Payment dispute for services provided as a sole trader
Discussion
We work as a sole trader providing a manufacturing service for a businesses using their materials , this has been running for years without issue . We have taken on several jobs for a new client who has now said their customer is not happy with the workmanship and that they have been forced to have the work re done else where . They claim they had to purchase
new materials and they will not pay for services provided by us .
We have evidence to dispute their claims and they never gave us the opportunity to rectify and claimed defects .
we are looking for some advice on how to proceed with this .
new materials and they will not pay for services provided by us .
We have evidence to dispute their claims and they never gave us the opportunity to rectify and claimed defects .
we are looking for some advice on how to proceed with this .
Write to them asking for your money.
Expect a reply setting out their losses caused by the defects.
You reply saying not defective and they failed to mitigate by not allowing you to rectify.
All that results in an entrenched dispute. I’d only be taking this on if I could show the work was not defective or could have been easily corrected. Is that right?
Expect a reply setting out their losses caused by the defects.
You reply saying not defective and they failed to mitigate by not allowing you to rectify.
All that results in an entrenched dispute. I’d only be taking this on if I could show the work was not defective or could have been easily corrected. Is that right?
If you are entirely confident they are wrong, then it seems likely they're inventing a reason not to pay. You would normally expect the client to say 'Erm excuse me this bit isn't right, come back and fix it please'. That's much easier for them than to find another supplier (willing to complete an allegedly bodged job) and starting a fight.
It could be as simple as looking at the contract that existed between you. What did you promise to do/what was on their purchase order, and did you do it to the normal standard? If they are right, I think they should have given you a chance to complete the contract. Otherwise everyone could simply say 'I don't like your work, I'm not paying' - and clearly that's a nonsense.
There are several avenues you could take, but one might be politely to express concern, and, if you wish to kill the matter off early, offer to pay for the 'new materials'. They just need to send you the receipt so you can be sure... (if they refuse it's a strong sign they're bluffing). You have evidence to prove your case; do they have evidence to prove theirs? You need to see it (as indeed would a judge if it gets that far).
Remember that anything you put in writing may be seen by a judge so keep it clean and honest. Perhaps you can lead the client into contradicting themselves. Hopefully there is a way you can defuse this and find the client was just doing a bit of chest-puffing.
ETA By 'offering to pay for the new materials' I mean deduct them from your bill. Don't waive your bill AND pay for them!
It could be as simple as looking at the contract that existed between you. What did you promise to do/what was on their purchase order, and did you do it to the normal standard? If they are right, I think they should have given you a chance to complete the contract. Otherwise everyone could simply say 'I don't like your work, I'm not paying' - and clearly that's a nonsense.
There are several avenues you could take, but one might be politely to express concern, and, if you wish to kill the matter off early, offer to pay for the 'new materials'. They just need to send you the receipt so you can be sure... (if they refuse it's a strong sign they're bluffing). You have evidence to prove your case; do they have evidence to prove theirs? You need to see it (as indeed would a judge if it gets that far).
Remember that anything you put in writing may be seen by a judge so keep it clean and honest. Perhaps you can lead the client into contradicting themselves. Hopefully there is a way you can defuse this and find the client was just doing a bit of chest-puffing.
ETA By 'offering to pay for the new materials' I mean deduct them from your bill. Don't waive your bill AND pay for them!
Edited by Simpo Two on Thursday 3rd June 09:52
Remember there are three parties here:
You > Your client > The end customer.
We're not sure where the problem is, but your contract is with 'Your client'. If 'The end customer' is playing silly buggers that's not your affair. Assuming you did the work right then 'Your client' is obliged to pay you. It's up to them to get paid by 'The end customer'.
Just saying 'Ah well our customer isn't paying us so we're not paying you' doesn't hold up.
You > Your client > The end customer.
We're not sure where the problem is, but your contract is with 'Your client'. If 'The end customer' is playing silly buggers that's not your affair. Assuming you did the work right then 'Your client' is obliged to pay you. It's up to them to get paid by 'The end customer'.
Just saying 'Ah well our customer isn't paying us so we're not paying you' doesn't hold up.
StevieBee said:
As Austin says....
Plus, you have the right to request the goods be returned.
I might be wrong on this but if there is fault with what you've done, the customer is under no legal obligation to give you the opportunity to rectify and has the right to return the goods without payment.
Does it not depend what's in the original agreement? Plus, you have the right to request the goods be returned.
I might be wrong on this but if there is fault with what you've done, the customer is under no legal obligation to give you the opportunity to rectify and has the right to return the goods without payment.
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