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Used a collection agency or gone to court?

Thread title: Used a collection agency or gone to court?
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07-29-2006, 04:58 PM
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m23 is offline m23
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  Old  Used a collection agency or gone to court?

Unfortunately, I have a real problem client. In the end, everything may work out fine. But I need to start preparing for the worst -- not getting paid in full.

We signed a contract and everything is completely clear. So I know I have a good chance of winning in court, etc. or just using a collection agency.

Here are some details, just as an FYI. The job is for 36 hours. Due to the client making multiple changes over two months on a design that was officially approved. I created the design before I ever contacted her, which was a selling point for me -- see this design you could have ...

Well, she approved the design but has spent hour after hour changing it. So we are still on the home page and at around 30 hours into my time for the project. So we have 6 hours of my time left. And we have 23 more pages to go.

Hmmmm .... seems pretty obvious we're headed for trouble.

I have had dozens of emails and 4 or 5 phone conversations urging, pleading, warning the client that we must move on. She fully understands the situation and she is full aware that she will be charged extra. She has, so far, paid me for half the job, as the contract specifies.

The last half is due, according to the contract, when the site goes live. A mistake? Yes. I know. I know.

I have laid out a plan to finish the site in 6 hours. She hasn't finished all her cotent, but I'm making the rest of the pages with or without content. I'm doing whatever it takes. I will uphold my end of the deal and deliver 24 Web pages.

This could definitely be a mistake on my part. I recognize that. I could have dropped the client when we missed the deadline for the site and when she went over the hours she paid me for (I've been paid for 18 but have worked around 30). But I am determined to finish the site and see what happens. I really am curious. Maybe I'm sick

If I get the other half of the money, great. She has verbally told me she'll pay for the extra time. The contract specifies that I get paid for extra time. So great. But the history is that she has proven her word is unreliable. Everytime we agree to something (in terms of responsibilities, process, reviews, approvals, etc.), she assures me she'll cooperate and everything will work out. But then she changes later, which is why we are WAY over in terms of time. So there's a history.

MY QUESTION

Anyway, sorry for rambling but I thought an explanation would help give flesh to the problem, and it just feels good to complain

In the end, I don't want a lot of hassle to get the rest of the money (I have other clients and would rather move on). But this is a first for me, I've never had such a fruitcake for a client, and I want to follow this through all the way for the experience (which is bad but a good learning experience).

The contract specifies small claims court or an mutually agreed upon arbitrator. If anyone has any experience with getting money from deliquent clients, please let me know!

Thanks. Good day.

07-30-2006, 02:25 AM
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Julian is offline Julian
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Your contract sounds similar to my contract. Small claims court carries a fee of $75 and you can represent yourself here in New Zealand. Or we can go for a mutually agreed mediator, to settle out of court. It is a resonable cost, especially if you are owed a few thousand dollars.

I have never had a "difficult" client, but if I did, I would be quoting them terms from their signed contract if things turned sour.

The main thing is to try and settle things before they get out of hand, you could ask her for some more money up front, as a show of good faith (even though it is outside your contract payment terms). You could let her know that it has run so far outside of the deadlines that you are very concerned about completion of the project and ensuing payments. You can also tell her that you have other projects to begin/complete/work on etc, and she will have to cough up some money up front to ensure she gets preferential treatment.

In all of your dealings with her, be civil and professional. Good luck!

07-30-2006, 04:01 AM
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Hi,

Yes, my contract is based on the one you posted in these forums. I appreciate that a lot. Thank you.

Regarding your advice, I've done all that (cited the contract, told her of the time overruns, etc), and I've done it multiple times over a period of two months. According to her, she keeps forgetting or misunderstanding ... she's playing games, though, pure and simple.

About being civil, I have been until the other day. We had a *final showdown* so to speak and the conversation got heated. I refused to do what she wanted, which would have caused me even more work. She yelled about how she's paying all this money, etc ... She's the kind of person who yells and gets upset. Well, when I finally yelled back, she backed down. Then she apologized and said she misunderstood and said she'd pay me for the extra work. Go figure.

The problem is that now I don't trust the client at all, and I suspect that I should prepare for the worst.

In almost ten years working freelance and fulltime, I've never had any problem like this one. It's truly bizarre.

07-30-2006, 11:18 PM
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I haven't had this problem either.

You say you don't trust her, base all of your work for her around that idea now. She might take your work and run. Make it super clear to her that an immediate good faith payment is needed to complete the project.

08-05-2006, 04:03 PM
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Yes, I am billing her for an additional 10 hours, due ASAP. And I'm only billling her for part the time (I've put in an extra 25 hours). I've explained that to her. She needs to meet my halfway here. The past week has gone much better, by the way, because now I'm dealing with another person at her company.

I will be updating my contract and process docs, so if this ever happens again, at least there won't be any, let's say, different perspectives from the client's side about responsibilities and how to handle extra hours.

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