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You turn empty spaces into sanctuaries. But behind the fabric swatches and mood boards, the business of Interior Design is a complex web of procurement, liability, and cash flow.

A single misunderstanding about your legal role—are you an Agent or a Principal?—can leave you personally liable for a £10,000 sofa that doesn't fit through the door, or facing a VAT bill that wipes out your profit.

Whether you're sourcing a vintage rug for a private client or fitting out a boutique hotel, here is the legal structure you need to survive.

1. The "Agent" vs. "Retailer" (Principal) Trap

The Scenario: You source a beautiful Italian sofa for a client. You invoice the client £5,000. You pay the supplier £3,500. You keep the £1,500 markup. The sofa arrives with a broken leg. The client demands a replacement. The Italian supplier refuses to refund you.

The Legal Reality:

This depends entirely on your contract tax status.

• Agent: If you act as an agent, the contract is between the Client and the Supplier. You just arranged it. The supplier is liable to the client.

Principal (Retailer): If you "bought and resold" the goods (undisclosed markup), you are the Retailer. Under the Consumer Rights Act 2015*, YOU are legally liable for the quality of the goods. You must repair or replace it at your own cost, then try to claim it back from Italy later.

The Fix:

Decide your business model and stick to it in your Terms.

• Agent Model: Invoice a "Procurement Fee" (e.g., 20%). The Client pays the Supplier directly (or you pay from a segregated Client Account).

• Principal Model: You accept the risk of defects, but you control the markup. Ensure your T&Cs limit your liability to the extent that the supplier is liable to you.

2. Scope Creep ("While You're Here...")

The Scenario: You quoted a fixed fee for "Living Room Design." During a site visit, the client asks: "Could you just quickly look at the hallway lighting? And maybe choose a colour for the loo?" You say yes to be helpful. The project drags on for 3 extra weeks. You try to charge extra. The client refuses: "I thought that was part of the service."

The Legal Reality:

Without a written Variation Order, "extra work" is often deemed "included work" by courts, especially in consumer contracts where ambiguity favours the consumer.

The Fix:

A "Services & Exclusions" clause.

Included:* "Living Room Only (2 Revisions)."

Excluded:* "Project Management, Hallways, Lighting Plans."

The Golden Sentence: "Any additional work requested will be charged at our standard hourly rate of £[X]." Send a quick email confirming the cost before* you pick the paint.

3. The "It Doesn't Look Like the Render" Complaint

The Scenario: You create a 3D render. It looks amazing. The final room is finished. The client is unhappy. "The grey in the render was warmer. The curtains look different. I'm not paying the final instalment."

The Legal Reality:

Design is subjective. But "Sale by Description" is objective. If you promised "Exact match," you failed.

The Fix:

an Artistic Licence Disclaimer.

"3D Renders and Mood Boards are for illustrative purposes only. Actual colours and textures may vary due to material batches and lighting. They are not technical specifications."*

4. Intellectual Property (Who Owns the Design?)

The Scenario: You do a full design for a hotel lobby. They pay your design fee. Then they fire you and hire a cheaper contractor to execute your design.

The Legal Reality:

In the UK, you (the creator) own the Copyright in your drawings/plans automatically, unless you assigned it to the client in writing.

The Fix:

Your contract should state:

"The Designer retains Copyright in all drawings and specifications."*

"The Client is granted a Licence to use the designs for this specific project only."*

"The Licence is revoked if fees are not paid in full."* (This stops them using your plans if they don't pay you).

Why Contract Review is Your Best Accessory

You care about flow, texture, and light. Let the contract handle the liability and the law.

AI contract review checks if your Terms creates an "Agent" or "Principal" relationship. It safeguards your Copyright. It ensures that when you step onto a site, you're protected from the cracks in the floorboards.

Disclaimer: The information in this article is for general guidance only and is not intended as professional legal, financial, tax, or medical advice.