Don't become a salesman's mug

To paraphrase the immortal quote attributed to movie producer Sam Goldwyn: "A verbal contract isn't worth the paper it's not written on".

But I think that's too clever, even for him.

I am, however, concerned by the notion among energy salesmen that a piece of paper is becoming almost redundant when it comes to the pub trade. As long as you have the bank or credit card details, we have a deal.

Over the years, licensees have been the victims of more scams than I have had pints of Landlord (well almost!), most of which it seems to me have resulted from phone calls to members of staff. On all occasions I have suggested that the recipients should make no firm commitments at the time and wait until they see the details in print, where they can assess the realities, as opposed to the salesman's headlines.

It is just not true that the deal on offer on the phone is "the last one available", or that he must have an answer on the spot. That is just pressure selling.

No-one in that business or any other is going to turn down a deal because it breaches an artificial deadline which they have created.

I am also concerned that licensees rely on the salesman for all relevant information on the deal, without doing some research elsewhere at the same time.

If he tells you that X Company has just raised its commercial tariff by 100%, find out whether this is true.

If it isn't, you are a lot wiser and he has lost a mug.

But it is in the detail that these contracts unwind, and it is the detail you do not get on the phone. That, as lawyers will tell you, is buried somewhere in the small print, which will also say that no "verbal warranty", express or implied, has anything to do with the deal. In other words, if it isn't on the paper, then it doesn't exist, except in your optimistic mind.

If, however, the contract has been based on clear misrepresentation (such as a claim that the brewery/operating company have insisted that you use this firm), then you are entitled to treat it as void.

Telling lies - which is what this is - constitutes an unfair negotiation and if it goes to the root of the contract, then you are entitled to walk away when you find out it isn't true.