THE POST OFFICE SCHEME FOR FRANKING LETTERS AND PARCELS 2000

Made 7th April 2000
Coming into operation 27th April 2000

POST OFFICE SCHEME FOR FRANKING LETTERS AND PARCELS 2000
(Post Office Scheme F1/2000)

CONTENTS

1. Application, commencement, revocation and citation
2. Interpretation
3. Approval of franking equipment and authorisation of manufacturers, suppliers and maintainers
4. General prohibitions on use of franking equipment
5. Authorisation of users
6. User Licences
7. Payment of postage and fees
8. Resetting franking equipment
9. Operation of franking equipment
10. Inspections, maintenance and repairs
11. Franking marks
12. Slogans
13. Posting franked letters
14. The Post Office’s right to refuse to accept letters, or to return them, and to arrange removal of dies (or related devices)
15. The Post Office’s termination of user’s authorisation
16. User address for communications
Schedule I: Definitions of Expressions used in this Scheme
POST OFFICE SCHEME FOR FRANKING LETTERS AND PARCELS 2000
(Post Office Scheme F1/2000)
The Post Office, by virtue of the powers conferred on it by section 28 of the Post Office Act 1969 and all other relevant enabling powers, hereby makes the following Scheme.
1. APPLICATION, COMMENCEMENT, REVOCATION AND CITATION
1.1  This Scheme sets out the Post Office’s terms and conditions applicable to the franking of letters and parcels for posting in the United Kingdom, and to the posting of franked letters and parcels.
1.2 This Scheme shall be read as one with the Post Office Inland Letter Post Scheme 2000, the Post Office Overseas Letter Post Scheme 1982 (as amended), the Post Office Inland Parcel Post Scheme 1989 (as amended) and the Post Office Overseas Parcel Post Scheme 1982 (as amended), which set out the Post Office’s conditions for sending letters and parcels.
1.3 This Scheme is made by the Post Office under section 28 of the Post Office Act 1969. This Scheme shall come into operation on 27 April 2000 and may be cited as the Post Office Scheme for Franking Letters and Parcels 2000.
1.4 The Post Office may amend this Scheme from time to time. Amendments will   be published in the London, Edinburgh and Belfast Gazettes.
2. INTERPRETATION
2.1 The definitions of expressions used in this Scheme are set out in paragraphs 2.2 and 2.3 and in Schedule 1 to this Scheme.
2.2 ‘Franking’ means the stamping or printing of a mark or impression called the ‘franking mark’ on the envelope or outer wrapper of a letter to indicate the postage and/or fee which has been paid on that letter.
2.3 ‘Franking equipment’ has the meaning assigned to it in Schedule 1 of this Scheme. References in this Scheme to the use of franking equipment are (except where stated or the context necessarily indicates otherwise) references to the use of franking equipment to indicate payment of postage and fees, and/or to the resetting of franking equipment with a view to using the equipment to indicate the payment of postage and fees, on letters to be posted in the United Kingdom.
3. APPROVAL OF FRANKING EQUIPMENT AND AUTHORISATION OF MANUFACTURERS, SUPPLIERS AND MAINTAINERS
3.1 The Post Office may at its discretion approve different models of franking equipment, and may authorise persons to manufacture, supply, maintain or otherwise deal with franking equipment.
3.2 By authorising any person to manufacture, supply, maintain or otherwise deal with franking equipment, the Post Office does not become a party to any customer contract for the supply, inspection or maintenance of franking equipment, and does not give any warranties, whether as to quality or otherwise, concerning any goods or services supplied by that person.
4. GENERAL PROHIBITIONS ON USE OF FRANKING EQUIPMENT
4.1 Franking equipment may not be used unless the equipment has been manufactured by an authorised manufacturer and the model has the Post Office’s current approval.
4.2 Franking equipment may not be used which has been altered or modified in any way, so that it differs from its current approved model design.
4.3 Franking equipment may not be used if the Post Office withdraws approval of the model. Whenever the Post Office withdraws approval for a model it will notify users who must cease using the franking equipment of that model within the timescales notified by the Post Office.
5. AUTHORISATION OF USERS
5.1 Franking equipment may not be used until the user has obtained the Post Office’s authorisation to do so. All users must apply to the Post Office for authorisation.
5.2 When the Post Office approves an application, it will issue a licence to the user. Users must obtain a licence before using their franking equipment.
6. USER LICENCES
6.1 The user’s application for a licence must be made on the user’s behalf by the user’s authorised supplier or manufacturer of the franking equipment. If an application is rejected, the Post Office will advise the applicant and the supplier or manufacturer in writing. The requirement for a user to obtain a licence applies regardless of whether or not the user may have entered into a contract with the Post Office for the provision of postal services.
6.2 The licence will include the following information:
6.2.1. the user’s name and address;
6.2.2. the address where the equipment may be used;
6.2.3. the name of the controlling office where the user’s records will be kept;
6.2.4. the post office or Royal Mail office responsible for the resetting of the franking equipment (if relevant), and the method of resetting it;
6.2.5. the name and number of the model of the franking equipment;
6.2.6. the serial number of the franking equipment and/or meter;
6.2.7. the number of the die or device (or related machine identifier);
6.2.8. the location where franked letters must be posted.
The Post Office may pass this information, and any amendments to it to the authorised manufacturer, supplier and maintainer of the user’s franking equipment, so that their records will be accurate and up to date.
6.3 The licence authorises the user to use the specified franking equipment at the address shown on the licence. The licence does not authorise the user to use any other franking equipment, for which a separate licence, or licences must be obtained. The franking equipment named in the licence must only be used by the user, and for the purpose of the user’s business.
6.4 The licence may not be transferred to another person, company, business or organisation.
6.5 If the user wishes to change any of the details shown on the licence, for example the address, the user must notify in writing the controlling office and the authorised manufacturer or supplier of the equipment. The licence may not be changed without the Post Office’s prior consent.
6.6 If the user ceases permanently to use franking equipment, the user must notify both the controlling office and the authorised manufacturer, supplier and maintainer of the equipment in writing, either prior to the date of cessation, or as soon as possible afterwards.
7. PAYMENT OF POSTAGE AND FEES
7.1 All postage (and fees where applicable) payable on franked letters must be prepaid, unless the Post Office has given its prior written consent.
7.2 Franking equipment must not be used until it has been reset and shows the amount of postage and fees which the user has prepaid or has agreed to pay.
7.3 Franking equipment must always show the correct amount of postage and fees which the user has prepaid or has agreed to pay.
7.4 The value of postage paid indicated by the franking mark on any letter must conform to the applicable rate set out in the relevant Post Office Scheme.
8. RESETTING FRANKING EQUIPMENT
8.1 The manner in which the user prepays or pays postage and fees will depend upon the way in which the user’s franking equipment is reset. The method of resetting will depend upon the model of the franking equipment.
8.2 Franking equipment must only be reset in the manner specified by the manufacturer and approved by the Post Office.
8.3 The following methods have been authorised by the Post Office:
8.3.1  Remote telephone resetting
8.3.1.1 Remote resetting is performed by the user using codes sent on request by the controlling office, other post office or Royal Mail office, or the supplier of the user’s franking equipment. Each code contains instructions to the user’s franking equipment to add the value of the credit paid or agreed to be paid by the user.
8.3.1.2 The codes may be sent to the user either by post, fax or telephone to be entered through the franking machine’s controls, or they may be sent by electronic modem link direct to the franking equipment. When requesting a code, the user must provide any readings of the meter’s registers which may be requested. This information should be communicated in the manner specified which may be orally or in writing, through a key pad, or electronically directly from the franking equipment.
8.3.1.3 The codes may only be used to reset franking equipment. Each code may be used only once. Only codes specified for the user’s franking equipment may be used.
8.3.2  Electronic devices including smart cards
8.3.2.1 Resetting by electronic device is performed by the user using a device containing a computer memory chip. The device is supplied to the user in return for payment of the value of credit which the user has requested. Inserting the device into the franking equipment increases the value of postage credit available on the meter’s registers.
8.3.2.2 The electronic device is obtained from the controlling office, other post office or Royal Mail office, or the supplier. Only an electronic device specified for the franking equipment may be used.
8.3.2.3 The electronic device must be returned to the source after use. In some cases, the same device will be used for each reset of particular franking equipment. Other electronic devices may be sent to users to check the meter’s registers, and these must be inserted into the franking equipment and returned as requested.
8.3.3  Manual resetting
8.3.3.1 Manual resetting must only be performed by an authorised employee of the Post Office at the location specified on the user’s licence. This may be at a post office, Royal Mail premises or the user’s own premises. The Post Office will charge a fee for manual resetting at a user’s premises.
8.3.3.2 Users must not perform or attempt to perform manual resetting, and must not request or procure manual resetting services from any party, including any part of the Post Office other than as specified in their licence.
8.3.4  Value cards
8.3.4.1 Resetting by means of using a value card is performed by the user, using a value card purchased from a controlling office. Franking equipment reset in this way will only produce franking marks if there is a value card with sufficient credit remaining held within the equipment. When the credit on the card expires, it must be replaced with a new one inserted in the equipment, and the expired card must be returned to the controlling office.
8.3.4.2 Only value cards which are specified for the user’s model of franking equipment, for the value pre-determined by the user, and which have been purchased from the controlling office may be used.
8.3.4.3 Each value card may be used only once. Value cards must not be recredited or renewed.
8.3.4.4 When the credit on a value card expires, the details printed by the franking equipment on the reverse of the card must be complete and legible.
9. OPERATION OF FRANKING EQUIPMENT
9.1 The seals on franking equipment must not be broken and must not be duplicated.
9.2 If a seal is broken, the user or person in possession of the equipment must report it to the controlling office immediately. If the machine is reset at a post office, then the user must also notify that post office.
9.3 The meter readings (as recorded on the meter’s registers) must always show the correct amount of postage and fees which the user has prepaid and/or used. The equipment must not be tampered with so as to alter the meter readings.
9.4 The franking mark produced by the die or printing device within the franking equipment must always show the same value as the amount by which the registers change when the franking mark is produced.
10. INSPECTIONS, MAINTENANCE AND REPAIRS
10.1 Franking equipment must be kept in good working order by the user.
10.2 The user must ensure that any franking equipment in use by the user is inspected in accordance with the Post Office’s requirements at least once every year (or whenever the Post Office specifies) by a maintainer of the user’s choice who has the Post Office’s authorisation to carry out inspections for that kind of equipment.
10.3  Maintenance and repairs by authorised maintainers
10.3.1 The maintenance and repair of franking equipment may only be undertaken by a maintainer who has the Post Office’s authorisation to carry out maintenance of and repairs on that model of equipment.
10.4  The Post Office’s inspection checks
10.4.1 A user or person in possession of franking equipment must allow a representative of the Post Office to inspect their franking equipment at the premises where it is located. The Post Office may do this on any working day without prior notice. If the Post Office requests a user to bring franking equipment to a post office or Royal Mail office for an inspection, the user must take it to the office which resets that equipment, or any other office specified by the Post Office.
11. FRANKING MARKS
11.1 Franking marks may only be produced under the direction of, or with the authority of, the Post Office.
11.2 A franking mark must be printed in red ink or in any other colour which the Post Office has authorised. It must be clear and complete. It must appear in the top right hand corner on the front of an envelope or wrapper of the letter, or on an address label which is stuck to the envelope or wrapper, or in any other manner which has been approved by the Post Office.
11.3 If, in the Post Office’s judgement, a franking mark is not clear or complete, the Post Office will deal with the letter as if the sender has not paid postage on it, as set out in the Inland Letter Post Scheme 2000.
11.4 A franking mark or slogan must not consist of numbers, words, characters, symbols, or marks which in the Post Office’s judgement could offend Post Office employees, or make it embarrassing or difficult for the Post Office to convey the letter in the post, or to deliver it, or which could give rise to complaints from the public, or which could cause the Post Office any operational or technical difficulties. If such circumstances arise, the Post Office will require the user to cease using the franking mark or slogan in question.
11.5 If a user prints a franking mark by mistake, the user may write to the user’s controlling office to apply for a refund, enclosing the franked envelopes, wrappers or other items within 6 months of the date when the franking mark was printed. If the Post Office receives all the information and evidence it requires, and the amount of postage or fees shown by the franking mark is legible, the Post Office will give the user a partial refund of the amount of postage paid, having deducted an amount which the Post Office considers to be reasonable to meet the administrative cost of dealing with the user’s application.
12. SLOGANS
12.1 The Post Office reserves the right not to accept any letter bearing a slogan which it considers does not comply with paragraph 11 above. It is recommended that users seek advice from the Post Office in advance of producing or ordering a slogan.
13. POSTING FRANKED LETTERS
13.1 Franked letters may only be posted in the area designated by the franking mark.
13.2 Franked letters must be posted on the date shown in the franking mark.
13.3 Franked letters must be presented for posting in containers or packages specified by the Post Office, according to the following requirements:
13.3.1 in containers or trays, segregated by class and service, facing and oriented the same way. These may be posted by depositing at a designated Royal Mail office or (where this has been arranged and any fee due to the Post Office is paid) by being collected by a Post Office employee, or agent authorised to act on the Post Office’s behalf; or
13.3.2 in bags, segregated by class and service, in bundles of letters facing and oriented the same way. These may be posted by depositing at a designated post office or Royal Mail office, or (where this has been arranged and any fee due to the Post Office is paid) by being collected by a Post Office employee, or agent authorised to act on the Post Office’s behalf; or
13.3.3 in pouches, segregated by class and service, in bundles of letters facing and oriented the same way. These may be posted by depositing at a designated post office or Royal Mail office, in a business posting box or (where this has been arranged and any fee due to the Post Office is paid) by being collected by a Post Office employee, or agent authorised to act on the Post Office’s behalf; or
13.3.4 in a late-posting envelope. These must be posted in a designated posting box; or
13.3.5 presented for posting in any other manner which the Post Office may approve.
Variations to these conditions for presenting and posting franked letters may be authorised at the Post Office’s discretion.
14. THE POST OFFICE’S RIGHT TO REFUSE TO ACCEPT LETTERS, OR TO RETURN THEM, AND TO ARRANGE REMOVAL OF DIES AND DEVICES
14.1 The Post Office has the right:
14.1.1 to refuse to accept, and to return letters or other approved items which have been franked, and/or
14.1.2 to arrange the removal of any die or device which prints or controls the printing of the franking mark in franking equipment by the manufacturer or supplier of the franking equipment.
14.2 The Post Office may take either or both of these steps if any of the following circumstances occur:
14.2.1 if the user, or any other person in possession of franking equipment, does not comply with any condition in any Post Office Scheme;
14.2.2 if any of the circumstances which are set out in paragraph 15 occur;
14.2.3 if the Post Office has withdrawn the user’s authority to use their franking equipment, and has terminated the user’s licence; or
14.2.4 if the Post Office withdraws approval from the model of franking equipment.
15. THE POST OFFICE’S TERMINATION OF AUTHORISATION
The Post Office may withdraw its authorisation for a user to use franking equipment in the circumstances set out below.
15.1  Withdrawal of authorisation upon written notice
15.1.1 The Post Office may at its discretion withdraw its authorisation, and/or terminate a user’s licence, at any time by giving the user not less than 14 days’ advance notice in writing.
15.1.2 Whenever the Post Office withdraws approval for a model of franking equipment, users will cease to have authorisation to use such equipment in accordance with the timescale notified to them by the Post Office.
15.2  Immediate withdrawal of authorisation—misuse
15.2.1 The Post Office may withdraw its authorisation and terminate a user’s licence, immediately, by writing to the user, if any of the following circumstances arise:
15.2.1.1 if, in the Post Office’s judgement, the user has not complied with any condition in the Schemes;
15.2.1.2 if, in the Post Office’s judgement, the user’s franking equipment is not in good working order;
15.2.1.3 if, in the Post Office’s judgement, the user has misused any franking equipment;
15.2.1.4 if, in the Post Office’s judgement, the user has used their franking equipment to print or stamp a franking mark which causes operational or technical difficulties or inconvenience or embarrassment to the Post Office or to Post Office employees generally, or to the public;
15.2.1.5 if the Post Office returns or refuses to accept the user’s letters, in accordance with paragraph 14; or
15.2.1.6 if the Post Office has decided to arrange the removal of the dies or devices in the user’s franking equipment, in accordance with paragraph 14.
15.3  Immediate withdrawal—financial difficulties, cessation of trading, death etc.
15.3.1 The Post Office may also withdraw its authorisation and terminate a user’s licence, immediately, by notification in writing to the user or to the appropriate person, if any of the following occurs:
15.3.1.1 if the user becomes bankrupt or insolvent;
15.3.1.2 if a receivership order or administration order is made against the user
15.3.1.3 if a liquidator, receiver, administrator, trustee, manager, supervisor or similar officer is appointed in relation to any of the user’s property;
15.3.1.4 if the user makes any arrangement with creditors for the transfer of the user’s property to them; or if the user sells or transfers their rights in something to the user’s creditors, or tries to do so;
15.3.1.5 if, in Scotland, the user becomes insolvent or bankrupt or an action for the user’s sequestration is commenced, or if there is a legal action to seize the user’s property, or if the user sets up a trust deed for the user’s creditors;
15.3.1.6 if the user ceases trading;
15.3.1.7 if an order or resolution is or could be made to wind up the user’s business;
15.3.1.8 if the user’s partnership is dissolved;
15.3.1.9 if the user dies; or
15.3.1.10 if the user is found guilty of any fraudulent misuse of the user’s or any other franking equipment, or is found guilty of any other theft or fraud relating to the posting of franked letters.
The user or a representative of the user must notify the Post Office immediately if any of the circumstances listed above should occur.
15.4  Withdrawal of authorisation—at user’s option
15.4.1 If the user ceases permanently to use franking equipment the user must notify the Post Office. On notification, the user’s authorisation will be withdrawn by the Post Office and the user’s licence will be terminated.
15.4.2 If the user fails to specify a date when the user will cease using the franking equipment, authorisation will be withdrawn and the licence terminated on the date when the Post Office receives the user’s notification.
15.5  Withdrawal—general
15.5.1 When a user’s authorisation is withdrawn and their licence is terminated, the user must return all record cards and value cards to the controlling office immediately. The value of any postage or fees which the user has paid for and not used will be refunded, after the Post Office has verified the readings of the registers.
15.5.2 A licence will automatically be terminated when the Post Office receives notification from the authorised supplier that the dies or devices have been removed from the franking equipment, or that the franking equipment has been removed from the user’s premises.
16. USER ADDRESS FOR COMMUNICATIONS
16.1 The Post Office will use the address shown on the user’s record card/licence for the purpose of sending notices under this Scheme.
Schedule I—Definitions of expressions used in this Scheme
The Interpretation Act 1978 applies for the interpretation of this Scheme and for this purpose the Scheme is to be treated as if it were an Act of Parliament.
Any reference in this Scheme to any enactment, regulation or Post Office Scheme shall be construed as a reference to that enactment, regulation or Post Office Scheme as subsequently amended, re-enacted or replaced.
In this Scheme, the following expressions have the following meanings, unless the context in which the expressions appear indicates otherwise.
Authorised Maintainer
A person who has the Post Office’s approval to provide inspection and maintenance services for specified designs of franking equipment and systems. (Maintenance services include servicing and repairs).
Authorised Manufacturer
A person who has the Post Office’s approval to manufacture franking equipment.
Authorised Supplier
A person who has the Post Office’s approval to supply franking equipment.
Controlling Office
The post office or Royal Mail office at which records are kept of the user’s franking equipment.
Dies and devices
The component or components of the franking equipment which prints, or controls the printing of the franking mark.
Franked letter
Any letter bearing a franking mark.
Franking Equipment
Any piece of equipment which may be used to indicate and record payment of postage and/or fees on letters, including but not limited to machines, computers, computer peripherals, security devices, software, printers and telecommunications links and including any system used to reset such equipment.
Franking Mark
Any mark or impression printed or otherwise made by franking equipment indicating the date and place of posting, the postage and fees paid or payable, the identity of the franking equipment used and any other numbers, words, characters, symbols or marks required by the Post Office.
Letter
Any postal packet (including letters and parcels) except a packet consisting of articles for the blind, a current registered newspaper, an unaddressed packet or packet consisting of a petition or address of a kind referred to in Section 84(1) of the Post Office Act 1969.
Licence
A licence issued by the Post Office authorising the user to use franking equipment.
Meter
The part of the franking equipment which registers postage.
Model
The generic type, make or model of franking equipment.
Postage and Fees
Postage is the fee charged by the Post Office for delivery of a letter. Fees are the sums the Post Office charges to provide other services.
Post Office Scheme
Any Scheme made by the Post Office under section 28 of the Post Office Act 1969.
Record Card
A document which is provided by the Post Office to users of franking equipment which is reset manually. A record card contains details about the user, and the user’s franking equipment. When having the franking equipment reset, the user must produce the record card to the resetting office, which will record the amount of postage and fees which the user has paid and such information as the Post Office requires about resetting and the readings on the registers. A record card remains the property of the Post Office at all times.
Registers
Instruments within the meter of the franking equipment which record the amount of postage paid and the amount of credit remaining available for use.
Reset
To charge franking equipment with credit for payment of postage and/or fees. The term resetting should be construed accordingly.
Resetting Office
A Post Office counter or Post Office or Royal Mail office to which the user brings their meter for manual resetting.
Slogan
A design or wording commissioned by the user, to be printed on letters in addition to the franking mark.
User
Any person who uses or intends to use franking equipment to pay postage and/or fees on letters to be posted in the UK. Signed on behalf of the Post Office by J. Graham (a person authorised by the Post Office to act in that behalf). 7th April 2000.