Our graphic design company developed concepts for a company over a year ago. We showed all to the client and everyone was happy. Shortly thereafter, just as we were about to request sign off and send an invoice, the entire top management, including our contact, was suddenly tossed and replaced. We sent a few emails and waited patiently. And then Covid-19 hit, so nothing moved forward. No one from the client ever contacted us to complain or cancel the contract. We recently sent a reminder, requested payment and sent an invoice. The client now says "you provided no value", "there was no sign off by us so we owe you nothing", and "force majeure", even though our concepts were delivered before Covid 19 started. We have visual proof of the work and all we want is payment for our labor time. Thoughts or advice?
Collecting payment for a design project
- Thread starter designstudio
- Start date
-
- Tags
- payment
Thanks but even with a demand for payment, they can simply repeat "your work has no value", and "we never signed off", therefore "there is no unpaid debt". Our contract states that an invoice will be sent after sign off, but that process became impossible due to the management change. Thanks.
1. They can repeat it all the like, but that doesn't make it true.
2. Unless your work was on pure spec - something in the ballpark of
"Do the work, and if we like it, then we'll buy it",
then then you may benefit from running a debt action - if only because
they might make you an offer, to make you, and it, and all the "trouble"
go away.
3. Chances are, your contract is with their business, not with the individual manager(s).
That one or managers managers may have changed internally to that business
does not suddenly and automatically void any deals made earlier in time.
2. Unless your work was on pure spec - something in the ballpark of
"Do the work, and if we like it, then we'll buy it",
then then you may benefit from running a debt action - if only because
they might make you an offer, to make you, and it, and all the "trouble"
go away.
3. Chances are, your contract is with their business, not with the individual manager(s).
That one or managers managers may have changed internally to that business
does not suddenly and automatically void any deals made earlier in time.
Many thanks for your reply and comments. The work was not on pure spec and yes, the contract was with a business not an individual. The client paid a fee upon contract exchange. We therefore assumed intent to continue. The client now says "we already paid you an amount at the beginning, and since your work provided no value, we owe you nothing more". The amount for the second invoice, which would have been sent upon sign off, is rather low. Potentially the cost of a debt action could negate that amount.
Thanks again.
Thanks again.
Similar threads
