Verbal contract extension - Does it hold? Verbal contract extension - Does it hold?
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  1. #1

    Nervous Newbie


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    Default Verbal contract extension - Does it hold?

    Mod notice: this question is old. Don't answer it -> skip to the end to see why it's been raised from the dead.

    Newbie question... Been on a 6 month interim role through an agency. All went well, and a couple of weeks before the end of the contract, discussed extension with customer, who confirm that they will extend for 3-6 months. A week before the original contract was up a new exec joined, and I was moved to report into him. He also confirmed extension, however on a month-by-month basis. Then a week after the new term started he decided to terminate. All extension agreements were verbal only...

    My position is that a verbal agreement was made for a new term, confirmed twice by the customer, therefore I'm owed at least a month' work during the 'new' term.

    Is that right?

    Thanks all.

    NC
    Last edited by NotAllThere; 18th September 2020 at 16:13. Reason: Added mod notice

  2. #2

    Nervous Newbie


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    Anyone?

    (am I on the right sub-forum...?)

  3. #3

    Still gathering requirements...


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    Quote Originally Posted by nc11 View Post
    Newbie question... Been on a 6 month interim role through an agency. All went well, and a couple of weeks before the end of the contract, discussed extension with customer, who confirm that they will extend for 3-6 months. A week before the original contract was up a new exec joined, and I was moved to report into him. He also confirmed extension, however on a month-by-month basis. Then a week after the new term started he decided to terminate. All extension agreements were verbal only...

    My position is that a verbal agreement was made for a new term, confirmed twice by the customer, therefore I'm owed at least a month' work during the 'new' term.

    Is that right?

    Thanks all.

    NC
    The verbal agreement is worth the paper it's printed on ;(

    TO be honest you *might* have a case but only if you are direct to the company that made the verbal indications (so if you have an agency then your contract is with them not the end client and it is them you would pursue).

    However, in reality it's unlikely you would be able to prove the agreement and you will also need to consider the relationship issue it would create with the client (and agent if there is one).

    Probably the best way to deal with it is to try and discuss it with the client and come to a compromise (e.g. two weeks) but I think you're unlikely to succeed.

    Good luck whatever route you decide but use your energy on getting a new gig and don't let the injustice eat you up.

  4. #4

    Double Godlike!


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    They don't "owe" you anything, I suggest you move on.

  5. #5

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    You are going to have to start using a bit of nouse and quick... You have NO COMMERCIAL RELATIONSHIP WITH YOUR CLIENT. None, zip, Nada. It doesn't matter one jot what they say. You contract is with the agency. They client pays the agency. You get a cut of the agents money.

    This is what you do now. It's pretty basic and you've got to know this stuff.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  6. #6

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    And point 2. If you read and understand your contract (have you and do you?) it will state clauses such as being paid upon receipt of a signed timesheet. We charge a daily rate on a time and materials basis. If we don't work it we don't get it. Period. We are owed nothing for not working. Same goes with notice periods. You might have a month's notice period which they invoke and then walk you off site. They do not owe you a month as you didn't work a day of it. Effective instant termination.

    Suddenly not quite so Rosey and easy this contracting marlarky is it.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  7. #7

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    Whether or not you can demonstrate a contractual agreement (very difficult), it's unlikely to matter, in practice. You've not performed any work on the new contract and the client is, therefore, very unlikely to be obligated to compensate you. It's a common misconception among those that don't read their contracts properly that some compensation is due when no work is performed. That's a very rare situation and, indeed, one of the reasons to prefer contractors over permies when budgets are uncertain.

  8. #8

    Contractor Among Contractors

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    Quote Originally Posted by northernladuk View Post
    Suddenly not quite so rosy and easy this contracting lark is it.
    FTFY
    "Don't part with your illusions; when they are gone you may still exist, but you have ceased to live" Mark Twain

  9. #9

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    Yes you have, they should pay you in lieu of notice, also they should pay you for any holiday you have left, bring it up at your next appraisal with your manager...

  10. #10

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    If your first contract was one that was signed by both parties then all your subsequent contracts will be in this format.

    So carefully read the termination terms in the contract, then move on with your life.
    "You’re just a bad memory who doesn’t know when to go away" JR

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