Meaning
Legal and physical retrieval of specialized manufacturing equipment, moulds or dies from a supplier’s facility occurs when the contract terminates or a default occurs. The process of tooling repossession is a protective action for technology owners who must prevent the unauthorized use or retention of their proprietary equipment. This action ensures that the owner can transfer production to an alternative facility without lengthy delays.
Entry Right
Contractual authorization for the asset owner to enter the supplier’s premises to reclaim the equipment must be explicitly drafted. Without this pre-agreed access right, entering a supplier’s factory to remove equipment can be treated as trespass or theft. This right of entry must extend to subcontractors if the supplier uses third-party facilities.
Judicial Assistance
Courts can issue expedited orders or injunctions to compel the supplier to release the equipment when cooperation fails. If the supplier resists, the owner can utilize court-appointed officers or local law enforcement to execute the order and secure the tooling. This legal intervention is necessary when the supplier asserts a lien over the equipment for unpaid invoices.
Exit Coordination
Moving specialized heavy machinery requires coordination of transport, rigging services and customs clearance if the equipment is crossing borders.
