Employer: Who owns the equipment?
The employer is passed ownership of the equipment and will remain the owner for up to then immediately transfer ownership of the equipment to the participant. From that point onwards, the participant owns the equipment and retains ownership once the funding plan has ceased.
Your business owns both the initial Home & Tech code (‘Validation Code’) and Redemption Code sent to the employee by BHN (on behalf of the Employer). The employee is authorised to use both codes on behalf of the employer.
Your business owns the new tech and/or home items (‘the Equipment’) once it has been delivered to / collected by the employee with them having full rights to use. It is important for regulatory purposes that the employer has title to the Equipment for a period after delivery / collection and that transfer of ownership is not automatic. This is achieved by providing a condition that the Employee continues in employment and doesn’t breach their Funding Plan obligations for a short period (typically a few weeks after delivery).
The transfer shall occur at the earlier of 30 days from issue of Redemption Code to the employee or an email from Home & Tech (on behalf of your Employer). The employee will become the owner of the Equipment from that date. At the same time, the employer also assigns to the employee the benefit of any rights and warranties from the Authorised Retailer relating to that Equipment.