Contract Termination

[chris_uk]

Hi all,

Can anyone give me some advice? I started a contract recently and within the first week it became apparent that I had misunderstood the skillset required for the work and that I was not 100% suited; therefore I had a conversation with the client and asked to terminate the contract. He was ok with this; I did a further half-day completing the task in-hand, and he then signed my timesheet for the week and that was that.

But the agent has come back to me since saying that I am in breach of the contract, that the client wants compensation, and that I'm going to end up paying. I am shocked by all this as I felt I acted in the best interests of both the client and myself, but have I been naiive and left myself open to being screwed over?

Cheers
Chris

[BOBJ]

What does your contract say?

[The Master]

Entirely depends on what your contract (which is with the agent) says as regards termination. The client is not empowered to change that.

[chris_uk]

Here's the contract:

TERM and termination
This Agreement shall continue for the Term unless terminated earlier in accordance with clause 3.2 or 3.3 or unless extended by notice in writing between the Supplier and AGENCY.
Either party may terminate this Agreement immediately by written notice to the other in the event that:
an order is made or an effective resolution is passed for the winding up of the other (other than for a solvent reconstruction) or a receiver, administrator or administrative receiver is appointed over the undertaking or any of the property or assets of the other; or
the other commits any material or persistent breach of the terms of this Agreement.
AGENCY may terminate this Agreement at any time:
on giving notice of not less than the Notice Period; or
immediately on giving notice to the Supplier at any time during the Trial Period.

3.4 AGENCY may terminate the Agreement on immediate written notice to the Supplier if:
(a) the Consultant has failed to work in accordance with the Client’s rules and regulations previously notified by the Client to the Consultant; or
(b) there is a material failure by the Consultant to perform the Services in a proper and effective manner
consequences of termination
If AGENCY terminates this Agreement under clause 3.2(b) or 3.4 AGENCY shall be entitled to deduct from any payment owing to the Supplier a sum equal to the costs and expenses incurred by AGENCY as a result of the event or events entitling AGENCY to terminate this Agreement under clause 3.2 (b) or 3.4. In all other circumstances, on termination or expiry of this Agreement, AGENCY shall pay all sums due to the Supplier up to and including the date of termination.
Clauses 6, 7.4, 8, and 9 shall continue to apply following expiry or termination of this Agreement.


But what about misrepresentation of work by the client? And the trial period - is that simply for the client?

Chris

[XTC]

Take what I say with a pinch of salt because it may not apply in your case. I've probably done over 35 contracts and I've breached maybe 5 or 6? I've started contracts and realised after a week that I hated the job, or the job was not what I had expected so I've walked out, agency rants & raves etc etc but I'm not going to stay in some sh*te job if I don't want to. At the end of the day if the client has lost a lot of $$ i.e >10K then they may pursue it, less than 5K forget about it. So next time your agency calls you up, just call their bluff. This company is not gojng to pursue you over a weeks wages even in an open & shut case (which this isn't).

[EternalOptimist]

Sounds to me like the ageny is so desperate to replace you with 'one of his own' that he has persuaded the client to look at more CV's and in return told the client that you would not be invoicing. The agent is now trying to frighten the tulip out of you in order for you to back out without invoicing.

The main aim of the agent here is to keep a good relationship with the client.

What to do about it ? depends if you have balls of steel

[chris_uk]

Thanks for your input (and support!) guys. The problem is I'm at the mercy of the agency because if the contract states that if they incur costs as a result of this they can deduct from my pay that amount. My worry is that the figure they come up with could be an invention, an arbitrary number. They could withhold whatever they want.

If nothing else, I've learned a lot from this one.

Cheers
Chris

[Churchill]

Thanks for your input (and support!) guys. The problem is I'm at the mercy of the agency because if the contract states that if they incur costs as a result of this they can deduct from my pay that amount. My worry is that the figure they come up with could be an invention, an arbitrary number. They could withhold whatever they want.

If nothing else, I've learned a lot from this one.

Cheers
Chris

Name and shame. How much is owed in outstanding invoices?

[VectraMan]

They could withhold whatever they want.

I'd bet they decide the compensation is 100% of what you're owed. It seems unlikely they're going to sue you for money already paid, but they probably figure you won't consider it worth it to sue them either.

Also with your split with the client being amicable, do you really think the client is getting the "compensation"? It seems more likely the agent is going to bill the client anyway and keep the money.

Or is it just me that has a cynical view of agents.

[XTC]

Also with your split with the client being amicable, do you really think the client is getting the "compensation"? It seems more likely the agent is going to bill the client anyway and keep the money.

Or is it just me that has a cynical view of agents.

I concur old bean. Didn't realise they hadn't paid you yet Chris... Get paid first then quit!