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At what point does it make sense to involve a lawyer? $5,000? $10,000? Isn't it expensive to legally fight for your payment?
by barefoot 15y ago
At what point does it make sense to involve a lawyer? $5,000? $10,000? Isn't it expensive to legally fight for your payment?
- gavingmiller 15y agoStipulate in your contract that the losing side has to pay the legal fees for the other party. That way getting paid doesn't cost you more.
- shabble 15y agoGranted incredibly unlikely, but doesn't that open the possibility of: * Rip off developer * Hire incredibly expensive legal team/legal buddy[1] to find small enough loophole in contract * Bill developer for cost of legal as well as rip them off * Profit? [1] How do jurisdictions that auto-award costs handle contingency claims? Is "£0 if I lose, or £1M/hour if we win" a legitimate billing rate? I can't imagine it could be.
- tsotha 15y agoI used to work for a company that put a late-payment clause right in the contract. If you didn't pay us you were on the hook for a fee plus interest on the outstanding balance. So essentially it was like owing money to the IRS. As far as I know nobody ever gave us trouble about payment.
- jacques_chester 15y ago> I used to work for a company that put a late-payment clause right in the contract. If you didn't pay us you were on the hook for a fee plus interest on the outstanding balance. This is so common in the business world -- terms -- that there's a short hand minilanguage for describing your terms on invoices, purchase orders and contracts. Here's a decent list: http://www.businesslink.gov.uk/bdotg/action/detail?itemId=1073791761&type=RESOURCES http://www.businesslink.gov.uk/bdotg/action/detail?itemId=10...
- rglover 15y agoIt really depends on your personal situation and how much. If you're in the U.S., you'll have to check to see the min/max for suits in small claims court (this is generally anywhere from $3,000-$15,000). One thing that works, though, is merely having your lawyer draft a letter to the offending client. Your less intelligent clients will jump when they see any threat of legal action (and for you, it's only a few hundred bucks to get a lawyer to draft a letter – maybe even free depending on your relationship). There's certainly leg work involved, but when it's your livelihood, you have to do what you can.
- sunchild 15y agoUse a collection agency, if you can.