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Sudden Contract Termination

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    Sudden Contract Termination

    Yesterday I was told to clear my desk and leave as my contract was being terminated. I had only been working on the contract for two weeks and had been contracted as Project Support.

    My role required at least 80% effort working as I would describe a 'forensic accountant'. This is the element of my work which, according to the client, I had made slow progess in.

    Now, having read through my job description it has no mention what-so-ever of any financial element to the role.

    I was only offered learning support for my role 3 days a week, so not being from a financial background had difficulties learning the ropes.

    My contract says that I am entitled to 4 weeks' pay should the client terminate early, but the client is refusing this as I didn't make sufficient progress. Where do I stand?

    #2
    Difficult to say without knowing the exact wording of the contract. Also, is the contract direct with the client or with an agency?
    Guy Fawkes - "The last man to enter Parliament with honourable intentions."

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      #3
      Me too...

      I had something similar a few contracts back, were the client terminated my contract as the project was moving too slowly. This was after renewing my contract for another 3 months the week before.

      I also had a 4 week termination clause, but the client refused to pay the agency the notice period. The agency didn't want to fight my case as the client was their biggest by far and accounted for 70-80% of their revenue.

      Reading through my contract, I was 99% certain that I would win the case if it went to court, but with a tin pot agency and the client still refusing to pay it was a lot of time and effort. I could easily see the costs being higher than the payout or the agency going bust.

      In the end, I decided to spend my time productively and find another contract and put the experience down as a lesson learnt- contracts are not worth the paper they are written on if the client refuses to pay.

      Turned out to be the best course of action as it happened- picked up another contract at a higher rate with a client and agent with considerably more professionalism about them.

      PZZ

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        #4
        Your ovbiously behind the times. You still use ICQ ffs!

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          #5
          I am wondering whether I could try a small claims route? Has anyone tryied this before?

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            #6
            Originally posted by pzz76077 View Post
            I also had a 4 week termination clause, but the client refused to pay the agency the notice period. The agency didn't want to fight my case as the client was their biggest by far and accounted for 70-80% of their revenue.
            I'm sure you realise, but the contract is with the agent and what goes on between them and the client is none of your concern. It's not up to the agent to fight your case, it's up to you to fight your case with the agent. If they decide to write off the loss to keep in with the client it's up to them, but it's of no concern of yours. Sounds like (in both cases) they're using the client not paying as an excuse to dodge their contractual obligations to you.

            Read the contract very carefully. Also what do your timesheets say? Typically they say something like the client confirms that the work was completed to a satisfactory quality.

            Legal action isn't necessarily as expensive as you think. I had a client not pay last year, and I engaged the services of Lovetts. Getting all the way through the CCJ still only cost about £500, which would have been worth it for the month's money I was owed (and I would have got 2/3rds of the costs back from the debtor). That's assuming they don't mount a defence of course, so check that contract very carefully.

            As it was the client had no means to pay, and I gave up at that point. As PZZ says there's no point suing somebody on the verge of bankrupcy. But you could credit check the agency to get some idea of their ability to pay.
            Will work inside IR35. Or for food.

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              #7
              Can you take this through the small claims court? That is not so expensive and if that's what your contract says in black and white, then you simply can't lose?
              Public Service Posting by the BBC - Bloggs Bulls**t Corp.
              Officially CUK certified - Thick as f**k.

              Comment


                #8
                Ignore some of the bullcrap on here about 'its nothing to do with you what goes on between agent & client'! **** that.

                Go see an employment solicitor, you'll find a local one in the yellow pages. They wont charge you much to see if you have a case and will give you better legal advice than on here or by going it alone.

                What I would say is you need evidence to support your opinion and just referring to a job description or the like wont be enough.
                I couldn't give two fornicators! Yes, really!

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                  #9
                  Originally posted by PinkPoshRat View Post
                  I am wondering whether I could try a small claims route? Has anyone tryied this before?
                  Yes, for non payment and late payment. The chances are they will pay up before the court date. PM me if you want pointers.
                  "A people that elect corrupt politicians, imposters, thieves and traitors are not victims, but accomplices," George Orwell

                  Comment


                    #10
                    Originally posted by pzz76077 View Post
                    Reading through my contract, I was 99% certain that I would win the case if it went to court, but with a tin pot agency and the client still refusing to pay it was a lot of time and effort. I could easily see the costs being higher than the payout or the agency going bust.
                    < 5k = small claims = very low costs incurred (will be reimbursed if case won).

                    >5k legal costs much higher (will be reimbursed if case won).

                    With a 99% chance of success (which will award the costs also), probability theory dictates that it's worth spending whatever is necessary tp pursue the case. If you really had thought you had 99% chance of winning then you really lack bottle. The agency bluffed you out good and proper

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