ALM
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138 N Keeneland Drive, Suite D
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Richmond, KY 40475
1.800.669.0863
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fax 1.859.624.3580 www.ALMnet.org
Note: ALM reserves the right to withdrawn contact hour credit for this material without notice
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· The Provider agrees to furnish on a rental basis and the Customer agrees to use in all of its locations
and departments the items authorized in the attached Linen List which is attached hereto as
Schedule “A”. Said schedule may be amended in writing from time to time by the mutual approval.
Only those items that appear on the list will be supplied as part of the contract. Make sure the list includes all the
linen items that you need and that the list includes specifications for each item. A list that simply says bath towel
will allow the provider to change weight and size of the towel anytime they deem necessary.
· Provider agrees to supply and provide rental laundry service for the items listed in Exhibit A and
others, which may be added later. Provider will pick up soiled items and return them clean and
fresh on a regular schedule, and will maintain the circulating inventory in good condition.
This clause also contains information regarding the delivery of linen “regular schedule” and that the provider will
“maintain the circulating linen inventory in good condition.” The problem with both these clauses is that it lacks
substance. What is a regular delivery schedule? Hopefully it is defined else where in the contract. What is regular to
the customer might not be what is regular to the provider.
What does it mean to maintain the circulating linen inventory in good condition? Does this mean free from holes,
tears and stains? Does it mean maintaining the proper amount of linen in the inventory so shortages will be avoided?
· PROVIDER agrees to furnish the textile products for CUSTOMER on a linen supply basis
providing that CUSTOMER agrees to standardize to the same linens as used by PROVIDER
whenever possible. Linen items to be provided user of this linen rental agreement are detailed out
in Schedule A. PROVIDER will furnish non-standard linen items to CUSTOMER as detailed out
in Schedule B. Any non-standard linen items purchased by PROVIDER for the sole use by
CUSTOMER will be purchased from PROVIDER by CUSTOMER at the end of the agreement
based on schedule of 50% of invoice price for all linen items in circulation and 100% of invoice
cost for all items in back up inventory. Some linen items – sheets, pillowcases, towels and
washcloths may be marked so as to identify ownership by PROVIDER.
This clause addresses the topic of specialty linen. Hospitals are famous for having special linen items designed to
meet the need s of one or two Doctors that have a lot of influence with administration. Such items can become a
deal breaker when looking at a linen rental contract. This clause shows an industry acceptable way to handle this
problem.
· The PROVIDER agrees to provide laundry services customary to the trade, subject to strike, lock
out, acts of God or any other disruption of production beyond the control of the PROVIDER.
A very general statement about providing “laundry services customary to the trade”. This statement puts the
provider behind the wheel in all discussions concerning service or quality. After all who is more knowledgeable
about industry practices than the laundry manager? This clause is good for the provider but bad for the customer.
The second part of this clause basically says that if we cannot deliver linen to you because it snowed, there was an
employee strike or any other factor not under the direct control of management the customer will not get a linen
delivery. The customer also has no recourse against the provider. The provider is not obligated to provide service
through an alternate vendor or facility.
· CUSTOMER shall rent from PROVIDER all the linen supplies used in CUSTOMER’S business at
the Hospital and PROVIDER shall use diligence to provide an uninterrupted supply of linen
sufficient to meet CUSTOMER’S requirement. PROVIDER to deliver all linens in sanitary plastic
packaging. Sheets are all bundled in individual packages of ten (10) to a bundle; most other items
are bundled ten (10) to a package. This system assures excellent sanitary conditions and easy
inventory control.