Dispute resolution
Discussion
I've a client who has started (and more than half finished) a job for a customer (B2C). There was stupidly no contract (or deposit) agreed at the outset and the customer is taking full advantage and making ridiculous demands. My client has lost patience and has notified the customer he will not be completing the work.
The customer is quoting all the consumer rights stuff but is my client within his rights to invoice for the work already complete?
The customer is quoting all the consumer rights stuff but is my client within his rights to invoice for the work already complete?
In the absence of a formal contract, he needs to accumulate all written communication with the client that can confirm their requests. If there was a written quotation and an email confirming acceptance of that quotation, that 'may' (and I do stress 'may') constitute a contract of sufficient robustness to warrant the right to bill.
If there is nothing written, then bin it and learn from it.
If there is nothing written, then bin it and learn from it.
Beware of 'repudiation of contract'... you can't simply walk away once the contract exists.
As already stated, a contract can take many forms (oral, written or implied) and so, from the limited information, it would seem that some form of contract does exist, particularly if the work has been 'half done', so I would suggest that your 'client' doesn't simply walk away, without agreement from the other party that the works, forming part of the contract, can cease.
If your 'client' does choose to 'walk' then the other party are at liberty to pursue your 'client' for costs to complete the works, which will no doubt be considerably more expensive than those of your 'client'... and he will be out of pocket, plus legal costs, time out from work, etc., etc.
I had the joy of 5 days in court over the same issue some years back and thankfully I was on the client side and not the contractor side, the latter simply upped tools and left site one day. Whilst I can appreciate why he might have felt like doing so, he had a contractual obligation to complete the works... which ultimately were defective and the cost to rectify were far in excess of the contractors claim. Although we 'won' the case, the downside was that as the contractor simply shut... the client received nothing, the contractor received nothing... but both parties had considered legal costs to absorb...
The best advice is never to involve 'legals', or give an opportunity for anyone else to do it to you. Put your morals to one side, discuss it, agree 'amicably', swallow some pride, take it on the chin, learn from experience, etc. and either you both agree to part company or finish the job and then walk away.
As already stated, a contract can take many forms (oral, written or implied) and so, from the limited information, it would seem that some form of contract does exist, particularly if the work has been 'half done', so I would suggest that your 'client' doesn't simply walk away, without agreement from the other party that the works, forming part of the contract, can cease.
If your 'client' does choose to 'walk' then the other party are at liberty to pursue your 'client' for costs to complete the works, which will no doubt be considerably more expensive than those of your 'client'... and he will be out of pocket, plus legal costs, time out from work, etc., etc.
I had the joy of 5 days in court over the same issue some years back and thankfully I was on the client side and not the contractor side, the latter simply upped tools and left site one day. Whilst I can appreciate why he might have felt like doing so, he had a contractual obligation to complete the works... which ultimately were defective and the cost to rectify were far in excess of the contractors claim. Although we 'won' the case, the downside was that as the contractor simply shut... the client received nothing, the contractor received nothing... but both parties had considered legal costs to absorb...
The best advice is never to involve 'legals', or give an opportunity for anyone else to do it to you. Put your morals to one side, discuss it, agree 'amicably', swallow some pride, take it on the chin, learn from experience, etc. and either you both agree to part company or finish the job and then walk away.
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