Invoiced for backdated services

[Caseyp]

Hi, just want advice, we have been invoiced for services backdating over 15 + years from a firm.
The invoice itself has only been raised this January, for the services over 15 years ago until now, as a bulk invoice.
Can the firm issue an invoice for services performed that long ago?

 

[Rob Legat - SBPL]

They can issue an invoice, but they can't enforce most of it. It isn't considered good business sense to do this type of thing in any case (but that's subjective).

It depends a little bit on where you are, but generally;
- A request for payment of an invoice is part of a contractual arrangement;
- Each state has a limitation period for contractual claims: most commonly 6 years from last payment/last acknowledgment that you owe the debt; and
- While they can say that that is what's owing, they can't make a demand for payment or give any indication that a failure to pay will lead to recovery action being taken against you.

Of course, if you do legitimately owe it and don't pay, they can take other action under the existing contract arrangements (such as termination, or interest on the amounts they can validly claim).

 

[Scruff]

I'm curious to know what kind of business provides services for 15 years without being paid? Feel free to elaborate or not - I'm just curious as to how this could even happen.

 

[Rob Legat - SBPL]

At a guess I’d say it’s more in the realm of undercharging.

 

[Scruff]

Hmm - I guess that would make sense. More than a bit rude to expect a customer to cough up the difference 15 years later though, no matter what the circumstances.

Any idea if there's any scams of this type getting around? There's been a lot of data breaches over the last few years and I notice that the OP hasn't indicated that they've contacted the company to confirm anything yet. Just wondering if the invoice is legit or not.