ᐅ Cost increase surcharge for the kitchen after contract signing

Created on: 13 Oct 2021 07:47
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exto1791
Hello everyone,

Yesterday we received the final offer for our kitchen, and we noticed the following clause in the offer:

"The offer is valid until 28.02.2022. If the kitchen is accepted after 01.03.2022, we unfortunately have to charge a price increase surcharge of 4.5%."

I don’t quite understand this. If I place the order for the kitchen now, I am committing to the price in the offer, so I shouldn’t have to accept any surcharge. We are planning to move in around April/May, so it’s quite possible the kitchen won’t be accepted before 01.03.2022.

The dealer’s response was that the kitchen should be taken into stock by February next year, meaning the kitchen would need to be measured early enough once the plasterer has finished. Then it might still be possible to avoid the surcharge.

We are really very, very happy with our kitchen builder, but I honestly think this is unacceptable. What experiences have you had with this? Is this actually common?
Y
ypg
13 Oct 2021 08:56
exto1791 schrieb:

He can order the kitchen without measuring first, can't he? There are plans he can follow, right?
No, the dimensions do not match the plans. There are always discrepancies. Rough building measurements (RBM) are not the final dimensions. Professional work requires taking precise measurements on site.
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RE-1407
13 Oct 2021 09:00
exto1791 schrieb:

I agree with that. He can order the kitchen without measuring in advance, right? There are plans he can follow, aren’t there?

According to what he said, if they can measure the kitchen accurately in time beforehand, no extra costs will occur?

But you have already placed the order and the parts are being stored, haven’t you?

A reputable kitchen manufacturer will never order your kitchen based only on plans. They always use precise measurements taken on site.
Imagine if a wall has shifted slightly within the tolerance range—just a difference of millimeters—and then suddenly the kitchen wouldn’t fit anymore.

Drawings and plans are one thing, but the actual measurements, taken with a laser and similar tools, are what count.

If you manage to have the plastering done and the measurements taken by March 1st, you wouldn’t have to cover the 4.5% cost difference, right?
That should be quite doable if you’re planning to move in April or May anyway.
H
hampshire
13 Oct 2021 09:09
exto1791 schrieb:

We are really, really, really happy with our kitchen fitter, but I honestly think this is really unacceptable.

I don’t think this is unacceptable. Let’s look at it from another perspective: The kitchen studio has your kitchen built and now has several options for handling the order:
1. Have the kitchen built immediately by the manufacturer. In this case, the kitchen must be stored for you. This causes costs for tied-up capital and storage, which increase over time. Additionally, there is the adjustment risk described above for a new build – the more walls, the higher the risk.
2. They order the kitchen only after taking the final measurements. Now they have to expect that the kitchen manufacturer may increase prices in the meantime. In this industry, it is not uncommon for price increases to be announced well in advance in specific amounts. Since the kitchen fitter does not want to be financially affected by delays caused by the customer, they implement the price adjustment.
exto1791 schrieb:

What experiences have you all had with this? Is this actually common practice?

We knew that our kitchen would be delivered only after a new price round and took this into account in our planning and negotiations. Budget was manageable, no problem.
This price adjustment clause is indeed quite common.
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exto1791
13 Oct 2021 09:09
ypg schrieb:

No, dimensions do not match the plans. There are always differences. Rough building measurements (RBM) are not final dimensions. Professional work requires on-site measurement.

Yes, that’s true...

Still, I find it quite "bold" to request a deposit here, even though I would order the kitchen immediately. I understand the underlying problem, but in my opinion, the specialist dealer should bear the costs and then add them to new quotes. This just causes significant unrest and possibly some contract cancellations.

Edit: I know this from the perspective of the company I work for — different industry but the same problem. A device is ordered, the price remains fixed!! If the device can only be ordered later or has to be stocked first, resulting costs are covered by us. It’s also a sign of loyalty and goodwill, and it is expected somewhere as well...
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Rumbi441
13 Oct 2021 09:10
I understood it that they want 4.5 for storing the parts...

That amount is definitely too high because the rents do not include extra storage space specifically for your order—they either already have the space (so it’s already paid for) or the parts are stored at the supplier’s or outdoors.

Also, storage would mean 4.5 per month, not a flat 4.5 on top of the value of the goods...
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Myrna_Loy
13 Oct 2021 09:12
That’s not cheeky, it’s commercially calculated. And yes, of course, some customers might cancel, but currently the kitchen builders are overwhelmed with work, so that doesn’t cause any issues.