How to terminate a contract before it is even started

[ASB]

Given the OP has a two week notice period they could sue for the commission on that, but probably nothing more unless it was stipulated as default fees in the contract.

[tim123]

Given the OP has a two week notice period they could sue for the commission on that, but probably nothing more unless it was stipulated as default fees in the contract.

If it was, it will be an unenforcable penaly charge unless it is instead of the actual comission lost.

tim

[Denny]

As always, it depends. On stuff.

Breach of commercial contract tends to be covered by a reasonable damages clause. If so, the simplest (but not cheapest) way to do it is to find out what 'reasonable damages' is, and whether you can stomach paying them. The only time I ever did something similar, we agreed on agent's commission per billing unit * number of billing units until the end of the contract (or notice period if you've got one).

If you're ditching a short term, low billing contract for a long term, high billing contract, you might work out it's in your best interests to pay the damages and secure yourself a quiet life.

Reasonable is anyone's guess and my guess is that no judge would entertain such a notion. They look for hard facts, based on all the evidence - statistical evidence of material loss, not false scenarios based on might be and maybes based on 'what ifs.' In the first month there is no notice period usually, so the material losses would be zero. The judge would also be interested in what kind of risks the EB were in the business of making - and if the risks are not disporportionately high from what they could reasonably expect for their kind of business, the compensation would more than likely be zero. The EB would also need to demonstrate that they incurred unreasonably high costs over what would normally be expected from this type of business to secure the contract - again, a judge would probably conclude that the costs were minimal and proportionate to the EBs business and therefore should be fully met by the EB.

Cased in tons of legal mumbo jumbo, which most of us probably wouldn't be able to decifer in court, what the judge would actually be concluding is that EBs shouldn't be in that business if 'they can't stand the heat' by expecting their 'human' commodities not to act like human beings by exercising a perfectly reasonable right to change their mind due to a better offer.

A judge may well think differently if they believe the contractor was acting mischieviously or maliciously with the obvious intent all along not to take the assignment just to cause damage to the EB by accepting the contract and then withdrawing at the 11th hour and there was some proveable link between this and the EB losing their client along with other contractors already on site, but again, this is hard to prove and again does not really impact on solid hard figures that make up the material loss involved directly caused by the contractor.

It's precisely why these EB contracts are so loaded with unworkable and unreasonable clauses with little regard for case law. They hope to scare contractors into accepting what most judges would laugh out of court should they ever be tested. However, most contractors would rather settle for a quiet life. Who can blame them? Even defending an action in court is time consuming and expensive even in the event of a win.

The best way to avoid hassle is not to sign any contract until the night before the day you are due to start and always accept verbally with the strong qualifyer ' subject to contracts signed.' That way, the EB haven't a hope in hell of making a breach of contract stick.

The reason I say is because high street temp agencies everywhere would be suing temps for dumping their assignments at the last minute even when on site (which they are able to do) on the pretext that the temp was clocking up material losses for the EBs for not sticking the assignment out until the end of the month or week or whatever duration they were offered the work for. Therefore, even in our case, where a contract is involved, if the client or EB cannot expect the client to honour the contract to its full length from the outset because of no notice clauses and because its not deemed employment whereby a judge could reasonable conclude there was an expectation by the EB / contractor for continuity of engagement from the outset then the outcomes surely have to be the same.

[Mordac]

But legally - it is not even started (although signed off). So, isn't there somehow cooling off period, for any contract to be in force. Does it start from the last signature written on the paper?

What do you mean legally it hasn't started? Did you sign the ******* contract or not? If you did, you should expect to be legally bound to honour it. If not, you shouldn't be contracting. If I had 50p for every time a better offer had come in after I'd signed a contract, I'd be living on one of Abramovichs yachts by now. At least pretend you were going to honour it. Turn up on day 1 and say you are allergic to their wallpaper or something. If you had any imagination you might want to consider subcontracting (if it's in your contract - and if it isn't is fecking well should be) but I fear that might be a tad beyond your comprehension.

[Pondlife]

Did you sign the ******* contract or not? If you did, you should expect to be legally bound to honour it. If not, you shouldn't be contracting.

What else is there to be said? FFS!

[Epiphone]

If you've signed it you must fulfill it (or invoke your substitution clause and put someone else in).

Three of the four guys I started with on my current gig have upped and left for greener grass. I've been offered better gigs but keep banging my "I've started so I'll finish" drum.

Come January you won't see me for dust though....

[Harrysp]

Whats the score if you havent signed and it has all been verbal??

[NotAllThere]

A verbal contract is as binding as a written one. But a lot harder to prove. Your verbal acceptance was of course subject to sigh of the written contract etc.

I was offered a contract, and verbally accepted. I then looked into the logistics of getting to the client site - it was abroad so obviously a weekly commute, but 10 hours each way, since it wasn't near an airport, and it just wasn't feasible. So I told the agent - no, I can't do it. And that was that.

[TheFaQQer]

Whats the score if you havent signed and it has all been verbal??

Verbal is still a binding contract.

Which is why you should always say that you are accepting the role "subject to getting a signed contract sorted" - that way if you want to go, then it's much easier.

[NotAllThere]

Verbal is still a binding contract...

A verbal contract is as binding as a written one. But a lot harder to prove...

And being a lot harder to prove is significantly LESS binding. No-one but a complete numpty would consider anything not written down as evidence that a contract existed.