Template: Contract language for issuing devices

Last updated April 7, 2023

Without the right contract language, your company may not be able to recover company-owned devices from employees after they are terminated.

Maximize enforceability

If something isn't in your employment agreement, it's probably not enforceable. In fact, your template should already say something like "this agreement constitutes the entire agreement between the parties". If you didn't include device ownership and recovery

Contract language

You can use these clauses to help ensure maximum compliance with your company device policy:

Clause Explanation

A "Device" is any piece of electronic equipment capable of storing data.
A "Company Device" is any device purchased by Company and issued to Employee, except any device where ownership was granted to Employee in writing.

Define the terms you will be using.

Employee agrees to return all Company Devices to Company within 10 days of receiving box and pre-paid postage from Company.

Set a timeline. Make it easy to comply (you can use ReReady to for the box and postage).

If Employee fails to return any Company Device as agreed, Company will invoice Employee for the market price of the Company Device. Employee agrees to pay such invoice within 30 days of delivery, or be subject to debt collection efforts.

Declare a fall-back plan. Debt collection is the most effective option.

Conclusion

Work with your contract attorney to incorporate this language into your remote employment agreement. If it results in a single device being returned that otherwise wouldn't, it's worth the money.

By including the necessary language in your employment agreements, you can maximize your ability to recover devices from employees when their employement ends.

Disclaimer: We are not your attorney, and this post contains no legal advice or guarantees of any kind. This post simply contains ideas you may wish to share with your attorney.