any asset to any shareholder.
1.5.4 Where necessary we will deal with any queries raised by the Inspector of Taxes and negotiate with the Revenue on any question of taxation interest or penalties which may arise.
1.5.5 To enable us to carry out our work you agree:
(a)to make a full disclosure to us of all sources of income, charges, allowances and capital transactions and to provide full information necessary for dealing with the company’s affairs. We will rely on the information and documents being true, correct and complete;
(b)to respond quickly and fully to our requests for information and to other communications from us;
(c)to provide us with information in sufficient time for the company’s self-assessment tax return to be completed and submitted by the due date. In order to do this, we need to receive all relevant information by 3 months from the end of the company’s accounting period each year; and
(d)to forward to us on receipt copies of all statements of account, letters and other communications received from HMRC to enable us to deal with them as may be necessary within the statutory time limits.
1.5.6 You agree that we can approach such third parties as may be appropriate for information that we consider necessary to deal with your affairs and undertake to authorise such third parties to communicate directly with us.
1.5.7 Please sign and return the enclosed HMRC form 64-8, which authorises HMRC to send us copies of formal notices. In practice, HMRC will treat this as authority to correspond with us, in which case they will not correspond with you except to the extent that they are formally required to do so. However, this authority does not apply to all HMRC correspondence, and even where it does, HMRC sometimes overlook it. You should therefore always send us the originals or copies of all communications you receive from HMRC.
1.5.8 We will be pleased to advise on any other taxation matters that may be referred to us and would strongly encourage you to approach us before entering into any complex or unusual transactions in order that we can assess their tax implications.
1.6 PAYROLL PREPARATION, P.A.Y.E. AND N.I.
Payroll and year end returns
1.6.1 In order for us to prepare your payroll and year end returns we will require the following information from you:
(a)Personal details of all employees (i.e., name, NI number, home address, etc.).
(b)All P45s received by you.
(c)If any casual labour is taken on, you are required to operate P46 procedures.
(d)Completed P46 forms should be passed to us for processing.
(e)Notification within two weeks of any employee who is ill for four or more calendar days, including weekends, bank holidays etc. This will enable us to operate statutory sick pay for you.
(f)Notification of any employee who becomes pregnant. This will enable us to operate statutory maternity pay.
(g)Details of any money or benefits made available to employees by you or by a third party through you.
(h)Hours worked, rates of pay, bonuses etc.
(i)Notification of employees engaged by you or leaving your employment.
(j)Any notice of coding received by you.
1.6.2 The end of year payroll returns must be received by HMRC by 19th May following the end of the tax year otherwise penalties will be levied. There may also be interest payable if the final tax and National Insurance payment, due by 19th April following the end of the tax year, is late. We cannot guarantee to have the returns etc. completed in time to meet this deadline unless we have all the relevant information within five working days of the end of the tax year.
1.6.3 We will assist in the preparation and submission of PAYE returns as required by the authorities concerned. However, it should be understood that our appointment as your agent does not absolve you from your statutory responsibilities. We would draw your attention to the strict rules and time limits for the submission of such returns and the substantial penalties which may arise if these are not observed. It is therefore essential that we receive full information from you promptly to enable us to ensure that the returns are made on a timely basis. Completed returns will be sent to you for approval and signature prior to submission to HMRC.
P11D benefits for directors/officers and higher paid employees
1.6.4 You have asked us to prepare forms P11D for your approval. To ensure these forms are correctly prepared we will require details of all benefits, perks or reimbursed expenses received by the directors/officers/higher paid employees. Note: A higher paid employee is someone who received (at the current level) at least £8,500 p.a. including the taxable value of benefits, perks and reimbursed expenses.
1.6.5 There are penalties for the late submission of forms P11D. In order to avoid these, you must ensure that we receive complete and accurate details of all benefits and expenses for the tax year (NB: not accounts year) within 14 days of the end of the tax year.
Subcontractors
1.6.6 We have agreed to be responsible for operating the Construction Industry Scheme for the subcontractors you engage. In order for us to do this, we will require the following information from you:
(a)written confirmation that you have inspected the registration card (CIS 4) or tax certificate (CIS 5 or 6) for each subcontractor; and
(b)details of any own materials used.
1.6.7 As detailed above, we have agreed to operate your payroll/P11D/subcontractors’ system. We can also offer you advice in the following related areas:
year end returns P14/P60 and P35;*
casual labour P46;*
subcontractors;*
benefits for employees and directors.
1.7 VAT RETURNS
1.7.1 You have asked us to undertake the completion of your VAT returns. We cannot be held responsible for any penalties or default surcharges arising from the late submission of VAT returns. However, we will endeavour to meet the relevant deadlines if we receive all the company’s VAT records within 14 days of the end of the VAT return period. You have undertaken that you will ensure that:
(a)all relevant VAT records are forwarded to us within 14 days of the end of the VAT return period;
(b)valid VAT invoices are received for all payments where VAT is being reclaimed;
(c)the VAT rating of supplies is correctly dealt with, i.e. between positive and zero rates and exempt supplies;
(d)we are notified in writing of any positive-rated own consumption;
(e)any input VAT on non-business expenditure is clearly marked on supporting invoices;
(f)we are notified each quarter of any payments to or for the benefit of directors or staff for fuel used for private mileage, together with the business mileage for each such person, for each quarter;
(g)all supplies made by the business are shown in the records made available to us.
1.7.2 It should be understood that our appointment as your agent does not absolve you from your statutory responsibilities. We would draw your attention to the strict rules and time limits for the submission of such returns and the substantial penalties which may arise if these are not observed. It is therefore essential that we receive full information from you promptly to enable us to ensure that the returns are made on a timely basis.
1.8 MANAGEMENT ACCOUNTS
1.8.1 We understand that you require us to prepare the quarterly management accounts of your business for the quarter ended ………………………. and subsequent quarters.
1.8.2 This involves us in completing the writing up of your books and records, insofar as they are incomplete when presented to us, from the information and explanations supplied to us and preparing draft accounts there from for your approval.
1.8.3 We understand that you have agreed that you will be responsible for:-
(a)maintaining records of all receipts and payments of cash;
(b)reconciling cash book balances monthly with the bank statements;
(c)posting and balancing the purchase and sales ledgers;
(d)extracting a detailed list of ledger balances; and
(e)you will also provide estimates of any stocks at the end of each period.
1.8.4 You understand that we will not be carrying out an audit and accordingly will not verify the assets and liabilities of the business, nor the items of expenditure and income. To carry out an audit would require additional work to comply with generally accepted auditing standards which we are not authorised to carry out.
1.8.5 We would emphasise that we cannot undertake to discover any shortcomings in your systems or any irregularities on the part of your employees or others, although we will advise you of any such circumstances that we encounter in preparing your accounts.
1.8.6 The accounts are prepared for your exclusive use within your business. They should not be shown to any other party without our prior consent. To ensure that anyone reading the accounts is aware that we have not carried out an audit, we will annex to the accounts a short report. This report must remain attached to any accounts shown to any other parties.
1.8.7 The accounts are not suitable for submission within the self-assessment tax return, or for summary thereon.
1.9 MAINTAINING ACCOUNTING RECORDS
1.9.1 It is agreed that we should carry out the following accounting and other services:
(a)keep the records of receipts, payments and balances;
(b)reconcile the balances monthly with the bank statements;
(c)post and balance the purchase and sales ledgers;
(d)extract a detailed list of ledger balances;
(e)complete the postings to the nominal ledger; and
(f)prepare the accounts for approval by yourselves.
1.9.2 You have agreed that you will prepare details of the annual stocktaking and work in progress, suitably priced and extended in a form which will enable us to verify the prices readily by reference to suppliers’ invoices;
1.9.3 You are responsible for the detection of irregularities and fraud. We would emphasise that we cannot undertake to discover any shortcomings in your systems or any irregularities on the part of your employees or others, although we will advise you of any such circumstances that we encounter.
1.10 OTHER SERVICES AND INVESTMENT ADVICE
1.10.1 We will be pleased to advise on any other taxation matters referred to us and would strongly encourage you to approach us before entering into any complex or unusual transactions in order that we can assess their tax implications.
1.10.2 Investment business is regulated under the Financial Services Act 1986 and the Financial Services and Markets Act 2000. We are not licensed under these Acts.
2. Anti Money Laundering Legislation
2.1 All accountants and tax advisers must comply with onerous duties imposed by the Proceeds of Crime Act 2002, the Terrorism Act 2000 and the Money Laundering Regulations 2007 (the “Anti Money Laundering Legislation”), which are intended to inhibit the activities of terrorists and other criminals by denying them access to technical expertise. If we fail to perform these duties, we risk imprisonment.
2.2 Before we accept your instructions, we may need to obtain ‘satisfactory evidence’ to confirm your identity. In certain circumstances, we may need to obtain evidence confirming the identities of third parties, the source of any funds or other property, the purpose of any instructions or any other matter. We may also need to obtain such evidence after we have begun to act on your instructions.
2.3 We assume that our clients are honest and law abiding. However, if at any time, there appear to be grounds to suspect (even if we do not actually suspect) that your instructions relate to ‘criminal property’, we are obliged to make a report to the National Criminal Intelligence Service (“NCIS”), but we are prohibited from telling you that we have done so.
2.4 In such circumstances, we must not act on your instructions without consent from NCIS. If NCIS do not refuse consent within 7 working days we may continue to act. If NCIS issue a refusal within that time, we must not act for a further 31 days from the date of the refusal.
2.5 ‘Criminal property’ is property in any legal form, whether money, real property, rights or any benefit derived from criminal activity. It does not matter who carried out the criminal activity or how removed the property is from the original crime. Even if you are honest in your dealings, if your property represents a benefit from someone else’s crime, we must still make a report.
2.6 Activity is considered ‘criminal’ if it is a crime under UK law, no matter how trivial, and whether carried out in the UK or abroad. For example, tax evasion is a criminal offence but an honest mistake is not.
3. Client monies
3.1 We may, from time to time, hold money on your behalf. Such money will be held in trust in a client bank account, which is segregated from the firm’s funds.
3.2 If the total sum of money held on your behalf exceeds £5,000 for a period of more than 2 months, or such sum is likely to be held for more than 2 months, then the money will be placed in an interest-bearing client bank account. All interest earned on such money will be paid to you. Subject to any tax legislation, interest will be paid gross.
3.3 If there are grounds to suspect (even if we do not actually suspect) that any monies held in a client account is derived directly or indirectly from any criminal activity whatsoever, we may not release such monies until we receive permission to do so from NCIS.
4. Fees
4.1 Unless otherwise agreed, our charges are computed on the basis of fees for the time spent on your affairs, which depends on the levels of skill and responsibility involved, and disbursements incurred in connection with the engagement. If work is required which is outside the scope of this letter, for example dealing with Inland Revenue enquiries into the tax return, then this will be a separate engagement for which additional fees will be chargeable. We will issue invoices upon completion of our duties for the tax period of engagement. We will add value added tax, if applicable, at the current rate.
4.2 Our invoices are payable on presentation. We understand and will exercise our statutory right to claim interest at a rate of 25% and compensation for debt recovery costs under the late payment legislation if we are not paid according to agreed credit terms. All legal costs will be bourne by you.
4.3 We may terminate our engagement and cease acting if payment of any fees billed is unduly delayed. However, it is not our intention to use these arrangements in a way which is unfair or unreasonable.
5. Commissions or other benefits
5.1 In some circumstances, commissions or other benefits may become payable to us in respect of introductions to other professionals or transactions we arrange for you.
5.2 You agree that we may retain any such commissions.
6. RETENTION OF RECORDS
6.1 During the course of our work we will collect information from you and others acting on your behalf and will return any original documents to you following preparation of your return. You should retain them for seven years from the 31st January following the end of the tax year. This period may be extended if the Inland Revenue enquire into your tax return.
6.2 Whilst certain documents may legally belong to you, we intend to destroy correspondence and other papers that we store which are more than seven years old, other than documents which we consider to be of continuing significance. You must tell us in writing if you require retention of a particular document.
6.3 In the event of non-payment of our fees for services rendered, we may exercise a particular right of lien over the books and records in our possession and withhold the documents until such time as payment of our invoice is received in full.
7. REGULATORY REQUIREMENTS
We reserve the right to disclose our files to regulatory bodies in the exercise of their powers.
8. QUALITY OF SERVICE
8.1 We aim to provide a high quality of service at all times. If you would like to discuss with us how our service could be improved or if you are dissatisfied with the service you are receiving please let us know.
8.2 We undertake to look into any complaint carefully and promptly and to do all we can to explain the position to you. If we do not answer your complaint to your satisfaction you may take up the matter with our regulatory bodies.
8.3 We will observe the Code of Conduct of our regulatory bodies and accept instructions to act for you on the basis that we will act in accordance with that Code.
9. Applicable law
This engagement letter is governed by, and construed in accordance with English law. The Courts of England will have exclusive jurisdiction in relation to any claim, dispute or difference concerning this engagement letter and any matter arising from it. Each party irrevocably waives any right it may have to object to any action being brought in those courts, to claim that the action has been brought in an inappropriate forum, or to claim that those courts do not have jurisdiction.
10. LIMITATION OF LIABILITY
10.1 The advice which we give to you is for your sole use and does not constitute advice to any third party to whom you may communicate it.
10.2 We will provide the professional services outlined in this letter with reasonable care and skill. However, we will not be responsible for any losses, penalties, surcharges, interest or additional tax liabilities arising from the supply by you or others of incorrect or incomplete information, or from the failure by you or others to supply any appropriate information or your failure to act on our advice or respond promptly to communications from us or the tax authorities.
10.3 E-mail may be used to enable us to communicate with you. As with other means of delivery this carries with it the risk of inadvertent misdirection or non delivery. It is the responsibility of the recipient to carry out a virus check on any attachments received.
11. ELECTRONIC COMMUNICATION
As internet communications are capable of data corruption we do not accept any responsibility for changes made to such communications after their despatch. For this reason it may be inappropriate to rely on advice contained in an e-mail without obtaining written confirmation of it. All risks connected with sending commercially-sensitive information relating to your business are borne by you and are not our responsibility. If you do not accept this risk, you should notify us in writing that e-mail is not an acceptable means of communication.
12. DATA PROTECTION ACT 1998
12.1 To enable us to discharge the services agreed under this engagement, and for other related purposes including updating and enhancing client records, analysis for management purposes and statutory returns, crime prevention and legal and regulatory compliance, we may obtain, use, process and disclose personal data about you.
12.2 You have a right of access, under data protection legislation, to the personal data that we hold about you. For the purposes of the Data Protection Act 1998, the Data Controller in relation to personal data supplied about you is Paul Pritchard.
13. CONTRACTS (RIGHTS OF THIRD PARTIES) ACT 1999
A person who is not party to this agreement shall have no right under the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this agreement. This clause does not affect any right or remedy of any person which exists or is available otherwise than pursuant to that Act.
14. Agreement of terms
14.1 This letter supersedes any previous engagement letter for the period covered. Once agreed, this letter will remain effective from the date of signature until it is replaced. You or we may vary or terminate our authority to act on your behalf at any time without penalty. Notice of variation or termination must be given in writing.
14.2 We should be grateful if you would confirm your agreement to the terms of this letter by signing below and returning one copy for our records.
14.3 If this letter is not in accordance with your understanding of the scope of our engagement, please let us know.
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